Ending Discrimination Would “Supercharge the Economy.”

…if you could give me one thing to do to supercharge the economy, I would say, end discrimination across the American economy. Discrimination is holding back our economy. It’s holding back our middle class.

Title in large red block letters against plain off-white background: The Riches of This Land: The story of what went wrong and how to get it back. Author Jim Tankersly

This is the conclusion of journalist Jim Tankersley, who covers economics and tax policy and recently published The Riches of This Land: The Untold, True History of America’s Middle Class.

He has spent over a decade studying the American middle class; how it became a symbol of the American Dream following World War II, how the middle class built one of the world’s most powerful economies, and how powerful interests undermined the gains of the working class. From the 1950s through the 80s, middle-class households with a single income earner could afford a home, car, health care, a college education…even vacations and retirement savings.

The erosion of the middle class means that today, most full-time workers are underwater as full-time work too often leaves many in poverty and debt. At the start of 2021, analysis indicates the extended pandemic and recession have resulted in the Sharpest Rise in Poverty Rate in More Than 50 Years. 

…if you were to design a recession to hurt most the people who have most helped to build the American middle class, you would design basically this one.

Tankersley advocates for policies that help those people responsible for the growth and productivity of the middle class from the 50s through the 80s, which he describes as, “women of all races…men of color and immigrants.” We hear time and again that these are the workers hurt most in the current recession. Women are the default caregivers when schools and child care centers are closed; they are most likely to care for elderly parents, and they the most likely to lose employment opportunities or promotions as a result.

Next to women, people of color and immigrants—often serving as essential workers—have been disproportionately impacted by COVID-19, the lack of health care and sick leave, and the cascading impacts on employment options. This follows a steady decline in purchasing power and stability over the past 40 years.

This perspective draws the same conclusion as those pursuing economic resilience from a fair housing approach, which recognizes the access to opportunity afforded by housing types and price points distributed across regions, communities and neighborhoods. When everyone has access to stable housing and essential community assets, we all benefit from better overall health outcomes, increased productivity, and more people moving from public assistance to family supporting, gainful employment.

In his interview with Fresh Air co-host Dave Davies, Tankersley notes that, “…if you could reduce discrimination across the economy and invest in each other’s success, then we really could see this upward flow of talent and this boom of job creation and growth.”

 

IHFA Creates Fair Housing Video Series

Red logo banner with colorful and diverse profiles on the left facing right toward the text 'Know Your Right! The Fair Housing Act Protects All of Us?

As part of a HUD Fair Housing Initiatives Program – Education Outreach Initiative grant, the Idaho Housing and Finance Association (IHFA) has created a series of four videos that outline rights and opportunities guaranteed by the federal Fair Housing Act. While fair housing law and protections are broad in scope, these videos aim to present basic information and encourage individuals to better understand and assert their rights in pursuit of economic and social opportunities, freedom from discrimination and options to report violations.

Videos are available for viewing and sharing via social media at the links below:

Thanks to the U.S. Department of Housing and Urban Development for the support of this effort. Ensuring the right of every person to live where we choose and can afford requires constant attention and cooperation. We all play a role in fair housing.

Acknowledgement/disclaimer. The work that provided the basis for these products was supported by funding under a grant with the U.S. Department of Housing and Urban Development. The substance and findings of the work are dedicated to the public. The authors and publishers are solely responsible for the accuracy of the statements and interpretations contained in this publication. Such interpretations do not necessarily reflect the views of the Federal Government.

Why Economic Developers Hope That “Fair Housing Still Has a Chance Under Trump”

The most recent State of Idaho Assessment of Fair Housing takes an ‘Economic Opportunity Approach’ to what is traditionally perceived as a civil rights issue affecting minority populations and other protected classes. An excerpt follows:

“This study approaches the analysis of fair housing issues through an “opportunity lens.” This was done to:

  • Incorporate recent research that links long‐term economic gains of cities and states to advancing economic growth of residents,
  • Incorporate the latest legal developments around fair housing, and
  • Most importantly, identify where the Grantees can best intervene to improve the economic opportunities of residents and, ultimately the fiscal health, of non‐entitlement communities.”

In other words, the report shows that the overall economic health and stability of a city or state depend on the economic opportunities of all residents. When everyone can access safe, quality housing within their household budget and close to employment or other services, they have more time, energy and income to invest in neighborhoods and communities. At the same time, they are less dependent on public assistance or other social services.

Housing choice (the right to determine where we live and can afford) and stability are essential components in the development of social capital, sometimes defined as “the networks of relationships among people who live and work in a particular society, enabling that society to function effectively.”

When individuals and families feel part of a neighborhood or community, they are better able to form trusting relationships and cultivate connections that can lead to opportunities—whether in employment, education, health care or personal growth and development. From the perspective of those who stress personal responsibility and self-reliance, housing choice (aka, ‘Fair Housing’) should be seen as the best investment, hands down.

For an informative and riveting history of the origin and reason for the Fair Housing Act, this 2015 podcast from This American Life and ProPublica is one of the best introductions around. For those short on time, Act Two is particularly fascinating.

The Slate article linked below contemplates the 2015 Affirmatively Furthering Fair Housing  (AFFH) rule and how it may fare moving forward under a new administration. The AFFH rule is intended to implement the core mission of the Fair Housing Act—to increase access to economic and social opportunities through something called housing choice. Where we live determines access to essential services and resources: clean air and water, healthy food, education, employment, police and fire protection, banking and lending, health care—even things like culture and recreation.

“An important rule, enacted late in the Obama administration, is just starting to knock down barriers in some of America’s most segregated places.”

The Affirmatively Furthering Fair Housing (or AFFH) rule, promulgated by President Barack Obama’s Department of Housing and Urban Development in 2015, marked the first forward momentum for the Fair Housing Act in decades. The rule required jurisdictions that receive federal housing funding to not only document barriers to integration and opportunity, but to detail—and prioritize—policies to eradicate them.

Read more here: Fair Housing Still Has a Chance Under Trump