Created Equal: Examining the Black-white wealth gap in America

Typical Black families in the United States have 15 cents on the dollar compared to typical white families, according to a new book co-written by investigative journalists Louise Story and Ebony Reed.

The book, “Fifteen Cents on the Dollar: How Americans Made the Black-White Wealth Gap,” details a study conducted by Reed and Story about the historical and modern causes of the wealth gap in America. 

According to their reporting, Black Americans have historically been unable to build a high net worth because of systemic barriers that prevent ownership in investments. This includes access to homeownership, higher-level education and honest banking practices. For their research, Reed and Story interviewed seven Black Americans born between 1979-1994 with family ties to Georgia. They followed their subjects’ family trees and pulled court records going back almost 200 years to trace their generational wealth. The study of how these families lost their assets through systemic barriers and racist business practices is a stark reminder of the wealth inequality that has existed since America’s beginnings.

Reed joined Created Equal on Tuesday to discuss her new book and the origins and future of America’s wealth gap.

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Guest:

Ebony Reed is the co-author of “Fifteen Cents on the Dollar: How Americans Made the Black-White Wealth Gap” and the Chief Strategy Officer for the Marshall Project. Reed discusses the importance of recognizing that the wealth gap is both a historical and modern issue when considering solutions. 

“I think people need to understand the roots before they can understand the problem, and before they can begin to think about solutions,” she said. “So, a lot of people don’t know the statistic, ‘15 cents on the dollar’– which Louise and I are working hard to make a nationally recognized statistic  — because we do think, if more people knew and understood this statistic and the history that wraps around it, that contributed to it, I think it would influence decisions that people are making [and] discussions they’re having about economic development, about affordable housing, about student loan debt, [and] about education options for children.”

Listen to Created Equal with host Stephen Henderson weekdays from 9-10 a.m. ET on 101.9 WDET and streaming on-demand.