Loss of housing wealth hits black suburbanites hard

The housing and economic crisis of the last decade has hit black suburbanites particular hard:

But today, the nation’s highest-income majority-black county stands out for a different reason — its residents have lost far more wealth than families in neighboring, majority-white suburbs. And while every one of these surrounding counties is enjoying a strong rebound in housing prices and their economies, Prince George’s is lagging far behind, and local economists say a full recovery appears unlikely anytime soon…

The recession and tepid recovery have erased two decades of African American wealth gains. Nationally, the net worth of the typical African American family declined by one-third between 2010 and 2013, according to a Washington Post analysis of the Federal Reserve’s Survey of Consumer Finances, a drop far greater than that of whites or Hispanics…

Not only is African American wealth down, but the chances of a quick comeback seem bleak. Just over a decade ago, homeownership — the single biggest engine of wealth creation for most Americans — reached a historic high for African Americans, nearly 50?percent. Now the black homeownership rate has dipped under 43?percent, and the homeownership gap separating blacks and whites is at levels not seen in a century, according to Boston University researcher Robert A. Margo…

Many researchers say the biggest portion of the wealth gap results from the strikingly different experiences blacks and whites typically have with homeownership. Most whites live in largely white neighborhoods, where homes often prove to be a better investment because people of all races want to live there. Predominantly black communities tend to attract a narrower group of mainly black buyers, dampening demand and prices, they say…

Scholars who have studied this dynamic and real estate professionals who have lived it say the price differences go beyond those that might be dictated by the perceived quality of schools, or the public and commercial investment made in particular neighborhoods. The big difference maker, they say, is race.

In other words, simply promoting homeownership – a key part of the ideal of the American Dream and also something taken as a sign that various groups have made it – is not the complete answer for thinking about equality among different groups. What homes people own and where they are located also matter. Decades of research in urban sociology and related areas shows that blacks and other minorities often don’t live in the same suburban settings as white suburbanites. Their homes tend to be located in poorer neighborhoods and neighborhoods that have higher non-white populations. This is due to a variety of reasons including long-term white wealth that gives whites better opportunities to move to wealthier and whiter places, zoning practices in wealthier communities that tend to limit cheaper or affordable housing (examples here and here), mobility patterns among whites that show they leave neighborhoods and communities as they become more non-white (the process of “white flight” continues in some suburban areas), and patterns of mortgage lending as well as renting that tend to take advantage of poorer and non-white residents. Tackling the issue of residential segregation still matters today even as more minorities and poor residents move to the suburbs.

 

Black congregation in Seattle follows its members to the suburbs

Here is one illustration of the demographic changes in American suburbs: an African-American church heads for Seattle’s suburbs.

The Rev. Leslie David Braxton saw the writing on the wall in 1999. Members of his former congregation at Mount Zion Baptist Church in the Central District were moving south, and in Seattle, the black middle class was already starting to shrink…

A data junkie and sociologist by training, the reverend rattles off statistics effortlessly. In 1999, he gleaned that in 20 years, the Central District wouldn’t be the epicenter of the black community…

He pushed for Mount Zion to open a satellite campus south of the city. After some internal conflicts, he resigned and, in 2005 started his own church, New Beginnings Christian Fellowship, south of Seattle…

“We’re sitting on 8½ acres. There’s no way you’d be able to get that kind of property in the city.” And, if a similar building existed, he said, “it certainly wouldn’t be affordable.”

To Braxton, there’s an upside, however. For many black families, the suburbs offer an opportunity to live out the American dream — good schools, the house with a two-car garage and a spacious yard — far more easily than the city. It’s a reversal, he says, of white flight, common in the East Coast.

Churches can often go where a majority of their members go. The pattern described here sounds similar to that of numerous white urban churches after World War II: as whites moved to the suburbs, so did a number of the congregations. Such moves weren’t necessarily immediate; it took time for some established institutions to leave buildings and neighborhoods where they may have been for decades and/or served multiple waves of white immigrants.

But, the suburbs today have a wider range of residents including more non-whites, immigrants, and lower- and working-class people. Suburban religious congregations already reflect some of these changes and will likely demonstrate these further in the future.

Looking at Black America as a separate country

A long infographic looks at how a country solely comprised of Black Americans would compare to other nations. Here is a brief summary:

In the infographics below, two pictures emerge. The first is of a strong nation with considerable manpower and purchasing power. The second is of a troubled, fragile state suffering from socioeconomic disparities and structural subjugation in ways that degrade life, liberty, and the pursuit of happiness (on some measures, black America resembles countries like Brazil, China, and Russia—emerging powers that are struggling with stark economic inequality). Essentially, what we’re witnessing is a nation that is comparable in certain ways to a regional power existing in the state of Disparistan (or, perhaps, Despairistan). This is more than an inconvenient truth; it fundamentally undermines the United States’ greatest contribution to humanity: the American idea.

Intriguing thought experiment. It would then be interesting to do this for each major racial/ethnic group in the United States to see the clear differences.

Oddities in St. Louis County that led to tensions: significant revenues from fines, permissive incorporation laws

Radley Balko points out some interesting features of St. Louis County, Missouri that contribute to racial and socioeconomic disparities:

Some of the towns in St. Louis County can derive 40 percent or more of their annual revenue from the petty fines and fees collected by their municipal courts. A majority of these fines are for traffic offenses, but they can also include fines for fare-hopping on MetroLink (St. Louis’s light rail system), loud music and other noise ordinance violations, zoning violations for uncut grass or unkempt property, violations of occupancy permit restrictions, trespassing, wearing “saggy pants,” business license violations and vague infractions such as “disturbing the peace” or “affray” that give police officers a great deal of discretion to look for other violations. In a white paper released last month (PDF), the ArchCity Defenders found a large group of people outside the courthouse in Bel-Ridge who had been fined for not subscribing to the town’s only approved garbage collection service. They hadn’t been fined for having trash on their property, only for not paying for the only legal method the town had designated for disposing of trash…There are many towns in St. Louis County where the number of outstanding arrest warrants can exceed the number of residents, sometimes several times over. No town in Jackson County comes close to that: The highest ratios are in the towns of Grandview (about one warrant for every 3.7 residents), Independence (one warrant for every 3.5 residents), and Kansas City itself (one warrant for every 1.8 residents)…

Sales taxes are the primary source of revenue in most St. Louis County municipalities. Wealthier areas naturally see more retail sales, so the more affluent towns tend to be less reliant on municipal courts to generate revenue. In recent years a state pool was established to distribute sales taxes more evenly, but existing towns were permitted to opt out. Most did, of course. Perversely, this means that the collection of poorer towns stacked up along the east-west byways are far more reliant on municipal court revenues. That means they face much stronger incentives to squeeze their residents with fines, despite the fact that the residents of these towns are the people who are least likely to have the money to pay those fines, the least likely to have an attorney to fight the fines on their behalf, and for whom the consequences of failing to pay the fines can be the most damaging…

“Until only relatively recently, the state of Missouri had almost no rules for municipal incorporation,” Gordon says. “In just about every other state, when a new new subdivision would spring up in an unincorporated area, the state would say, ‘If you want public services, you need to be annexed by the nearest town.’ In Missouri, you didn’t have that.”…

“The state’s one requirement before giving you the power to zone was that you had to incorporate and draw up a city plan,” Gordon says. “That plan could be as simple as getting an engineer to slap a ‘single family’ zone over the entire development. Your subdivision is now a town.”

Some interesting individual cases – of both individuals penalized and municipalities acting badly – interwoven throughout the piece. But, a complex maze of issues: a number of communities with limited tax bases which leads to a heavier reliance on fines, hitting residents with multiple penalties, and incorporation laws that led to a lot of small communities that can set up their own systems and struggle (or if wealthier, thrive) on their own.

While it might be temping to these issues as separate and important issues in their own right, I was struck that this is the sort of system that arises when white and wealthier residents are determined to keep poorer and non-white residents out. This goal was widespread in the American suburbs after World War II but it sounds this mix of communities outside of St. Louis was able to put together a potent system for keeping blacks in other suburbs. Even with civil rights legislation, there are still plenty of “legal” means to limit or harass non-white residents in such a way to keep them out of white and/or wealthier suburbs.

DeSean Jackson illustrates how black Americans often retain ties to poorer neighborhoods, regardless of class

Jamelle Bouie highlights sociological research that shows blacks in America tend to live closer to and have ongoing social ties with poorer neighborhoods compared to whites:

The key fact is this: Even after you adjust for income and education, black Americans are more likely than any other group to live in neighborhoods with substantial pockets of poverty.

As sociologist Patrick Sharkey shows in his book Stuck in Place, 62 percent of black adults born between 1955 and 1970 lived in neighborhoods that were at least 20 percent poor, a fact that’s true of their children as well. An astounding 66 percent of blacks born between 1985 and 2000 live in neighborhoods as poor or poorer as those of their parents…

How does this stack up to white families? Here, Sharkey is indispensable: Among white children born through 1955 and 1970, just 4 percent live in high poverty neighborhoods. Or, put another way, black Americans live with a level of poverty that is simply unknown to the vast majority of whites…

“When white families advance in economic status,” writes Sharkey, “they are able to translate this economic advantage into spatial advantage by buying into communities that provide quality schools and healthy environments for children.” The same isn’t true for black Americans, and some of the answer has to include present and ongoing housing discrimination. For example, in one study—conducted by the Department of Housing and the Urban Institute—black renters learned about fewer rental units and fewer homes than their white counterparts…

This can have serious consequences. Youthful experimentation for a white teenager in a suburb might be smoking a joint in a friend’s attic. Youthful experimentation for a black teenager might be hanging out with gang members. As Mary Pattillo-McCoy writes in her book Black Picket Fences: Privilege and Peril Among the Black Middle Class, “Youth walk a fine line between preparing for success and youthful delinquent experimentation, the consequences of which can be especially serious for black youth.”

Even as the details of the DeSean Jackson situation trickle out, the overall point is clear: blacks and whites in America continue to live in different neighborhoods and this has consequences for adult life. One consequence is that blacks tend to live in poorer neighborhoods, regardless of class, and a second is that social ties between wealthier and poorer neighborhoods often continue even when economic opportunity allows one to move elsewhere (see the work of Robert Sampson in Great American City for his social network analysis of social ties of residents who leave poorer neighborhoods – and also where they tend to end up).

All together, the impact of on-going residential segregation is not as simple as living in different places. The social conditions of different places is related to all sorts of disparate outcomes including housing options, educational attainment, safety and crime rates, economic opportunities, and life expectancy. We should not be surprised if we see this play out in arenas like the NFL which apparently has some divided opinions about how it should be addressed (one team releases a good player, another eagerly signs him).

Bigger gap in viewing race between white and black Christians

A new study looks at how white and black Christians in America view race – and the two sides are still far apart:

“The new findings … lay bare the dramatic and growing gap in racial attitudes and experiences in America,” writes David Briggs in releasing the second wave of results from the Portraits of American Life Study (led by Michael Emerson of Rice University and David Sikkink of Notre Dame) via the Association of Religion Data Archives. “We do not live in a post-racial nation, the [new 2012 results] suggests, but in a land of two Americas divided by race, and less willing than ever to find a common ground of understanding.”…

1) More evangelicals and Catholics have come to believe that “one of the most effective ways to improve race relations is to stop talking about race.” In 2012, 64 percent of evangelicals and 59 percent of Catholics agreed with this statement, up from 48 percent and 44 percent respectively in 2006…

2) More evangelicals now agree that “it is okay for the races to be separate, as long as they have equal opportunity.” In 2012, 30 percent of all evangelicals agreed, up from 19 percent who said the same in 2006…

In 2006, more than 4 in 10 white non-evangelical Protestants agreed that the government should do more, versus only 3 in 10 white evangelicals and white Catholics. But in 2012, researchers found that “the religion effect disappeared” thanks to “substantial declining support” among white mainline Protestants (dropping from 42 percent to 21 percent) and white “other” Protestants (42 percent to 20 percent). Thus, “regardless of religious affiliation, whites were statistically identical to each other” by 2012.

5) More Americans now say they have been “treated unfairly” because of their race. And moreover, the increase from 2006 to 2012 was statistically significant for all groups: blacks (36% to 46%); Hispanics (17% to 36%); Asians (16% to 31%); whites (8% to 14%); as well as all Americans (13% to 21%).

Looks like more evidence for continuing to assign Divided By Faith to my Introduction to Sociology classes…

Study: white flight led to increased homeownership rates for blacks

A new study suggests one positive outcome of white flight from American cities: more opportunities to purchase homes for blacks.

Historic data suggests, however, that the mass exodus of the white middle class from central cities had one positive result for the people left behind: Suburban white flight helped boost black homeownership in America. And the extent of the effect is striking. Economists Leah Boustan of UCLA and Robert Margo of Boston University have estimated that for every 1,000 white households that moved out of central cities for the suburbs between 1940 and 1980, about 100 black households became homeowners.

In a fascinating paper published in the Journal of Urban Economics, the researchers argue that the two trends didn’t simply occur in tandem. One directly helped cause the other. Between 1940 and 1980, a period during which Boustan and Margo examined data in 98 cities, the share of white metropolitan households in the U.S. living in the suburbs nearly doubled from 35 percent to 68 percent. Over that same time, the homeownership rate among black metropolitan households rose from 19 percent to 46 percent – a jump of 27 percentage points that had been unprecedented in American history…

By their calculation, 26 percent of the nationwide increase in black homeownership between 1940 and 1980 can be attributed to the white exodus to the suburbs. As white families left for newly created housing – following newly paved highways into the suburbs – demand (and prices) dropped for single-family homes in the city. As the cost of homeownership then declined, more blacks who had previously been renters – a group that now made up a much larger share of would-be home-buyers – were able to buy a home for the first time.

The effect was particularly strong in cities that had a large stock of existing single-family homes conducive to ownership, and in those central cities that had a relatively large black population. In New York City, for example, only 15 percent of the housing stock was owner-occupied in 1940. As a result, Boustan and Margo model that every 1,000 white household departures led to just 50 new black homeowners. But in Birmingham, Alabama, with its large black population and numerous detached single-family homes, 1,000 white departures generated 450 new black homeowners.

Interesting claims though it sounds like white flight only accounts for 26% of the rise in black homeownership. What were the other factors?

Also, this article says little about how we might reassess white flight. Does this suggest white flight was partly okay because it led to new homeownership opportunities? Even if blacks were able to purchase these homes, wasn’t it still the case that a massive amount of wealth, financial and social, left urban neighborhoods? It seems like this research could be used to highlight the paradoxes of homeownership – it isn’t a perfect good even if it is a American social ideal.

The effect of neighborhoods on persistent inequality between races

A new book by sociologist Patrick Sharkey highlights how neighborhood conditions contribute to persistent inequality by race:

Put more bluntly:

Even if a white and a black child are raised by parents who have similar jobs, similar levels of education, and similar aspirations for their children, the rigid segregation of urban neighborhoods means that the black child will be raised in a residential environment with higher poverty, fewer resources, poorer schools, and more violence than that of the white child.

This might not seem to make sense: education gains have been fairly substantial, so shouldn’t income and wealth follow? The problem is that whites are more likely to lock in gains over generations. Blacks are more likely to be in a higher income centile than their parents than whites (55/50), and less likely to be in a lower one (44/49). But they’re more likely to be in a lower income quintile (53/41) and less likely to be in a higher income quintile (35/45). Whites are more likely to inch down and leap up the socioeconomic ladder; for blacks, vice versa.

By way of explanation, Sharkey points to the work of Northwestern sociologist Mary Pattillo on the black middle class: “When white families advance in economic status, they are able to translate this economic advantage into spacial advantage by buying into communities that provide quality schools and healthy environments for children. An extensive research literature demonstrates that African Americans are not able to translate economic resources into spacial advantage to the same degree.” In the real world, this is the reality for middle-class neighborhoods like Chatham, which struggle to maintain their economic and residential base while buffeted by violence creeping in from neighboring communities.

This research counters the idea that decreased educational differences necessarily leads to reduced wealth and spatial differences. There are other important factors at work, including the spatial context. Education is not a silver bullet that solves all of the issues related to poverty.

This would seem to line up with research on wealth differences between whites and blacks (see Black Wealth/White Wealth by Oliver and Shapiro). Even if blacks have made educational gains, wealth is partly generational. Wealth really helps with buying a home in middle- and upper-class neighborhoods that then offer better schools, environments, and social capital. And this homeownership gap is still large in the first quarter of 2013 (Table 16): 73.4% for whites, 43.1% for blacks, 45.3% for Hispanics, and 54.6% for all other races.

“Being White in Philly”

Philadelphia magazine recently published a piece titled “Being White in Philly.” Here is the argument of the article:

I’ve shared my view of North Broad Street with people—white friends and colleagues—who see something else there: New buildings. Progress. Gentrification. They’re sunny about the area around Temple. I think they’re blind, that they’ve stopped looking. Indeed, I’ve begun to think that most white people stopped looking around at large segments of our city, at our poorest and most dangerous neighborhoods, a long time ago. One of the reasons, plainly put, is queasiness over race. Many of those neighborhoods are predominantly African-American. And if you’re white, you don’t merely avoid them—you do your best to erase them from your thoughts.

At the same time, white Philadelphians think a great deal about race. Begin to talk to people, and it’s clear it’s a dominant motif in and around our city. Everyone seems to have a story, often an uncomfortable story, about how white and black people relate…

Fifty years after the height of the civil rights movement, more than 25 years after electing its first African-American mayor, Philadelphia remains a largely segregated city, with uneasy boundaries in culture and understanding. And also in well-being. There is a black middle class, certainly, and blacks are well-represented in our power structure, but there remains a vast and seemingly permanent black underclass. Thirty-one percent of Philadelphia’s more than 600,000 black residents live below the poverty line. Blacks are more likely than whites to be victims of a crime or commit one, to drop out of school and to be unemployed.

What gets examined publicly about race is generally one-dimensional, looked at almost exclusively from the perspective of people of color. Of course, it is black people who have faced generations of discrimination and who deal with it still. But our public discourse ignores the fact that race—particularly in a place like Philadelphia—is also an issue for white people. Though white people never talk about it.

Everyone might have a race story, but few whites risk the third-rail danger of speaking publicly about race, given the long, troubled history of race relations in this country and even more so in this city. Race is only talked about in a sanitized form, when it’s talked about at all, with actual thoughts and feelings buried, which only ups the ante. Race remains the elephant in the room, even on the absurd level of who holds the door to enter a convenience store.

My first thought after quickly reading through the article was that the writer ignores the privileged positions of whites vis a vis minorities in Philadelphia and the United States. Part of what makes it difficult for whites to talk about race is they then have to acknowledge that currently and historically whites have been advantaged and don’t face the same kind of discrimination that blacks and others have faced. Without being willing to tackle these power dynamics and the larger structural inequalities at hand, it is difficult to have a conversation.

Looking at the data behind the claim that more black men are in jail than college

A scholar looks at his own usage of a statistic and where it came from:

About six years ago I wrote, “In 2000, the Justice Policy Institute (JPI) found evidence that more black men are in prison than in college,” in my first “Breaking Barriers” (pdf) report. At the time, I did not question the veracity of this statement. The statement fit well among other stats that I used to establish the need for more solution-focused research on black male achievement…

Today there are approximately 600,000 more black men in college than in jail, and the best research evidence suggests that the line was never true to begin with. In this two-part entry in Show Me the Numbers, the Journal of Negro Education’s monthly series for The Root, I examine the dubious origins, widespread use and harmful effects of what is arguably the most frequently quoted statistic about black men in the United States…

In September 2012, in response to the Congressional Black Caucus Foundation’s screening of the film Hoodwinked, directed by Janks Morton, JPI issued a press release titled, “JPI Stands by Data in 2002 on Education and Incarceration.” However, if one examines the IPEDS data from 2001 to 2011, it is clear that many colleges and universities were not reporting JPI’s data 10 years ago.

In 2011, 4,503 colleges and universities across the United States reported having at least one black male student. In 2001, only 2,734 colleges and universities reported having at least one black male student, with more than 1,000 not reporting any data at all. When perusing the IPEDS list of colleges with significant black male populations today but none reported in 2001, I noticed several historically black colleges and universities, including Bowie State University, and my own alma mater, Temple University. Ironically, I was enrolled at Temple as a doctoral candidate in 2001.

When I first saw this, I first thought it might be an example of what sociologist Joel Best calls a “mutant statistic.” This is a statistic that might originally be based in fact but at some point undergoes a transformation and keeps getting repeated until it seems unchallengeable.

There might be some mutant statistic going here but it also appears to be an issue of methodology. As Toldson points out, it looks like this was a missing data issue: the 2001 survey did not include data from over 1,000 colleges. When more colleges were counted in 2011, the findings changed. If it is a methodological issue, then this issue should have been caught at the beginning.

As Best notes, it can take some time for bad statistics to be reversed. It will be interesting to see how long this particular “fact” continues to be repeated.