STUDY IS REVEALING DRASTIC ECONOMIC INEQUITIES BETWEEN WHITE COMMUNITIES AND THOSE OF COLOR.

THE REPORT CALLED THE COLOR OF WEALTH IN CHICAGO EXAMINES THE ASSETS AND DEBTS OF THE CITY'S BLACK WHITE, PUERTO RICAN AND MEXICAN RESIDENTS.

IT FINDS BLACK HOUSEHOLDS HAVE A MEDIAN NET WORTH OF $0 COMPARED TO $210,000 FOR WHITE FAMILIES.

HERE TO TALK ABOUT THOSE FINDINGS ARE DERRICK HAMILTON, A PROFESSOR OF ECONOMICS AND URBAN POLICY AND THE FOUNDING DIRECTOR OF THE NEW SCHOOL'S INSTITUTE OF RACE POWER AND POLITICAL ECONOMY.

ANDREA SCIENCE, PRESIDENT AND CEO OF THE CHICAGO COMMUNITY TRUST ANDREAS SEPPI CHIEF, A PARTNERSHIP AND DEVELOPMENT AT BY THE HAND CLUB FOR KIDS AND BRENDA PALMS.

THE FOUNDER AND CEO FOUNDER, PRESIDENT AND CEO OF THE NORTH LAWNDALE EMPLOYMENT NETWORK.

THANKS TO ALL 4 OF YOU FOR JOINING US.

PROFESSOR HAMILTON, LET'S START WITH YOU, PLEASE.

WHY FOCUS ON WEALTH?

WHAT DIDN'T WE KNOW THAT YOU NEEDED TO INVESTIGATE?

WELL, WEALTH, IT'S PROBABLY THE PARAMOUNT INDICATOR OF ECONOMIC SECURITY.

WE THINK ABOUT IT AS AN OUTCOME.

BUT HIS ACTIONS IS FUNCTIONAL.

WHAT IT CAN DO FOR YOU IF YOU WANT TO YOUR KIDS TO COLLEGE, IF YOU'RE FACED WITH A LEGAL CHALLENGE OF MEDICAL CONDITION, A LOT OF THOSE BIG TICKET ITEMS AREN'T FINANCED OUT OF YOUR INCOME.

I MEAN, WE RECENTLY HAD THE PANDEMIC EXPERIENCE IN THIS STUDY WAS COLLECTED TOWARDS THE TAIL END OF THE PANDEMIC.

AND YOU CAN IMAGINE IF YOU'RE A WORKER WITH A PREEXISTING CONDITION AND YOU HAVE TO PUT YOUR LIFE AT RISK.

WELL, IF YOU DON'T HAVE WEALTH, YOU DON'T HAVE AGENCY AND MAKING AN ALTERNATIVE DECISION.

BUT TO HAVE TO GO IN FOR SUBSISTENCE AND CLARIFY FOR US.

THE DIFFERENCE BETWEEN WEALTH AND INCOME, YOU KNOW, INCOME IS A FLOW.

GOOD INCOME IS GENERALLY A NEST, THE TECHNICAL FRAMING, BUT INCOME IS GENERALLY USED FOR SUBSISTENCE USUALLY TO PAY YOUR BILLS.

YOUR EXPENSES.

SADLY, WHEN YOU DON'T HAVE WEALTH, FUND IS VOLATILITY INTO AMOUNT OF HOURS YOU HAVE IN A WEEK OR 2 OR YOUR WAGE AND YOU KNOW THAT THAT'S NOT SO ISOLATED.

SOME PEOPLE EXPERIENCE VOLATILITY IN THE LABOR FORCE PARTICIPATION.

WELL, AND THAT SCENARIO, IF YOUR INCOME GETS IT GETS A STIFLED.

RELY ON YOUR SAVINGS IN YOUR WEALTH.

JUST QUICK SUMMARY INCOME IS THE FLOW GENERALLY USED FOR EXPENSES.

WELL, FACE A CAPITAL, IT AND WELL OFTEN HAS THE ATTRIBUTES PAYING DIVIDENDS IN PERPETUITY.

SO IF YOU OWN PROPERTY AND YOU'RE RIGHT, THAT'S THAT'S A SOURCE OF INCOME.

SO THAT WILL CREATE MORE WEALTH FOR I'M ANDREA SCIENCE.

HOW COMMISSIONING THE STUDY?

HOW DOES IT REFLECT ON SORT OF THE GOALS OF THE MISSION OF THE TRUST?

SO WE'VE BEEN FOCUSED ON THE WEALTH GAP IN CHICAGO FOR ABOUT 5 YEARS NOW.

AND THIS STUDY GIVES US ADDITIONAL INSIGHTS INTO THE WAY DIFFERENT COMMUNITIES IN OUR CITY ARE EXPERIENCING OUR ECONOMY.

THAT HELPS US UNDERSTAND WHERE WE MIGHT ADVOCATE FOR DIFFERENT SUPPORT ORGANIZATIONS AND COMMUNITY LEADERS THAT ARE TRYING TO ADDRESS THOSE BARRIERS TO BUILDING WEALTH THAT MANY OF OUR COMMUNITIES ARE EXPERIENCING.

SO HOW MIGHT WE CREATE MORE OPPORTUNITIES FOR FAMILIES OF COLOR TO OWN HOMES.

FOR EXAMPLE, AND HOW MIGHT WE CREATE THE CONDITIONS WHERE THOSE HOMES ARE LIKELY TO APPRECIATE IN VALUE AND BECOME AN ASSET VERSUS A LIABILITY FOR A FAMILY.

THOSE ARE ALL THE THINGS WE'VE BEEN WORKING ON AND EXPLORING WITH MANY PARTNERS ACROSS THE CITY FOR MANY YEARS.

THESE NEW DATA GIVE US A MORE DETAILED UNDERSTANDING OF WHAT'S GOING ON IN DIFFERENT SUBGROUPS ACROSS OUR COMMUNITIES.

SO A LITTLE BIT THAT'S IN THE RESEARCH BLACK FAMILIES HAD THE LOWEST ESTIMATED RATE OF HOMEOWNERSHIP AT 34% COMPARED TO WHITE FAMILIES AT 72%, BLACK FAMILIES WERE MOST LIKELY TO USE PAYDAY LENDING AT 18% COMPARED TO US BORN MEXICAN FAMILIES AND PUERTO RICAN AT 13 11% RESPECTIVELY.

WHITE FAMILIES MUCH, MUCH LOWER THAN THAT.

6% BLACK FAMILIES MORE LIKELY TO HAVE MEDICAL DEBT THAT THE 29% COMPARED TO WHITE FAMILIES AT 18%.

AGAIN, PUERTO RICAN AND MEXICAN FAMILIES FALLING IN BETWEEN THOSE 2 FIGURES BUT MEDICAL BEING THE NUMBER ONE CAUSE OF BANKRUPTCY IN THE U.S.

PROFESSOR HAMILTON, WHAT DOES ALL THIS TELL AND IT ALSO SPEAKS A NEED TO HAVE BOTH INCOME AND WEALTH AS A RESULT OF HAVING LOW INCOME PEOPLE END UP IN THESE DEBT TRAPS, YOU KNOW SOMETHING LIKE MEDICAL DEBT, STUDENT LOAN DEBT, EVEN IF WE THINK ABOUT THAT, SOMEBODY TRYING TO BETTER THEMSELVES SO THAT THEY CAN HAVE POTENTIALLY MORE ADVANTAGEOUS LABOR MARKET EXPERIENCES.

WELL, IT'S ROUGH IF YOU GET SADDLED WITH AN ALBATROSS OF DEBT CON.

ON THE OTHER HAND, IF YOU HAVE TO START STARTED FROM A POSITION OF WEALTH.

YOU'RE ABLE TO ACQUIRE EDUCATION AT A LOW COST WITHOUT OF ACQUIRING THAT DEBT.

SO, YOU KNOW, WE WE HAVE TO THINK ABOUT A COMPLETE PICTURE OF ECONOMIC SECURITY, BUT WE CAN EVEN GO FURTHER AND SAY OFFENSIVE LEE, IF YOU HAVE SOMETHING LIKE WEALTH, IT'S GENERATIVE.

IT'S PRODUCTIVE.

GIVES YOU CAPACITY GIVES YOU AGENCY NOT ONLY MEET YOUR SUBSISTENCE AND DEAL WITH A RAINY DAY, BUT INVEST WHICH, YOU KNOW, SAY THIS LAST POINT.

I IT ALLOWS NOT ONLY INDIVIDUALS TO THRIVE, BUT IT CREATES MULTIPLIER EFFECT IN WAYS THAT WE OTHERWISE PROBABLY CAN'T EVEN IMAGINE THE INNOVATION OF HAVING SOME CAPITAL FOUNDATION TO EXERCISE ONE'S IDEA COULD COULD BENEFIT IN THE WAYS.

BRENDA HOW WOULD YOU SAY THESE RESULTS ARE REFLECTED IN THE NORTH LAWNDALE COMMUNITIES THAT USER?

WHAT'S INTERESTING AS I WAS LISTENING, YOU KNOW, IT'S JUST EXPENSIVE TO BE POOR, ISN'T IT?

AND I THINK THAT THAT'S WHAT THIS REPORT HELPS TO ELEVATE IS NO ONE CHOOSES TO BE POOR.

I THINK WE LOOKED AT THE SYSTEMS THAT THIS REPORT, LET'S STOP THAT WERE VERY INTENTIONAL.

AND SO YOU GROW UP AND YOU HOPES OF THE AMERICAN DREAM.

BUT THERE SO MANY BARRIERS TO ACTUALLY ACHIEVING THAT THAT DREAM AND IT HAS NOTHING TO DO WITH YOUR PERSONAL WILL.

IT HAS NOTHING TO DO WITH YOUR DESIRE, BUT THAT THERE ARE INTENTIONAL SYSTEMS THAT ARE IN PLACE.

SO WHAT THAT LOOKS LIKE FOR US IN NORTH LAWNDALE SAID WE DO HAVE A DISPROPORTIONATE NUMBER OF PEOPLE THAT ARE UNEMPLOYED LEAST 3 TIMES HIGHER THE CITY OF CHICAGO.

WE UNFORTUNATELY, A DISPROPORTIONATE NUMBER OF PEOPLE WHO HAVE SERVED TIME AND JUST BECAUSE OUR COMMUNITY IS WORSE THAN ANY OTHER COMMUNITY IS THAT THE RESOURCES AND OPTIONS AND CHOICES THAT WE'VE TALKED ABOUT HAVEN'T BEEN IN PLACE.

AND SO PEOPLE DO MAKE POOR CHOICES.

AND WE KNOW THAT JUST SPENDING TIME IN PRISON, HE'S GOING TO HAVE SIGNIFICANT IMPACT ON YOUR EARNINGS POTENTIAL OVER THE COURSE OF YOUR LIFE.

SO THAT'S WHAT IT LOOKS LIKE.

BUT I WILL TELL YOU THAT ON THE GOOD SIDE IT'S EXCITING TO SEE THE GROWTH THAT IS TAKING PLACE.

WE'VE JUST OPENED UP A BEAUTIFUL, BE LOVE CAFE.

PEOPLE CAN COME AND SIT ON A OUTDOOR PATIO AND SIP ON SOMETHING SWEET AND AND THERE AND WE'RE NOT THE ONLY ONES.

SO THERE'S TREMENDOUS OPPORTUNITY, AFFORDABLE HOUSING THAT'S BEING CREATED.

TRUE ACCESS THAT PEOPLE CAN PURCHASE HOMES WITHOUT, YOU KNOW, WITH FAIR AND JUST LONG PRODUCTS WORK HAPPENING IN MORGAN TURN SOME OF THIS AROUND.

SAME QUESTION TO ANDREAS SEPPI.

YOU KNOW HOW IT SOME OF THIS RESEARCH HOUSE THAT REFLECTED IN YOUR COMMUNITY AND WHAT'S THE WORK THAT'S BEING DONE TO CHANGE IT?

YES, OFTEN IS ONE OF THE LARGEST NEIGHBORHOODS IN CHICAGO.

WE HAVE OVER 95,000 RESIDENTS IN OUR COMMUNITY, IN THE NEIGHBORHOOD THAT I WORK IN NORTH AUSTIN HAS 1 MILLION RESIDENTS WITHIN 5 MILES, WHICH IS REALLY DENSELY POPULATED.

AND WE HAVE A LOT OF THE CHALLENGES THAT WERE EXPRESSED IN THIS REPORT.

BUT WHAT YOU SEE ESPECIALLY COMING OUT OF THE PANDEMIC IS A LOT OF CREATIVITY.

SO BY THE HAND CLUB FOR KIDS, WE'RE A FAITH-BASED AFTER-SCHOOL PROGRAM.

WE WERE REALLY FORMED 20 YEARS AGO TO ADDRESS BARRIERS THAT ARE IN OUR COMMUNITY.

WE PICK KIDS UP ON THE SCHOOL BUS.

THEY GET DINNER AT BY THE HAND CLUB ACADEMIC, TUTORING AND ENRICHMENT.

AND THEN WE DROP THEM SAFELY AT NIGHT.

AND ALL THIS HAS LED TO OVER THE LAST 20 YEARS.

86 1% OF OUR STUDENTS GRADUATING HIGH SCHOOL, BUT COMING OUT OF THE PANDEMIC, WE KNEW WE HAD TO DO EVEN MORE THAN THAT.

SO WE WORKED WITH PARTNERS IN WE HAVE 2 OTHER NONPROFIT ORGANIZATIONS AND TENSILE SPORTS IN THE GAP PROVIDE CENTER TO TRANSFORM.

SO THINK ABOUT THIS.

ONE OF THE LARGEST NEIGHBORHOODS IN CHICAGO HAD A 10 ACRE BROWNFIELD ENVIRONMENTALLY POLLUTED AND WE BUILT 150,000 SQUARE-FOOT FACILITY FOR SPORTS, EDUCATION AND WELLNESS.

AND JUST IN OUR FIRST YEAR OPEN, WE HAD OVER 60,000 VIEWS AND 12,000 ADULTS COME INTO OUR CENTER FOR HEALTH AND SPORTS ACTIVITIES.

AND I LIVE IN THE COMMUNITY AND I GOT TO MEET MY LIVE RIGHT ACROSS THE STREET FROM THE AT THE FACILITY.

AND WHEN YOU SEE ALL THAT THAT SO MUCH MORE THAN YEAR IN A SOCCER PROGRAM, YOU'RE IN A BASKETBALL PROGRAM OR URINE BY THE HIM CLUB AFTER SCHOOL.

THAT'S HIGH SCHOOL STUDENTS.

THANK.

YOU KNOW, I WANT TO MAKE MY SOCCER TEAM AT HIGH SCHOOL.

SO THEN I CAN BE A COAT.

AND THEN IF I COACH, YOU KNOW, LITTLE SECOND GRADERS ON SATURDAY MORNING OF MAY GET SOME MONEY IN MY POCKET SPEND THAT MONEY IN MY NEIGHBORHOOD AND WHAT WE SEE ESPECIALLY WORKING WITH YOU IS THAT WEALTH GAP STARTS REALLY YOUNG.

YOU KNOW, HAVING THAT BUILT ENVIRONMENT WHERE WE'RE BRINGING INCREDIBLE RESOURCES TO THE NEIGHBORHOOD, SO MUCH CHANGING WERE JUST SO THANKFUL FOR THE CREATIVE PHILANTHROPY OF THE TRUST.

IT'S IT'S CHANGING THE NARRATIVE AND WELL.

TO THAT TO THAT POINT, BECAUSE WE'RE ALMOST OUT OF TIME.

ANDREA SCIENCE.

YOU KNOW, I KNOW PROFESSOR HAMILTON MAKES SOME SORT OF GET A RECOMMENDATIONS WITH REGARDS BABY BARNS AND OTHER, YOU KNOW, POTENTIAL POLITICAL ARE NOT POLITICAL, BUT POTENTIAL PROGRAMMING THAT CAN HELP, YOU KNOW, START TO SORT OF LIKE BRIDGE THAT WEALTH GAP AT AN EARLY AGE.

HOW DOES THIS RESEARCH HELP YOU SORT OF, YOU KNOW?

CREATE THE ARGUMENT WITH POLICYMAKERS ARE GOING TO PLUMMET.

SOME OF THOSE CHANGES LIKE GUARANTEED INCOME REPARATIONS.

IT ABSOLUTELY HELPS US PUT THE PIECES IN PLACE, RIGHT?

THESE DATA HELP US IMAGINE WHAT CAN BE.

WE UNDERSTAND THAT WE'VE GOT HERE BECAUSE OF POLICIES THAT WERE DECIDED BY FOLKS IN POWER DECADES AGO.

IT'S OUR TURN TO DECIDE WHAT POLICIES WE WANT TO SHAPE OUR FUTURE.

SO WE'RE NOT HERE AGAIN.

WE THINK THAT THERE'S LOTS OF ROOM TO DEVELOP POLICIES FOR MAKING POST-SECONDARY EDUCATION, AFFORDABLE WITHOUT BURDENSOME DEBT.

I'M MAKING THAT A NORM RIGHT?

WE THINK THERE'S A LOT OF ROOM HERE TO TALK ABOUT WAYS CREATIVE WAYS TO CREATE BANK ACCOUNTS, INVESTMENT ACCOUNTS FOR PEOPLE AT A YOUNG AGE.

SO WHEN THE TIME WHEN IT'S TIME FOR THEM TO BE ADULTS, THEY HAVE SOME RESOURCES WITH WHICH TO MAKE DECISIONS, LIFE DECISIONS.

WE THINK THERE'S ROOM TO THINK ABOUT, YOU KNOW, HOW DO WE KEEP PEOPLE FROM FALLING OUT?

THE BOTTOM?

SO THESE IDEAS ABOUT GUARANTEED INCOME, WHICH ARE BEING PILOTED HERE IN COOK COUNTY CHICAGO ARE ONES WE SHOULD REALLY TAKE SERIOUSLY SO IDEAS.

A LOT OF WORK.

SOME WORK ALREADY BEING UNFORTUNATELY, WE HAVE TO END THIS DISCUSSION OF.

BUT I