For centuries, the distribution between majority and minority groups have been a major problem in America. Throughout the years, the smallest percentage of richest people in America have gotten increasingly richer as the largest percentage of the poorest people in the country has gotten poorer. According to Dolgon, over the past 25 years, the top 1% of America’s net worth percentile groups has consistently held around 35% of the wealth in America, while the bottom 50 % of America’s net worth percentile groups has consistently held less than 5%. Mare recent findings from a study done by the Federal Reserve Board Survey of Consumer Finances 2014 show that the top 3% of families hold 54% of nation’s wealth, while the bottom 90% of families hold
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These essentials include buying a home, getting an education, and keeping a job. These essentials have massive effects on the unequal distribution of wealth in America, because they are life events that all people, regardless of their demographics, experience. According to recent findings done by Forbes Magazine, “The median white homeowner’s house is worth $85,800 compared to $50,000 for black homeowners and $48000 for Latino homeowners” (Shin). The drastic difference between these numbers is most likely due to the difference in home values between neighborhoods that more white people live in and neighborhoods that more people of other ethnicities live in. Even though intentional segregation is not seen present day, people of that same race and ethnicity often tend to live in the same neighborhoods. The difference in home values stems from the 1934 National Housing Act, which selectively denied services to black neighborhoods and therefore created massive credit risks for the homeowners. The effects of this still weigh on many neighborhoods …show more content…
Mortgages of white households’ often have lower interest rates than mortgages of black or Latino households. According to Laura Shin from Forbes Magazine, “even as recently as 2012, Wells Fargo admitted it had steered black and Latino households into subprime mortgages but had offered white borrowers with similar credit profiles prime mortgages” (Shin). This sort of discrimination has proven to be much more common, even in big name companies, than the average American assumes. Also “black and white testers posing as home buyers had drastically different experiences when they contacted a real estate company” (Editorial Board). Discrimination is a huge issue once it comes the distribution of
These essentials include buying a home, getting an education, and keeping a job. These essentials have massive effects on the unequal distribution of wealth in America, because they are life events that all people, regardless of their demographics, experience. According to recent findings done by Forbes Magazine, “The median white homeowner’s house is worth $85,800 compared to $50,000 for black homeowners and $48000 for Latino homeowners” (Shin). The drastic difference between these numbers is most likely due to the difference in home values between neighborhoods that more white people live in and neighborhoods that more people of other ethnicities live in. Even though intentional segregation is not seen present day, people of that same race and ethnicity often tend to live in the same neighborhoods. The difference in home values stems from the 1934 National Housing Act, which selectively denied services to black neighborhoods and therefore created massive credit risks for the homeowners. The effects of this still weigh on many neighborhoods …show more content…
Mortgages of white households’ often have lower interest rates than mortgages of black or Latino households. According to Laura Shin from Forbes Magazine, “even as recently as 2012, Wells Fargo admitted it had steered black and Latino households into subprime mortgages but had offered white borrowers with similar credit profiles prime mortgages” (Shin). This sort of discrimination has proven to be much more common, even in big name companies, than the average American assumes. Also “black and white testers posing as home buyers had drastically different experiences when they contacted a real estate company” (Editorial Board). Discrimination is a huge issue once it comes the distribution of