Definitions
Prejudice, discrimination, or antagonism by an individual, community, or institution against a person or people on the basis of their membership in a particular racial or ethnic group, typically one that is a minority or marginalized.
Racism
What is the #1 way to build wealth in America?
Property inheritance
What color were the "most desirable" areas to live in?
Green
Discriminatory practice that consists of the systematic denial of services such as mortgages, insurance loans, and other financial services to residents of certain areas, based on their race or ethnicity
Redlining
2/3rds of America's middle class wealth came from?
Home ownership
Why were minority groups redlined?
They were seen as "risky" investments
Disparity in assets and wages across races
Racial wealth gap
Why is that between caucasian college graduates vs African American college graduates, black college graduate wealth decreases over time?
It is more likely that an African American college graduate is the most successful in their family network, therefore relatives ask them for help and they give it
What ways did living in the red zones impact people?
Access to jobs, schooling, safety, home value over time
A loan offered to individuals at an interest rate above prime, who do not qualify for conventional loans and typically increase in interest rate over the years
What lead the black community to losing 53% of their wealth?
Subprime loans
When was housing discrimination legally outlawed?
1968
When you earn interest on both the money you've saved and the interest you earn
Compound interest
During the great depression, around what percentage of city homeowners were in default?
Almost 50%
What was the name of the department that began to issue mortgage loans in attempt to rebuilding the housing crisis?
Federal Housing Administration