“Financial freedom my only hope…I can’t wait to give this s*it to my children.”Jay-Z, rapper, songwriter, producer, entrepreneur
Institutional racism perpetuated by elite institutions and by the federal government and state governments has created our nation’s ever-growing racial wealth gap. If we do nothing, by the middle of this century, Black and Brown wealth will be zero. The absence of wealth held by people of color is no accident. Rather, it is the product of racist government policy that steals the little bit of wealth we do own, exploits our most valuable asset—our labor—and excludes us from pulling the levers of our economy that build wealth for White households. So, how do we reverse the centuries of white supremacy, institutional racism, and systematic oppression that has suppressed our economic vitality? Very simple. We transfer our nation’s wealth from the elite institutions that profit from the Oppression Economy to people of color who have been denied the wealth we have earned for generations.
Policy to consider:
Baby Bonds: Every child born in the US will receive an account held and backed by the US Government, and the federal government will make an annual deposit into those accounts. The size of the annual deposit will be based on the income of the child’s family in that given year. This will ensure that the most low-income children get the largest wealth transfer. The wealth can be withdrawn by the child to make life-changing asset-building purchases, such as paying for college expenses, starting a business, or putting a down payment on a home. More than one Baby Bonds proposal exists, with the estimated lifetime amount to be paid out to a low-income child at 18 years old can vary, ranging from $46,000 to $65,000.