Bits on Uphill Battles — and Downward Falls

Another scrapbook of fragments that didn’t get into posts I’ve written, plus some thoughts I had along the way.

Winning Battles, But Not the War

As I wrote about amendments that didn’t get into the Senate’s Farm Bill, I realized, again, what hard times we progressive advocates face.

Basically, we’re reduced to giving thanks — even to legislators themselves — because bills that affect low-income people aren’t as bad as they could have been.

We see this not only nationally, but here in the District of Columbia.

The Fair Budget Coalition, for example, proclaimed victories when high priorities, e.g., homeless services, a delay in further TANF benefits cuts, got into the list of things that will get funding if the Chief Financial Officer predicts more revenues — lots more — than the estimate the budget was built on.

Not faulting FBC  here, especially when the coalition — and others — averted some truly harmful cuts and got some money back in the Housing Production Trust Fund as well.

But I long for victories that actually move us forward.

Upward Mobility in Black and White

My recent post on the Pew Center’s economic mobility report alluded to its findings on blacks born to low-income parents. I’d wanted to include them, but the draft was already pushing against my somewhat indulgent word-count limit.

So here they are, plus some additional race gap facts.

  • The percent of blacks who grew up in the bottom fifth of the income scale is nearly six times greater than the percent of whites — 65% as compared to 11%.
  • More than half (53%) of blacks stay there, while only a third of whites do.
  • Well over half (56%) of blacks raised in the middle fifth fell down to the second or bottom fifth as adults. Less than a third (32%) of whites raised in the middle fell.

What about blacks in the top two fifths? The Pew analysts say the percent — even for both together — is too small to calculate mobility “with statistical certainty.”

Not, I think, surprising. What is to me is how much more slippery the middle rung on the ladder is for blacks.

Disparities in parental income, education and employment opportunities — all in part reflecting persistent race discrimination — can explain why it’s harder for blacks born at the bottom to climb the ladder.

But what accounts for the greater downward mobility — the reverse, if you will, of the American Dream?

Part of the answer apparently is that the median family income for blacks is lower than for whites in every fifth that can be reliability estimated. So even a relatively small income loss can drop them into the next fifth down.

But the plummet to the bottom fifth calls for more explanation than I can ferret out of the report.

Life Is Unfair, in Economese

Found this in a very wonky paper by economists Flavio Cunha and James Heckman: “The best documented market failure in the life cycle of skill formation … is the inability of children to buy their parents and the lifetime resources they provide.”

In other words, children born to parents who’ve got the education, temperament, time and money to invest in developing their cognitive and noncognitive skills, e.g., perseverance, self-control, aversion to risky behaviors, are more likely to become economically and socially successful than children who by “accident of birth” have parents who don’t.

We knew this, of course. And the Pew report indirectly confirms it. But whoever knew it was a defect in our free market system?

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