Minorities clinging to the middle class have come out of the Great Recession at a higher risk for falling into poverty during the next economic crisis, according to a recent report by the Center for American Progress, a nonpartisan think tank in Washington, D.C.

The report titled, Making Sure Money Is Available When We Need It, noted that over the past 30 years, household risk exposure increased for many Americans, following the crash of the saving and loan industry in 1989, the rise and fall of the tech bubble in 2000, and most recently the collapse of housing market in 2007 that led to the Great Recession.

Households have experienced more wealth volatility since the late 1980s because there has been more risk in the market and because they have been increasingly exposed to those risks, said the report.

The study found that was 27 percent of non-White households were at “very high risk” of exposure compared to 22.7 percent for Whites. The report also said that: “The risk exposure for nonwhite households, has grown faster than the risk exposure for white families.”

Household wealth — a family’s asset-to-debt ratio — was a determining factor on a families’ ability to weather the next economic disaster and limit their exposure to financial ruin.

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For many American families, homeownership had been the key to gaining a strong foothold in the middle class and for many families in the Black community its still one of the safest assets to own. The deluge of subprime mortgages, not an inability to afford a home, changed that.

“African Americans were targeted more for subprime loans they didn’t do anything risky like start buying stocks instead of mutual funds but they wound up holding what were riskier investments by virtue of the way the housing market works, said Wilhelmina Leigh, a senior research associate at the Joint Center for Political and Economic Studies, a group that works to improve the socioeconomic status of African Americans and other people of color.

Read more at BlackVoiceNews.com.

Business leaders are gathering with policy makers to explore how to move toward a sustainable economy at two policy forums hosted by the American Sustainable Business Council (ASBC) being held in conjunction with the Democratic National Convention. The actor and anti-cancer crusader Fran Drescher will be speaking about the importance of regulation to protect public health. She will make a keynote address at the half-day program on “Women, Business & the New Economy,” on September 6, from 9:00 AM to 1:00 PM. Another program, “Building a Sustainable Economy,” will be held on September 5, from 9:00 AM to 1:00 PM. Both events are at Hearst Tower, 47th Floor, 214 North Tryon Street in Charlotte. They are open to the public, but online registration is required at http://asbcouncil.org/conventions.

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At ASBC’s forum, “Women, Business and the New Economy,” on September 6, 9:00 AM to 1:00 PM, key women leaders in business and sustainability will look at the importance of corporate social responsibility, benefits and pay equity, access to capital, health, and the environment. The program also explores blended value ecosystems as they relate to women, human rights, and sustainability. In addition to Fran Drescher, participants include Congresswoman Jan Schakowsky, D-IL, Kim Jordan, CEO, New Belgium Brewery; Faith Taylor, Vice President of Sustainability and Innovation, Wyndham Group Worldwide; Melissa Fitzgerald, Actor, The West Wing and Chasing the Hill; Danielle Deane, Director of Energy and Environment Program, Joint Center for Political and Economic Studies;
and Natalia Oberti Noguera, Founder and CEO, Pipeline Fellowship.

Download the full press release below.