How to Close Racial Gap in Wealth Ownership.
Position | Brief Article |
The wide gap in wealth ownership between blacks and whites could be narrowed substantially if African-Americans invested more in stocks and mutual funds, maintains Lisa Keister, assistant professor of sociology, Ohio State University, Columbus. Her research shows that African-Americans are much less likely than whites to buy high-risk, high-return assets such as stocks. The results suggested that, if blacks buy high-risk assets at the same rate as whites, the wealth gap could decline dramatically.
"Much of the existing wealth disparities could be alleviated by policies that encourage blacks to own high-risk assets such as stocks that [would] increase their net worth," she says. "Making high-risk asset ownership...
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