by Delano Bogle – Guest Columnist Â
The election is now over and here we are. What do we as African-Americans have to look forward to for the next four years? Is it more of the same? Or, are we going to take back our economic power? It is well known what our problems are. We have the largest racial wealth gap that is growing wider. We are on the bottom of every economic indicator as a group. Yet, our consumer spending grows every year.
Why is that? Well, one reason is we do not PRODUCE WHAT WE CONSUME! In 2010 we spent $910 billion on goods and services in the USA. Out of that, we only spent 2% with our own
African American businesses. As we study other groups we see that Asians with a median income of $55k own 1 out of 10 businesses. Whites with a median income of $53k – $54k, own 1 out of 34 businesses for their group. Hispanics with a median income of $32k-$33k own 1 out of 54 businesses. African Americans with a median income of $19,400 own 1 out of 104 businesses.
Not only does business ownership allow you a higher median income, business ownership redistributes wealth 8 times faster than a job. As a community bounces the dollar before it leaves, the more prosperous it is for that community.
Case in point, Hispanics bounce the dollar 6-8 times before it leaves their community. Whites bounce the dollar 8-12 times before it leaves. Arabs and Asians bounce it 13-14 times before it leaves. Jews bounce the dollar 18 times before it leaves. Now in the African-American community the dollar doesn’t even bounce ONCE!
We must re-establish our own markets through the residents that live in the community. We must be taught to develop, own and operate our businesses. That is the only way we are going to recirculate the $910 billion dollars we spent in 2010. We MUST become PRODUCERS. We must become self-sufficient and self-sustaining.
The average person that goes to school is educated to get a job and not taught to acquire their own wealth producing assets. Why is that? That can be answered by an exchange with a leading philanthropist who donated millions of dollars to helping low-income children. These children who attend private schools asked, “What about teaching kids the ownership skills that made your fortune so we can become financially independent?” His response was, “But then who would do the work?” That is why we need our own schools, farms, banks and other institutions. Other groups are not going to teach you to be in direct competition with them and their children. This is not discussed by any national, state or local leaders.
There is a national plan that has been laid out for us to accomplish these goals of:
1. Fighting Unemployment.
2.Closing the racial wealth gap.
3.Increasing wealth producing assets.
It is called, ‘POWERNOMICS.’ That is where we pool our resources and power to produce, distribute and consume in a way that creates goods and wealth that African-American people control. We have a long way to go, but we must be on one accord. Economic prosperity is a legacy that should be left for our children and future generations. THE TIME IS NOW!
Delano Bogle is the Executive Director of the Pine Hills Community Development Corporation.  He can be reached at [email protected]
When a millionaire philanthropist, who donated millions of dollars to helping low-income children asked, “What about teaching kids the ownership skills that made your fortune so we can become financially independent?” His response was, “But then who would do the work?”
You are right Bro. Delano. They are only interested in helping to get us to the level of drone workers but not business owners and certainly not wealthy. So why do we trust the Urban League, African American Chamber, and other organizations to help us, when their allegiance is not to us, but to them?
Good Job Delano, your heart for African American economic growth is well displayed here. You have a great gift to communicate your passion. Now we have to motivate the people to change. The dollar doesn’t even bounce in our community (wow).. Job well done.