It Doesn’t Work That Way: Why “Buy Black” Always Falls Short
©Philly Word Magazine–Ogbonna Hagins
The Fallacy of “Buy Black” as a Path to Wealth for American Freedmen
The push to “Buy Black,” especially during the holiday season, has become a rallying cry for economic empowerment. While well-intentioned, this strategy is flawed as a solution for addressing the structural wealth gap faced by American Freedmen, the descendants of enslaved people in the United States.
The data, particularly from economist Dr. Sandy Darity, reveals why this movement cannot solve the deep-seated economic disparities rooted in systemic racism.
The Wealth Gap: An Unyielding Reality
American Freedmen households hold a median wealth of just $24,100 compared to $189,100 for White households, according to Federal Reserve data.
Dr. Darity’s research predicts that, without intervention, this wealth could reach zero by 2053. This crisis stems from centuries of exclusion: slavery, segregation, redlining, and discriminatory policies have systematically denied Freedmen access to wealth-building opportunities.
“Buy Black” campaigns focus on individual consumer spending, but the wealth disparity is not a result of consumer habits. The structural barriers preventing Freedmen-owned businesses from scaling—such as limited access to capital, systemic discrimination, and a lack of intergenerational wealth—cannot be overcome by shopping decisions alone.
Why “Buy Black” Falls Short
1. Resource Constraints: Freedmen entrepreneurs face significant hurdles in accessing loans and investments, stifling their businesses’ growth. Without the infrastructure to scale, consumer spending cannot generate transformative wealth.
2. Systemic Racism: The economic exclusion of Freedmen is systemic, rooted in policies that individual actions cannot dismantle. Supporting small businesses, while meaningful, doesn’t address the broader barriers that perpetuate poverty.
3. Insufficient Scale: Even if every consumer supported Freedmen-owned businesses, the impact would be too small to close the wealth gap. As Dr. Darity emphasizes, only large-scale interventions like reparations can repair the damage of generational disenfranchisement.
Reparations: A Necessary Solution
Dr. Darity advocates for reparations as the only viable way to address the wealth disparity. Direct payments and systemic investments would give Freedmen the tools to build generational wealth and break the cycle of exclusion. Without this, campaigns like “Buy Black” serve as temporary solutions that fail to address the root causes of inequality.
True economic empowerment for American Freedmen requires structural change—not just spending shifts, but reparations and policies that repair the damage of centuries of systemic harm.
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