Analyzing readings Articles - 550 Words

Analyzing readings: Articles (Essay Sample) Content: Analyzing articlesName CourseInstructorDate The readings highlight on the effect of the Great Recession on American, with the African American community being the main focus. Even though, there is agreement that the global recession led to a substantial fall in the wealth status of many American household, the changes were not even across the racial divide. Focusing on the personal experience of an African American woman shows the strides that have been made and the dreams shattered by the recession. To highlight on the disparities in wealth and income levels is the report that average median net worth for an African American Family was $ 2,170 and that of white households was $ 97,860. The great recession was associated with low values in home equity, and decreased homeownership also fell even after the end of the downturn. The articles on the growing wealth gap of the whites, blacks and Latinos is relevant to understanding how differences n wealth diversification a nd wealth affected Americans in the short term and long-term. The changing wealth gap experienced in the country can further be understood by looking at the household wealth accumulated over time including the level of net assets taking into account the level of debt. In any case, understanding that whites have a larger wealth base shows that the effects of the recession were particularly detrimental to the wealth of minoritiesThe personal experience is relevant to understanding the problems of the Great recession since there was a rapid rise of unemployment in America. Even though, the unemployment rate later fell from 9.4% to 9.1% after the end of the recession, there was a rise in the unemployment rate in the black community. The recession led to a fall in the national output, and many employers had to retrench some of their workers. The rise in unemployment among African Americans was a national phenomenon that affected people in various industries. In any case, both industria l production and wholesale-retail businesses suffered a slump in sales. The rise in unemployment and foreclosures eroded the gains made by blacks over the years, even for those who had been raised in poverty and become the Middle class. The personal account captures the prevailing notion that blacks suffered more because their wealth was mostly concentrated in their homes. The depiction portrays the differences with whites who had more diversified investments, and suffered less from home foreclosures and a slump in the real estate sector. Nonetheless, the personal experience fails to show how personal choices affected the financial status of African Americans. Despite concerns that the income gap has widened, there is a need to pay more attention on the wealth gap across racial lines. White families were already better off before the recession as there had more assets and tended to be wealthy than the average colored person . Hence, the recession merely widened the wealth gap, bu t it is a phenomenon that cannot simply be wished away. Black people are also likely to receive less wealth from their parents compared to white people showing that the wealth gap may continue for generations. Even though, the notion of the American dream epitomizes the rise in wealth and better lives for families, the divergences in wealth among different races might explain why the minorities suffered disproportionately in the recession. In any case, the wealth gap has a long-term effect on mobility to the extent that those who come from a poorer background are left worse off in times of rising unemployment.BibliographyLowrey, Annie. 'Ra...