The Economic Crushing of Black America,

The Economic Crushing of Black America,

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Seemingly for decades the lying propaganda media in the US has tried to portray the economic life of Afro Americans as “improving”. It will always point to a rising black middle class and greater economic opportunities. The number of black faces on TV seems to also help with the illusion that America is more of a color blind society than it used to be.

If nothing else Ferguson ripped the fake mask off of the propaganda media’s portrayal of life for the average black family in America.

To its credit the Washington Post did do an article on racial inequality in America last year. No one seemed to pay much attention. Maybe it is because the newspaper didn’t publish it as a major article, but buried it as part of what they call “The Wonkblog”, or arcane facts for nerds.

What the study showed however, was that if anything has changed from an economic standpoint, over the past half century for Afro Americans relative to Euro Americans, it has been for the worse.

Income differentials have gone UP not down as has the differentials in household net worth. Not counting one’s house as a part of net worth, Euro American families had about $110,729 in 2010 twenty two times more than a typical Afro American family who had just $4,955.

And unemployment rate differentials have remained pretty much the same since they began keeping records, with Afro American official and unofficial unemployment being around double that of Euro Americans.

And 45% of Afro American children grow up in areas of concentrated poverty compared to just 12% of Euro American kids.

And of course the list goes on.

In my post yesterday I explain that poverty is certainly the number one issue in Ferguson.

But now we know just how much the problems of poverty and racism are intertwined in America.

And this also explains why, as bad as things have gotten economically for the bottom 70% of Americans since the great recession began in 2008, there has not been more popular push- back.

While things have surely gotten worse for Euro Americans since 2008 and horror stories abound, aggregate statistics hide the fact that African Americans have suffered proportionately far more.

Government transfer payments like Section 8 housing assistance, Food Stamps, Medicaid, Disability payments and other direct income transfers have acted to limit what would otherwise have been an even greater explosion of homelessness, hunger, sickness and death.

Up until now these transfer payments have seemed to have been enough to keep the population of the “new poor” relatively sanguine. That and probably because so many even dirt poor Afro Americans are proud and supportive of Barack Obama. Through him many had developed some hope that things were indeed changing

Ferguson tells us that that long honeymoon period is now over. The majority of African Americans may continue to support Obama on race alone, but he is now him, a rich guy with dark skin and they and their families are still stuck in grinding poverty, from which they see no way out.

Meanwhile those who own/ control Empire at this moment have their hearts set on putting a Republican war president in office in 2016.

The Republicans however have their hearts set on making whatever is bad for the poor today worse, like lowering or capping transfer payments. By doing that they can force poor people de facto onto the labor market, where they would have to accept whatever they could get, even if the pay was below the minimum wage.

The Republicans would like to de facto to bring the American wage base for unskilled and semiskilled workers down towards that of China.

Ferguson is telling us that due to the poverty that already exists, America is a powder keg ready to go off.

The .0001% who own/ control America don’t give a crap about the American wage base up or down. It has almost no meaning for their business or Geo Political models. What these families do need is a quiescent sheep like American population that will go along to get along.

So Furgeson may lead to a rethink on the part of the most powerful as to who they are going to run in 2016. They want a war president for sure, but they are also going to need a social liberal. 






As my readers will quickly see I tend to interpret the world, thanks to the late Bill Gaines in the "jugular vein". I don't waste time debating or debunking propaganda. I assume my readers are smart enough to see through it, on their own. And propaganda, especially the stupid and transparent kind doesn't need to be dignified by debate. OK. OK sometimes I will use propaganda for a comic routine. We all have to laugh occasionally. And finally like the Bill Gates dictum that he quoted from Wayne Gretzky, I try not to skate to the puck, but to where the puck is coming. That means I care less about news headlines than what they signify and where the underlying theme of them is likely to go.



  1. In my personal experience I have seen many many black persons exceed and excel to very high positions of authority and wealth. I have the greatest respect for each person’s ability to transcend whatever perceived deficits the culture attempts to impose upon him or her. This struggle to have worth, and to live the fullness of possibility, is a SHARED struggle that really does traverse skin color variances. The struggle to have worth and to express one’s worth in the form of meaningful work is something that every person faces. There are obstacles for every person. To assume that only black people have these problems is really a false assumption, and oversimplification of the struggles of humanity in general. In whose interest is it anyway to continue to divide the races with the popularization of such assumptions and fanning the flames of racist thinking? The concept of “race” is one that is not scientifically supported, as there are not enough genetic differences to support the classification into different “races.” So why do we continue to hold on to this false construct? The commonly-shared struggle for worth is the only “race.” Think about it.

  2. Thank you for your well thought out and informative comment PJS. I don’t disagree with you. Think of Northern Ireland where Catholics and Protestants, (even when they were of Anglo origin) are not that different. But for whatever reasons separateness and inequality relative to the two groups flourished. The same has happened and is still happening in the US. Individuals are one thing, groups are another. I agree with you that race is not inherently, (genetically) the issue. There is still however a problematic vicious cycle, historically and culturally between the two groups that has created and continues to create these huge economic differences. Breaking that cycle is and has always been one of the great challenges for the American people.

    What I tried to write about here PJS, is that this economic inequality continues to exist as a FACT in America and that the propaganda media has been trying to cover it up for many years. Then I was trying to point out what its likely impact on the American narrative will be should things not improve or worse continue to deteriorate.

  3. I’d argue that goverment subsidies are one of the instruments that currently keep blacks in a modern form of bondage. It might help some, but it definitively has it’s drawbacks. The system encourages the lowest classes to have children which they are not prepared to support. And the more the better the payment and subsidies. Section 8 housing segregates the poor into communities where a culture of poverty and depedance can flourish. The system further supports this, since welfare programs tend to limit people’s mobility.

    The worst part is that for many, the system actively discourages people from getting out of welfare and trying to incorporate into becoming a productive members of society, getting jobs, building careers and or starting businesses. That disincentive is examplified by how much people who are currently on welfare will gain by getting a job. See here for more on that:

    Now I’m not saying welfare is inherently evil, I’m not against some help for the poor. But the struture with which it is set up, is DESIGNED to creates dependance. This is bad for the people, but GOOD for those on top, since politians have MUCH more power over people if people DEPEND on them, rather than the other way around.

    Also, I’d be careful to use statistics of inequality to examplify their plight. The reason is that those statistics are used by liberals who confuse cause and consequence.

    If you want to illustrate why blacks in the USA are at a disadvantage, I’d use things like:
    1- CIA intentionally distributing crack into black neighborhoods.
    2- Nixons 100:1 ration between crack and powder cocaine – Basically, having 100 grams of a white man’s drug like cocaine would trigger the same sentence as having 1 gram of crack cocaine, a black man’s drug.
    3- Bank loan discrimination
    4- Sentensing disparity between blacks and whites, leaving many young black kids fatherless. We all know nothing could possibly go wrong with that…
    5- Music ideolizing violence being pushed on black communities through monopolies like the RIAA

    I don’t think inequality is so bad. I think systems that tilt the playing field in the advantage of some are. And that is what should be denounced. Not the inequality in itself, but the systems that fan the flames of inequality.

    Blacks definitively do suffer from racial discrimination. But that is getting to be less and less so. Not dicrimination, that is hasn’t changed. But ratial discrimination I believe has decreased. Poor whites have more in common with poor blacks than ever before, since many of these systems are being aimed at them also.

    Modern american discrimination is becoming less race based, and more economic and religious (the last part I through in because Muslims are the new blacks… the only people which you can discriminate against without having to worry about political correctness)

    • Thank you Antonius for your well thought out reply. I believe however you misunderstood the thrust of the article.
      In my article I am not interested in WHY there is such a huge difference in income, unemployment numbers and assets between Afro Americans and Euro Americans. I am simply stating it as a FACT.

      Where I am coming from, my spin of you like, is that once the American people imported all of these people from Africa they had a moral and ethical responsibility to fully integrate them within their society. These financial and job market indicators are for me a proof of the country’s abject failure to do this, after 200 years and the Civil Rights movement of the ’60s.

      What Americans tend to do, (as per your WSJ article) is bicker as to why they have failed. As an outsider that is your internal pillow fight. Either your country gets the job done or it doesn’t. Ferguson and the statistics I have given argue that your country has not done the job.

      Personally I agree with you about Welfare systems as to the dependencies, laziness and lack of self-confidence that they create in people and how that transfers on generationally. But I believe that you are talking about, the toxic side effects of a medicine, (welfare) given for an economic disease that has been created in your country through at least 2 generations of failed leadership.

      For me the disease itself is Crony Capitalism, or an unholy alliance between Mega Banks- Corporations and government, which rigs the legal regulatory infrastructure of economies, which in turn rigs market places.
      A Mega Bank borrows money from your Central Bank, at a tiny little interest rate and then loans the money back to your government at a profit. Risk- less money for nothing.

      But your privately held debt money producing Central Bank acts as a parasite on the public as a whole while it benefits the interests of Cronies.
      After the CDO collapse $8- $25 Trillion was transferred from the public, (either directly or through debt obligations) to your bankrupt Megabanks. That more than any single event is what has broken the financial backs of your lower 70% economically. And they still have no hope in sight to ever get back to where they were.

      In your country money is produced by the Central Bank, handed over to Mega Bank cronies who loan it out to “Dem dats got” and not to “Dem Dat don’t”. The results are asset inflation, which when it hits energy and oil prices act as an across the board tax that especially harms the poor and the failing Middle class.

      And then your country had a bi partisan policy of off- shoring what were high paying industrial jobs to cheap labor markets effectively killing your union movement and cutting the legs out from under the lower middle class.
      Both parties have also supported open borders, which have flooded the country with illegal cheap labor and destroyed the wage base of unskilled and semi skilled Americans.

      The WSJ and CNBC are fully owned subsidiaries of Crony Capitalist interests and are propagandists for them.
      They frequently spend a lot of time trying to rebut things that I have just written and prove beyond a shadow of a doubt that supply demand economics as applied to your country doesn’t somehow work. You can flood labor markets and ship production abroad and it won’t lower wage bases. Yup, up is down and black is white.

      These things and many others like your country’s wildly inflated medical care system, built upon cronyism, as well as your similarly wildly inflated system of higher education, (also built on cronyism) are the cancers that are destroying your middle class.

      That is because Middle classes are built on mass access to health and education. Destroy that and you destroy your middle class, pure and simple.
      Destroyed middle classes then become the “new poor” dependent on government handouts with all of the evils that you and the WSJ recount so well.

      Racism simply exacerbates all of these trends for Afro Americans.

  4. “Income differentials have gone UP not down as has the differentials in household net worth. Not counting one’s house as a part of net worth, Euro American families had about $110,729 in 2010 twenty two times more than a typical Afro American family who had just $4,955.”

    I’ve seen these numbers before Robert and I am pretty certain that you put the comma in the wrong place in the second stat. It is my understanding that the numbers are usually reported as being $110,729.00 and $49, 550,00 or something in that range. Generally speaking such would indicate that the net worth of African American families is roughly 40% of the net worth of white or Euro Americans.

    Race is a social construct that was invented in 1690 by the Anglo-Saxon ruling class of the newly settled American colonies to serve as a form of social control over both the African slave population and their white overseer class. Prior to this time the term race cannot be found in any of the early colonial documents. It is worth noting that there is a book entitled THE INVENTION OF THE WHITE RACE: Racial Oppression and Social Control by Theodore W. Allen that is probably most instructive on this subject.

    African Americans are indeed the spearhead of the revolution now taking place in the imperial heartland. They are a people born and bred to revolution and rebellion out of the sheer necessity to survive. White radicals and such who are incapable of understanding this need to get out of the way before they get run over!

    Race is a factor in everything that happens in this country because it is the method of social control the the US ruling class invented and continues to use in an attempt to control us all. Its only be coming to terms with and understanding the nature of this diabolical social construct and the effect that its has on us all that we can ever hope to transcend it. The class antagonisms that the US ruling class has unleashed on us all is the factor that will compel the population to seeker a higher level of consciousness on this key and critical concept.

    • I hope that you are right Charles. I do hope that as the Euro American middle class melts back into impoverishment themselves, that they will be less arrogant, more understanding and show more solidarity with their Afro American countrymen. Divide and conquer has always been the most common tactic of small elites. It has been and is being used by US elites globally and as you say it has been used to conquer your country as well. The strength of the American people can only come from their solidarity. I hope that they can find it.

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