Why Don’t Blacks Save More?

Lauren Young, Reuters, April 12, 2011

Yet another survey confirms what we already know: Blacks don’t save as much as their white counterparts.

According to Prudential’s new study–the African American Financial Experience–60 percent of African-Americans have less than $50,000 in company retirement plans and only 23 percent have more than $100,000. They’re also three times more likely to raid their 401(k) or other retirement plans to meet immediate financial needs, the study says.

Prudential’s findings echo research by Ariel Investments, which looks at middle class blacks. (According to Ariel’s July 2010 study, the median assets blacks have retirement plans is about half the amount that whites have accumulated: $56,000 compared to $106,000.)

This issue has not gone unnoticed in corporate boardrooms. One company that is trying to narrow the retirement savings gap among minority workers is McDonald’s, which uses some unconventional (along with very traditional) methods to get black and Latino employees to save for retirement.

{snip}

Why don’t blacks save more? Experts say African-Americans distrust the financial system because it has excluded them for so long. In fact, 78 percent of respondents to the Prudential survey said they feel financial services companies “have not effectively engaged the African-American community.” Most of them do not use or have access to financial advisers.

{snip}

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  • Hirsch

    I think this goes back to something Schopenhauer said all those years ago. While sub-Saharan Africa does have drought and floods, the weather is generally warm year-round. One does not have to contend with snow. On the other hand, Europeans and Asians were forced in their nascent years to deal with fall and long, harsh winters. This forced them to develop time horizons, a concept of thrift and hoarding, and the ability to recognize saving for the future as a practical way to survive.

    Constantly being warmed by the sun, however comforting it might have been, did very little to induce the African to do anything besides hunt, gather, and consume impulsively. The parsimony of nature, in Schopenhauer’s words, was the African’s undoing. This “sun brain/ ice-brain” dichotomy might be a little bit overly-simple, but it goes a long way toward explaining why a black athlete who makes $10 million a year will be broke before a white man who makes $50,000.

  • Spartan24

    I figured that the blame would be squarely planted on Whites. While in times past there was discrimination in the banking system currently banks bend over backwards to attract minorities.

  • Anonymous

    It is always someone else’s fault for black genetic deficiencies, how to handle money and to have savings are beyond most blacks’ ability. Why do some whites continue this craziness year after year blaming everyone and everything else except the blacks themselves? Does this holier than thou attitude make them feel good about themselves?

  • Madison Grant

    So “financial advisors” have to “engage” blacks and tell them to save for the future? They can’t figure that out for themselves?

    The truth is that they’re irresponsible; money burns a whole in their pocket and they have a “live for today”/ party attitude.

  • TTownTony

    “Most of them do not use or have access to financial advisers”

    That is a truly stupid statement. The TRUTH is they simply aren’t willing to delay gratification and plan ahead.

    Our company had an excellent 401(k) plan which I put 15% into every paycheck and also got a 5% match. We also saved to pay cash for all the cars and other big ticket items we ever purchased and we paid our mortgage off early. We accumulated enough to retire at 55, that was 8 years ago and we’re having a blast.

    We never had a financial advisor. We simply used our brains and listened to the advice of others who had done the same.

  • Peejay in Frisco

    ‘Experts” say that the financial system has excluded African Americans for so long. Were they prohibited from opening accounts? Who are these experts? I am dying to meet some of them. Did they engage me? Not to my knowledge. Did they force Mike Tyson to blow away a few hundred million? MC Hammer? Etc,Etc, Etc.

  • Anonymous

    #1 & others are correct of course, and this is (in)famous r/K strategy theory. Let me point out that blacks and others adapted to specific environments. Which strategy is better depends on environment. For example, in a hot climate with primitive technology, there is no way to preserve food, so the best strategy is to eat it or give it away. It makes no sense to save it.

    But note that the African environment favored the development of certain physical and social capabilities which seem to be serving Africans well in contemporary America.

  • Anonymous

    “Experts say African-Americans distrust the financial system because it has excluded them for so long.”

    Which experts? How has it excluded them? Blacks have had money for a long time. If blacks have been excluded, haven’t other races also? Why don’t Chinese-Americans have the same problem blacks have?

    “In fact, 78 percent of respondents to the Prudential survey said they feel financial services companies “have not effectively engaged the African-American community.””

    Most non-blacks have not been engaged either. They are simply able to better plan ahead. I guess this idea never crossed anyone’s mind?

    “Most of them do not use or have access to financial advisers.”

    Neither do most Whites. We are getting tired of being blamed for blacks not doing X or Y.

    Isn’t the truth of the matter that blacks have only themselves to blame for not planning ahead financially? How does one of your ancestors being a slave 150 years ago prevent you from putting money in your 401k today?

  • SF Paul

    This is very true. Having worked with several blacks I always noticed that they rarely had money right before payday and often loaned each other money to buy lunch until the check was cashed. After a black co-worker complained about paying for tax preparation I offered to help and did his taxes for a case of beer. He made slightly more than I did from seniority but saved virtually nothing. The second year I did his taxes he showed me his bank statements and he had saved $700 for the year. He was shocked when I told him I had saved $12,000. We made about the same money, lived in similar circumstances, yet he managed to spend almost his entire income. I never figured it out.

  • Anonymous

    The last paragraph to this article, regarding why blacks don’t save more, contains several nuggets of transparent nonsense.

    “Experts say African-Americans distrust the financial system because it has excluded them for so long.” If one distrusts the financial system because you are skeptical of some of the practices exposed from the events leading to the most recession, then I would think that is understandable. But a person refuses to save and invest because they are pissed off that the nation’s financial system did not adequately include blacks at some point in the past, thus indicating a choice to forego planning for that person’s future, choosing to set himself back on a personal level, all in an act of spite? I don’t buy it; if such people exist I am sure they are very, very few in number.

    “78 percent of respondents to the Prudential survey said they feel financial services companies ‘have not effectively engaged the African-American community.'” I have spent most of the last decade working in finance; here is how it works: If a person has money, financial services companies will engage you, if you do not, there is really not much to “engage” about. The only color that matters to financial services companies is green. A wealthy black person will have no difficulty finding a financial services company that will be quite happy to engage with him or her, a poor white person who shows up at the door of such a company will be told that they would be better off taking their business to their local bank and open a checking account with their meager savings.

    “Most of them do not use or have access to financial advisers.” See my comments in the previous paragraph; if a person has money, he will plenty of access, if lacks money, he will not. Skin color has no bearing on the issue.

  • Anonymous

    only 23 percent (of blacks) have more than $100,000.

    the median assets blacks have retirement plans is about half the amount that whites have accumulated: $56,000.

    “Only” one-fourth of them have more than $100,000 in retirement assets? And their median assets are $56,000? I am absolutely astonished (to learn that it’s that much)!

    Why don’t blacks save more? African-Americans distrust the financial system because it has excluded them for so long. In fact, 78 percent of respondents to the Prudential survey said they feel financial services companies “have not effectively engaged the African-American community.”

    There they go again …blaming others for their shortcomings. Yes, it’s all someone else’s fault. Blame whitey. Anyone who knows them and has worked with them knows how short-sighted and improvident they are about money. They spend everything today and are broke by payday. They buy everything on credit and many of them live in perpetual debt, paying off endless credit cards.

  • Anonymous

    “Experts say African-Americans distrust the financial system because it has excluded them for so long.”

    Now its the white man’s fault that blacks don’t save money.

    Do blacks do anything wrong that is not the fault of white people or are only white people capable of being evil on their own.

    I notice that black people were perfectly fine trusting the financial system when they took out all those home loans that will never be paid back.

  • Anonymous

    2 — Spartan24 wrote —

    “While in times past there was discrimination in the banking system”

    ………………………………………

    That is inaccurate. I was hired by a large New York City bank in 1960. There were blacks working there even then. Over the next thirteen years, I worked in two more banks. They were full of blacks (especially towards the end).

    The only difference back then was that blacks were hired and treated the same way as everybody else. Same standards. Same pay. No discrimination. They did not receive special protections or benefits on account of race. But by the early 70s that was already changing and blacks were being pushed upwards.

    You can take it from someone who was there.

  • Anonymous

    Note how the “reason” provided is a bogus one that shifts responsibility AWAY from blacks. In truth most blacks are not very good at delaying gratification – a key to saving money. A ‘bling’ culture doesn’t help either.

  • John Engelman

    Today I was standing at a bus stop with a black woman who was drinking from a can of beer. When she emptied the can, she threw it on the ground. Blacks seem to be more likely to litter than whites or Orientals. According to The 10,000 Year Explosion

    http://www.amren.com/ar/2009/05/index.html

    that kind of behavior can be explained by the fact that blacks experienced a hunter gatherer existence more recently than whites and Orientals. Hunters were always on the move, so it made little sense to clean up after killing and eating an animal. When people settled down into farming communities they needed to clean up after butchering an animal, or they risked disease.

    Farming also selected for the tendency to plan ahead, and defer gratification. One could not eat the seed corn. One could not butcher all of one’s animals.

  • Anonymous

    These were average figures. The reality is probably far more interesting. As only 5% of blacks did not vote for Obama, I’m guessing they have a large amount of assets which drove the blacks savings averages way up.

  • Watermelon Pie

    The experts’ opinion is PC hogwash. The reason blacks don’t save money is because they want to SPEND their money before somebody close to them STEALS it from them. Moreover, the majority of blacks do not have an education that allows them to have a job that pays decent money, so they use every dime to pay the basic bills. Third, the rates of addiction and alcoholism in the black community are extremely high, and drugs/booze are not free — so paying the connection becomes more important than food, the kids’ shoes, etc. etc. It all boils down to values – or the lack thereof.

  • krn

    Since Prudential was mentioned in this article, I was wondering if there are also any difference in the auto accident rate for blacks when compared to whites. It would seem to follow their inherent traits that they would be responsible for causing more than their share of accidents. Maybe a deep, “dark” secret in insurance companies’ actuary tables. Although, the insurance companies may not even be allowed to collect customer information by race but only factors in the neighborhoods when determining rates. The suburbs have traditionally had lower auto rates than the cities. Now with the new move of blacks to the suburbs, maybe the auto rates will start to climb there also. Whites who are replacing blacks in DC and Atlanta should expect to see lower auto rates.

  • Anonymous

    In the last several decades the discount brokers, the no load mutual fund providers and the technology of the internet has truly lowered expense barriers to financial products & investments. They have democratized the industry making entry as little as a $100 per month and even lower via employer related savings plans such as 401K’s. There is no shortage of do it yourself (DIY) assistance via the internet and inexpensive financial publications. This is all very color blind, this can all be done via the internet and phone. In addition to DIY several of the discount firms offer free or very low cost investment advice to clients with small to even very small accounts. However most mainstream advice provides expectations with along the lines of historical returns and no guarantee of future returns, in which the advice provider has to have the most difficult discussion of all. You need to save more, sometimes substantial more if you hope you reach your goal. Most don’t like to hear this and in-turn will invest in highly speculative investments that are more likely to lose there investment then anything else.

    Ariel Investments is a Black owned investment firm that has attempted to reach out to here own community. Furthermore they have partnered with some of the very big players in the industry to reach out to African Americans. I can attest that at least one of the firms they have partnered with have taken up the cause with evangelical like zeal. But the old adage, you can lead a horse to water but you can’t make them drink.

    I have to agree with Hirsch and my own experience. I believe those of Euro descent have evolved a sense of delayed gratification that comes out in the form of savings. I believe northern Asians may evolved this to even a great extent. We witness it over and over again, amongst highly paid Black professional athletes the seemly inability to defer some of the compensation for when the playing days are over.

  • john

    1 – Hirsch

    Interesting and seemingly quite plausible evolutionary explanation for black Africans’ apparently low propensity for conserving and delayed gratification.

    Though this is a well established fact (though I’ve known some exceptions among blacks), I suspect this tendency could be somewhat lessened by simply holding blacks to the same behavioral standards as all other races.

  • SavetheWest

    Poster #10- while it does seem strange that blacks would be so detrimental to their own financial future by blaming America’s banking system, there is a huge community of people world wide who engage in blaming othwrs for their sordid situation. They are called alcoholics & addicts. I should know because I am one. I’ve been clean for almost 9 years by the grace of God. But for years I would “cut off my nose to spite my face.” It is a form of mental illness, & too many black enablers allow their fellow blacks to engage in dysfunctional, and criminal behavior and not take any blame for it. Welcome to the new era of politics and apologies in the good ol’ USA.

  • SavetheWest

    Post 13- I am glad that we have someone who can tell it like it was about blacks in the 1960’s. My Dad also told me about this. He said blacks didn’t act like this years ago. This came up as we were watching the local news about a black teenager shooting and killing an elderly black man in a wheelchair. My Dad said that rap and gangster culture destroyed blacks. I also think that the liberal’s glorfying anything the blacks do has a tendency to make them feel invincible, and anyrhing they do will always be okay. Denial is a dangerous thing.

  • white is right, black is whack

    Why don’t blacks save more? Experts say African-Americans distrust the financial system because it has excluded them for so long. In fact, 78 percent of respondents to the Prudential survey said they feel financial services companies “have not effectively engaged the African-American community.” Most of them do not use or have access to financial advisers.

    Oh, they don’t trust it because it’s mostly white, yet they want to take our money. They aren’t willing to sacrifice for the long term, yet they want to take what whites have. And blacks wonder why we don’t like them and wonder we think they’re inferior?

  • Anonymous

    “Anyone who knows them and has worked with them knows how short-sighted and improvident they are about money. They spend everything today and are broke by payday. They buy everything on credit and many of them live in perpetual debt, paying off endless credit cards.”

    I know what you mean. But yet, they always wonder why you have money just before payday, while they don’t. Must be that white skin privilege that you were born with!

  • Thurston P

    Why would they bother to save, with liberals constantly creating new entitlements and privileges for them, handing them my tax money for not working hard to achieve on their own. As the saying goes, “why buy the cow when you can get the milk for free?”

    However, this article does omit an important fact: With the price of gold going through the roof, many brothers and sisters already have a very nice portfolio on their person, what with all the necklaces, bracelets, earrings, teeth, Lil’ Jon-style chalices and walking canes, etc.- One of the main reasons they don’t have it in the 401k, the desire for obscene levels of conspicuous consumption.

  • Peejay in Frisco

    SF Paul(that in my name, too).One reason why blacks dont save anything is the great scourge of the monetary system, INFLATION. Blacks dont know how to deal with it. And that is true for a lot of whites. They just want to enjoy it while they have it. It must be invested in something that will not lose its value, the way dollars continually do. Most of them do not know how to do that.It is very challenging, for any person of any race.

  • Dagworthy

    Amren had a story on this in 2009. As I wrote back then, “In Herrnstein and Murray’s The Bell Curve they present data that the higher a person’s IQ, the better able the person is to foresee consequences and plan (save) for the future.”

  • Anonymous

    Well didn’t that William Jefferson (senator, from N.O) during the Katrina fiasco, stuff $90,000 into his freezer? Hey, maybe that is where blacks keep all their money and bling!

  • Anonymous

    “One company that is trying to narrow the retirement savings gap among minority workers is McDonald’s, which uses some unconventional (along with very traditional) methods to get black and Latino employees to save for retirement.”

    Might those “unconventional methods” include electroshock or other forms of aversion therapy? Because I fear that anything less than drastic measures won’t work.

    What we’re up against is tens of thousands of years of African (non-) evolution, which has never spurred blacks as a group to progress beyond the kill-the-zebra-eat-it-now mentality of the savannah. That mentality plagues their communities to this day, regardless of what country they’re in.

    Also, to add a bit of “color commentary” to the ideas expressed by Hirsch #1 et al, I offer the following anecdote. A good friend once told me about a Czechoslovakian professor that he knew back in the 1970s or ’80s. The prof had managed to acquire his exit papers from then-commie Prague, and chose as his emigration destination… South Africa. He described tropical rural ZA as “like living in the Garden of Eden, a place where, if you chose, you could stay naked in the sunshine 12 months a year, and maintain a basic survival by doing nothing more than lazing around in the shade and occasionally plucking some fruit from the trees.”

    When my friend related this, my rejoinder was as follows: “Yes indeed — and you just described how black Africans have been living since time immemorial. They’ve never made anything more of themselves because they’ve never NEEDED to make anything more of themselves. They never developed notions of delayed gratification or “time horizons” because they’ve never NEEDED to. And when a people have never had any motivation to do something, there’s no reason to expect they will. This live-for-the-moment strategy might have served them quite well back in the bush, but in our modern, advanced, white societies — INCLUDING South Africa — it’s a recipe for disaster.”

  • Bon, From the Land of Babble

    There they go again …blaming others for their shortcomings. Yes, it’s all someone else’s fault. Blame whitey.

    Yes.

    And, blacks will continue to blame Whites as long as the media, government and educational system not only allow but encourage them to do so.

    Folks, you must start looking at this from a different perspective: Blacks and other non-Whites are only doing what they’re allowed to get away with while Whites are held down as targets of their wrath — a wrath stirred up by the media, academia and government, the prevailing triangulation that we’re up against.

    WE Whites are the true target of government hatred and harassment and blacks are merely one of the tools being used as a battering ram to strip us of our wealth, rights and homeland.

    Bon

  • Class of `66

    No. 7

    “For example, in a hot climate with primitive technology, there is no way to preserve food, so the best strategy is to eat it or give it away. It makes no sense to save it.”

    Preserving food is possible even in “hot” climatic conditions. Using ingenuity and or common sense can lead to solutions whether the climate is hot or cold or in-between. African Blacks failed miserably across the board having not even advanced to developing the simple wheel or a written language for communication as evidence of their innate abilities. While Europe built cathedrals the Blacks in Africa struggled with grass huts.

    Also, the contention that Blacks have “physical and social capabilities which seem to be serving Africans well in contemporary America” is true only because Blacks have for over half a century been the appeased beyond all repair minority of contemporary America. Take away basketball and showbiz you have little left over to crow about.

  • Thomas Q

    “Post 13- I am glad that we have someone who can tell it like it was about blacks in the 1960’s. My Dad also told me about this. He said blacks didn’t act like this years ago.”

    – I wonder though, whether it is true that blacks behaved better in the past, or simply that people didn’t hear about it. They did not have the internet, Amren, etc back then. In other words, the Christian social norms were still there for not discussing black behaviors negatively, and news came by mainsteam media, so without the internet and white-rights groups studying and disseminating information about what is going on racially, you never got the angles back then on it that you can get now (which led to a slew of foolish assumptions guiding the government actions and decisions of the 60s, which we are still having to suffer with to this day). These behavioral tendencies, violence, impulsiveness, etc have strong genetic underpinnings, so would have been there largely unchanged for many generations.

    That being said, it is possible that blacks repressed these tendencies more in the past than now. Liberals and black rights activists encouraging them to rise up against whitey, plus the knowledge that judicial activists and racist juries will let them go, is like throwing gasoline on a smoldering fire.

  • Detroiter

    In related news:

    “A September 1999 study by Freddie Mac, for instance, confirmed what previous Federal Reserve and Federal Deposit Insurance Corporation studies had found: that African-Americans have disproportionate levels of credit problems, which explains why they have a harder time qualifying for mortgage money. As Freddie Mac found, blacks with incomes of $65,000 to $75,000 a year have on average worse credit records than whites making under $25,000.”

    “The [Freddie Mac] researchers, relying on data from credit reports, designated people as having “bad credit” if they had two bills overdue more than 30 days in the past two years, one bill more than 90 days late, a lien, a judgment or a bankruptcy. Their data showed that a higher percentage of African Americans with incomes of $65,000 to $75,000 had “bad credit” than whites with incomes below $25,000.”

  • Anonymous

    Other related news. This story is stictly PC and blames “racism” for the gap. Never mentions the 70% of out wedlock birth rate of black kids which nearly guarantees they will grow up in poverty.

    http://iasp.brandeis.edu/pdfs/Racial-Wealth-Gap-Brief.pdf

  • Question Diversity

    I’ve been reading the back and forth about whether blacks “back then” were really better behaved on average, or whether we just think they do because AR and YouTube weren’t available in the 1950s.

    First off, I always get suspicious when old timers wax poetic about “back then.” People suffer from selective memories. For instance, I wish I had a dime for every old timer I’ve heard go on and on about how great their stint in the military was. But for almost all of them, when they were in the military, they couldn’t wait to get out.

    As far as blacks “back then,” I think the ultimate answer to the debate between “were generally more behaved” and “we just didn’t hear about atrocities” is yes. A mixture of both. However, the caveat is that to the extent they were generally better behaved back then, it was (A) Only when surrounded by whites, (B) Mostly towards whites, while they were more their natural selves toward each other, and (C) Because they had fear of a white cops whacking a baton across their skulls if they stepped out of line. The civil rights era legally eliminated (C) as an option, and each year that passed, blacks feared the white police baton less and less, and therefore reverted to their natural selves. The welfare state, more or less the quasi-implementation of the “low hanging fruit” African climate to American economics, ramped up at about the same time the civil rights laws were passed, so their gradually declining fear of whites and white police came at the same time when the reliable monthly low hanging fruits started coming.

  • Anonymous

    Low IQ. They live for the moment and expect whitey to keep them up until they die or else you are racist so why worry?

  • Anonymous

    the virtues of prudence and frugality are markedly

    lacking in huge numbers of white people as well. It is something that is learned. My son worked counceling people about to lose their homes. He told me he lost compassion and respect for most of them. People making three times what he did had nothing and were in debt up to their nostrils. Teach the children, and that is not a theoretical course, you learn it from mom and dad, making ends meet, making do, setting goals, reaching them. Where are mom and dad? White kids are nothing but stupid consumers from my experience. spoiled by their parents feeling guilty for leaving them to strangers, so mom can have her “career.” If she did the arithmatic, she could figure out raising her children, practicing frugality and having a career after the children are big, would have served them all better.

  • Anonymous

    QD, I did not “wax poetic” about how wonderful times were back then. I only told the story very neutrally and objectively as I saw it with my own eyes. You can be as sceptical as you like, Mr. Know-it-all, but I was a witness to history, and you were not! Your collection of statistics (which you have read) cannot replace an actual first-hand memory.

    Nor did I in any way imply that ALL blacks had it great, nor that ALL blacks were well behaved. Many were not. However, those who got hired were the well behaved ones. Only towards the end of the 60’s was there a massive governmental push to force the hiring the ghetto types. Middle class blacks had

    always been hired.

    Going back even before that, there were black policemen, black principals, and black everything — at least in the North and in the West (perhaps not in your Missouri). In fact, even before I was hired by the bank in 1960, I worked for a time at American Express (credit cards). There, the private secretary to the Big Shot was a black woman. She wielded a lot of clout! Yes, if you were competent you could get hired and promoted, color regardless. Contrary to the popular mythology today, they were not discriminated against. If anything, they were helped and treated sympathetically. You can choose to believe otherwise if you like.

    This is not a figment of my imagination nor the product of a “selective memory”. My mind and memory are quite sound. Are you implying otherwise? Or do you really prefer to sympathize with the black shake-down agenda which blames white racism for everything? Whose side are you on, I sometimes have to wonder?

  • Anonymous

    Question Diversity:

    A lot of the(mostly valid)ideas stated around here tend to be repeated, but once in a while someone comes up wih a new way of seeing things. This: “The welfare state, more or less the quasi-implementation of the “low hanging fruit” African climate to American economics” is new to me, and a very witty way of describing just how distorted our nation’s economy has become. Congrats!

  • Louis Ferdinand

    “Also, the contention that Blacks have “physical and social capabilities which seem to be serving Africans well in contemporary America” is true only because Blacks have for over half a century been the appeased beyond all repair minority of contemporary America. Take away basketball and showbiz you have little left over to crow about.”

    If the single mothers didn’t get welfare, they and the children would starve. Their behavior does serve to increase their numbers as long as whites are willing to support them through the government.

    My father, who was born in 1924, said that the police were very aggressive in keeping blacks in line with batons in the pre-civil rights era. He said that made a big difference.

  • sam

    Anonymous 29…you are so right. That is why the human brain evolved when people migrated out of Africa. In Africa, the climate was mild, things greww, etc. In Europe and Asia, people had to adapt or die, hence the huge leaps in brain growth.

  • Linus

    Excellent summary, Hirsch. I think it’s safe to say that you quite ably “just said what we were all thinking.”

  • Charlotte

    A lot of you are making unfounded accusations toward black people. Unless you can experience growing up in a very poor community you wouldn’t understand. As a matter of fact, this title is unfounded. “Why Don’t Blacks Save More”? Uhhh… how about, “Why Doesn’t The Poor Save More”. It’s a proven fact that majority of blacks are extremely poor or living borderline poverty level within America. I can tell you why Blacks don’t save money because I’m black and grew up in the projects for a very long time. Blacks CAN’T save because of their low income. Do you think gas prices, food prices, clothing prices, and utility bills discriminate? Oh, they’re black lets lower the prices shall we… Uhhh NO. Majority of the people in my neighborhood struggled to keep from being evicted. But let me ask you this… why do you think MAJORITY of blacks are poor. Our poverty didn’t just spring out of thin air… You don’t need a retirement plan if you don’t have any money to spare and you struggle just to pay bills

  • Anonymous

    I think you folks are simplifying Africa a bit.

    It’s true that they don’t have a lot of snow like this-

    http://goo.gl/jFb7S

    But they do have highly variated seasons and in particular a short, torrential, wet season, followed by 8-9 months of progressively worse drout.

    They suffer from huge amounts of natural pestilence (limited water, large animal populations = multiple pathogen vectors with a common human-associated species jump point) and while predation is not what it was, among hunters both two and four footed, there is still considerable deprivation there as well.

    http://goo.gl/LH7u

    One of the things we fail too often to note is that a large elderly population can readily serve as a means to institutionalize veneration of cycles as systems. The old Christian ‘God has a purpose…’ excuse being more a way to explain the outcomes from a given disaster or other event than a justification for them happening in the first place (like saying a flood brought life to a field after it killed the man who would have planted it).

    If that doesn’t happen, and there are significant signs that it did not because the environment was so very awful for so very long, you lose the -process- by which a population can begin to build up the ‘collective wisdom’ which orients and restricts their activities towards more positive and less predatory/exploitative/reactionary objectives.

    Adults died in Africa so rapidly that only by taking a neighboring tribes women could one threatened by extinction go on. Only by rapid development and generational handoff between genes could populations survive diseases in particular by virtue of Muller’s Ratchet and similar (interpositional meiotic switches) mechanisms could populations stay ahead of the genetics game which bacteria run through at several hundred times the generational rates.

    It’s not ONLY because they are lazy. ONLY because they have had it so easy for so long.

    In fact, it is probably the opposite.

    What we have to realize is that if we import this population to our world, we need to create systems (like the military with it’s regimented expecations in turn for four squares and a place to hang your hat) that compensate for the genetic effects.

    If we do not want to instead destroy our own welfare safety net.

    We are headed that way now, with the kinds of multiple municipality failures and terrible bankruptcy issues now facing us, we will either be buying into long term bonds to bail out the U.S. at something like a 70% tax rate. Or we will be living in a nation owned by our debt holders.

    i.e. Whites have only to look at our political elites to see where to hang our own heads in shame for a policy of spending money that doesn’t belong to us but to our children and our elders.

  • Lorin

    I read an article once that stated a great number of blacks tend to live in the”now”. The only time that exist is this moment,no future, no past.

    The only history that matters is how the white man has kept their people down in order to keep the white guilt going.

    This may be one reason they refuse to save money.

  • Anonymous

    I have worked among blacks in a number of situations, and a major problem — to which blacks themselves admit — is their own inability to think long term. This is also something that has been observed among blacks in Africa, where black farmers can bring in a good crop for one year, but long term planning seems to be beyond them. The short term thinking just may be genetic, or it may be cultural, but regardless, it causes much of the behavior mentioned. As this is not in line with liberal ideology, immediately the “blame YT” chanting starts up. Of course, this just accelerates the cycle towards irresponsibility.

    “Experts say African-Americans distrust the financial system because it has excluded them for so long.”

    If this is the case, then why do we not see liberal experts start their own banks and market them to blacks?

    The kind of argument quoted never pauses to ask where were all the liberals during the days of segregation. Why didn’t they set up banks, businesses, schools, and other institutions to reach the black market. Would that have required them to put their money where their mouths were, quite literally?

    For that matter, segregation has been over for quite some time, I am given to understand. Why have blacks themselves not filled in the market niche by setting up their own banks and financial institutions?

    You also have to wonder at the role of the government in all this, perhaps with an agenda via the welfare state, to keep blacks, for the most part, in the bottom rung of the economy and thus as a permanent client class.

  • Howard W. Campbell

    “Among the most startling revelations in the wealth data is that while single white women in the prime of their working years (ages 36 to 49) have a median wealth of $42,600 (still only 61 percent of their single white male counterparts), the median wealth for single black women is only $5.”

    Pittsburgh Post Gazette March 9, 2010.

    My elementary school age children are ahead of most single black women. Granted, they aren’t sending money to some deadbeat or incarcerated boyfriend or supporting people who will never accomplish anything.

    It should be telling that blacks with $60 – 70K jobs (most of these are probably AA hires), do worse than trailer park whites.

    Since I’m sure it is really politically incorrect to judge credit scores by IQ, the Freddie Mac studies probably do the same thing.

    I guess the “Sprewells” (spinner rims), flat screen TV’s, Top shelf liquor, and heaven only knows what else just can’t wait.

  • jdavis

    TTown Tony said it best; the true path to financial security.

    I did the same with no financial advisors, debt-free, living large on social insecurity, the only snag, my savings earn so little since the interest rates are set by genius bankers and financial advisors. Get the picture people?

    Love my country, loathe my government.

  • S.L. Cain

    “Charlotte wrote at 4:13 PM on April 17:

    A lot of you are making unfounded accusations toward black people. Unless you can experience growing up in a very poor community you wouldn’t understand. As a matter of fact, this title is unfounded. “Why Don’t Blacks Save More”? Uhhh… how about, “Why Doesn’t The Poor Save More”. It’s a proven fact that majority of blacks are extremely poor or living borderline poverty level within America. I can tell you why Blacks don’t save money because I’m black and grew up in the projects for a very long time. Blacks CAN’T save because of their low income. Do you think gas prices, food prices, clothing prices, and utility bills discriminate? Oh, they’re black lets lower the prices shall we… Uhhh NO. Majority of the people in my neighborhood struggled to keep from being evicted. But let me ask you this… why do you think MAJORITY of blacks are poor. Our poverty didn’t just spring out of thin air… You don’t need a retirement plan if you don’t have any money to spare and you struggle just to pay bills”

    Charlotte:

    White people are getting sick and tired of supporting the likes of you, your bastard children, your criminal boyfriends, your godawful, dysfunctional “communities”, and your people’s bottomless sense of grievance and entitlement.

    Go find some other group of patsies to leech off of. May I suggest the Koreans – I’m sure they’ll be very sympathetic to the plight of the black man.

  • Anonymous

    If there were no such things as banks, retirement plans, etc. and the ONLY way of saving money was a safe inside your dwelling, who would save the most? Who would save the least? We know the answer. We also know who would somehow get blamed.

  • Bon, Reporting from PC Ground Zero, Berzerkeley CA

    A lot of you are making unfounded accusations toward black people.

    Accusations? Ha Ha HAAA!!

    Go ahead and prove us wrong!

    Pointing out FACTS about black spending habits with all the hard data available is not making assumptions (empirical evidence too, go to any black ghetto and notice how many “projects” have TV satellite dishes on the roofs, how many young men hanging out on corners sport the latest $350 basket ball shoes, and smart phones — but then maybe they’re part of another type of economy — slanging rock that is!!). But then, slanging rock produces the same black spending habits — $$ straight on grillzz and spinnerzz and ghetoo bling.

    Unless you can experience growing up in a very poor community you wouldn’t understand.

    MANY of us here grew up in dirt-poor circumstances. My own dad left home at 16 WITH NOTHING because there was no food in the house, the refrigerator was locked, his own father had taken up residence under a bridge with the local hobos, and his oldest brother was killed in WW II.

    He knew the government was not there to rescue him with a safety net.

    He experienced a lot of hardship but became extremely successful in his lifetime due to hard work, sacrifice and diligence.

    As a matter of fact, this title is unfounded. “Why Don’t Blacks Save More”? Uhhh… how about, “Why Doesn’t (SIC) The Poor Save More”.

    HA HA HA HA HA How about a grammar lesson?

    The poor DO save money! (if they’re Whites on the left side of the Bell Curve). Understanding basic economics, including saving money (as opposed to squandering it) is one of THE major reasons we Whites have more wealth than blacks.

    That’s why so many of us are no longer poor. WE didn’t look to the government to provide for all of our needs. WE accumulated wealth through hard work, determination, a desire NOT to be poor — despite the government throwing up many road blocks in our path unlike blacks who are recipients of government largesse — at our expense.

    Today it is much much harder to do this because as White we are locked out of colleges, denied promotions, held down by a government that hates us AND a government that is hell-bent on stripping us of our wealth any way it is able — only to hand our earnings to a large, growing, non-productive, non-White welfare class.

    It’s a proven fact that majority of blacks are extremely poor or living borderline poverty level within America. I can tell you why Blacks don’t save money because I’m black and grew up in the projects for a very long time. Blacks CAN’T save because of their low income.

    Your assumption is not true.

    Many of us Whites have turned low incomes into fortunes. See The Millionaire Next Door. We could fill this board 100 times over with tales of those who started with NOTHING (like my own dad) and turned it into fortunes.

    The educational system and media will tell you we Whites “stole” our money and wealth or it was “earned” on the backs of the poor. HA HA HA!! OR they’ll tell you the poor are poor because we Whites are hogging “all the money.” HA HA!!

    Do you think gas prices, food prices, clothing prices, and utility bills discriminate? Oh, they’re black lets lower the prices shall we.

    YOU are woefully ignorant of Econ 101, or perhaps you studied Marxist style econ which is all the rage in the universities and colleges these days.

    Here is a suggestion: Economic Fact and Fallacy http://tinyurl.com/3by5arp by BLACK economist Thomas Sowell. He’ll tell you what you need to know about real economics: such things as not having children unless you are able to feed, clothe and educate them, such things as not having children while in your teens or without a husband (what’s the black illegitimacy rate these days? Hmmmm?), to finish high school and not drop out, and to not **** away money on stupid things such as the latest shoes, cars and jewelry.

    YOU blacks have the world thrown at you, money you didn’t earn, scholarships you don’t deserve, promotions and careers for which you are not qualified, loans for which you are not eligible while we Whites are locked out! And you STILL cannot save money, pay the rent or accumulate wealth.

    Why do you think this is? Is it due to oppressive Whites or a “racist White system” that locks out blacks because of their race as Sharpton or Jackson tell you? HA HA HA!!

    DO NOT come onto this board and tell us that “we don’t understand” what it’s like to be poor. We know far more than you do what it takes to depend on ourselves and not the government. Learn some economics (and grammar) before you come back here.

    And then you can explain to us why you think blacks are poor.

    Bon

  • John

    I agree that the problem is the “live for today” attitude, along with the desire for “flash”. Having a savings account is nowhere near as important as fancy clothes, cars and jewelry.

  • Anonymous

    43 — Charlotte wrote at 4:13 PM on April 17:

    A lot of you are making unfounded accusations toward black people. Unless you can experience growing up in a very poor community you wouldn’t understand. As a matter of fact, this title is unfounded. “Why Don’t Blacks Save More”? Uhhh… how about, “Why Doesn’t The Poor Save More”. It’s a proven fact that majority of blacks are extremely poor or living borderline poverty level within America. I can tell you why Blacks don’t save money because I’m black and grew up in the projects for a very long time. Blacks CAN’T save because of their low income. Do you think gas prices, food prices, clothing prices, and utility bills discriminate? Oh, they’re black lets lower the prices shall we… Uhhh NO. Majority of the people in my neighborhood struggled to keep from being evicted. But let me ask you this… why do you think MAJORITY of blacks are poor. Our poverty didn’t just spring out of thin air… You don’t need a retirement plan if you don’t have any money to spare and you struggle just to pay bills

    ————————————————————–

    Oh, BOO HOO! POOR blacks, again? ….Blah blah blah! WHO do you think you are talking to here? You wouldn’t know what being poor really is!

    How about all those DEPRESSION ERA WHITES? Talk about being poor! They in no way acted and behaved as blacks do! Sure does seem odd that I see these “poor” welfare blacks driving new cars, expensive “rims”, wearing bling, new clothes, have cell phones, big screen TV’s etc. etc. etc. (NONE OF WHICH I HAVE, BTW!)

    I came as the tenth kid of a poor White family. We ALL worked the fields, got educated, obeyed the laws and grew to be productive TAX-PAYING citizens! My mother and father did HARD manual labor and being poor was NO excuse for not saving for a “rainy day” as they so often said. They NEVER accepted hand-outs!

    ————————————————————–

    As for your statement,

    “But let me ask you this… why do you think MAJORITY of blacks are poor. Our poverty didn’t just spring out of thin air… You don’t need a retirement plan if you don’t have any money to spare and you struggle just to pay bills.”

    ————————————————————–

    QUIT whining and making excuses! WE are sick to death of hearing the same ole excuses people like you make.

    YES, your poverty DID spring out of “thin air” as you say. Blacks are lazy and will not work unless they get an AA government job at OUR expense and most still do NOT work at that! Of course you don’t need a retirement plan, you already have one, thanks to the WHITE taxpaying citizens, called SSA/SSI and welfare! Do YOU ever thank Whitey for all the free stuff your people get at OUR expense? Of course not. You just complain some more and want more.

  • Anonymous

    Reply to Charlotte:

    “..why do you think MAJORITY of blacks are poor.” [?]

    A good question. A better one would be WHY do blacks STAY poor.

    Why are Haitians so poor 200+ years after killing off all the whites there and living in a lush tropical island, once the jewel of the Caribbean? Jamaica has some of the world’s biggest deposits of mangonese, rich farmland and excellent weather for tourism. Yet it is an economic basketcase. Why do blacks fail to climb up the economic ladder? Japanese and Chinese came to the west coast impoverished in the nineteenth century, but they achieved success. Jews and eastern Europeans arrived with virtually nothing during the Ellis island era, but they have a higher standard of living today then other groups. Only blacks consistently lag behind in all cases and in all countries. I believe genetic differences explain much of this. Secondary factors include cultural proclivities – a’bling’ culture and the African ‘big man’ syndrome.

  • Anonymous

    As a matter of fact, this title is unfounded. “Why Don’t Blacks Save More”? Uhhh… how about, “Why Doesn’t The Poor Save More”. It’s a proven fact that majority of blacks are extremely poor or living borderline poverty level within America. I can tell you why Blacks don’t save money because I’m black and grew up in the projects for a very long time. Blacks CAN’T save because of their low income. — Charlotte

    __________________

    Charlotte, while it is true that you can’t save money if you don’t have any money, you are missing the point, or deliberately evading it.

    Rregardless of who or which race is poorer, the article speaks of blacks who have money in company retirement funds. We.re not talking about poor people here, black or white. These are people who have good jobs.

    “the median assets that blacks have in company retirement plans are about $56,000; and twenty-three percent have over $100,000.”

    These are not poor blacks or unemployed blacks. Yet they are “three times more likely to raid their retirement funds” than COMPARABLE whites do. These are not poor blacks living on welfare on the projects. (Nor poor whites either.) How do you explain that by using the excuse of poverty?

    Many people here have noticed, and commented, on the tendency of black CO-WORKERS to run out of money before payday, and to squander their resources on frivolous bling and expensive items that they cannot afford, to buy on credit and to go into debt. These are black co-workers doing the same jobs and making the same money as everyone else, but they can’t manage their money sensibly. This article isn’t about poor blacks in the projects, so your excuse carries no weight.

  • Anonymous

    No, poverty doesn’t just spring out of thin air. You really have to work at being poor in America–still the land of opportunity. No one died from eating Ramen noodles instead of steak, saving money, getting the most out of FREE education (not just “being playful” in class and denying others the opportunity of school), and living as though the future mattered. Sorry.

  • voter

    Charlotte, since you are an expert on what causes black poverty, perhaps you could explain to us why so many blacks who have made millions end up on skid row without a cent. Let’s start with Mike Tyson, for instance.

  • Anonymous

    Several phrases describe what’s going on-instant gratification and the lack of ability to do long-term planning. I’ve seen these traits over and over in blacks who then wonder how we whities can manage to budget and pay our bills. Truly a mysterious quality to these people; many of them who don’t have the Iq’s to perceive of delayed gratification and planning in the first place.

  • HelenChicago

    Who says blacks don’t use financial services? It’s been reported lately that NFL players are taking out short-term loans (“lock-out loans”) at usurious interest rates. And here in Chicago there are check-cashing and “payday loan” storefronts on every corner in every mostly-black neighborhood.

  • Rick

    “18 — krn wrote at 10:18 AM on April 16:

    Since Prudential was mentioned in this article, I was wondering if there are also any difference in the auto accident rate for blacks when compared to whites. It would seem to follow their inherent traits that they would be responsible for causing more than their share of accidents. Maybe a deep, “dark” secret in insurance companies’ actuary tables. Although, the insurance companies may not even be allowed to collect customer information by race but only factors in the neighborhoods when determining rates. The suburbs have traditionally had lower auto rates than the cities. Now with the new move of blacks to the suburbs, maybe the auto rates will start to climb there also. Whites who are replacing blacks in DC and Atlanta should expect to see lower auto rates”

    Something similar strikes me regarding young black males and the ability for them to afford to drive Infiniti’s, Lexus, Mercedes and BMW. I would see obviously too young, urban and albeit barely employed boys driving these upscale cars and wondered if there was some special loan program in the auto industry that is NOT available to whites that finances any car for blacks. I KNOW that these kids don’t have the credit to qualify for a loan. Any thoughts????

  • Anonymous

    Bon, I love your posts. You express so well our position which is similiar to 1600 hundred Irish catholics and 1930’s German Jews.

    Our government,especially the White elites truly does hate us and plans our extermination.

    It goes back to the Roosevelt administration and his “russian immigrant” advisors like Harry Dexter Weiss, Silvermaster etc etc etc.

  • Bon, From the Land of Babble

    Anon #61:

    Thank you for your kind words of encouragement.

    I’m glad a few of us here have our eyes open as to what is being done to us what bodes for us in the future. I read White news out of SA and it is truly frightening what is happening to Whites there, and how similar our situations are — they, of course, are further along the road to **** than we are, but we are rushing headlong along the same death spiral and the results WILL be the same — dispossession of our land and wealth, government genocide against us.

    We Whites are being demonized and dehumanized relentlessly by a hostile elite that control the schools and media; non-Whites are being set-up to slaughter us wholesale when we become a dis-armed, atomized, tiny minority.

    Jupiter has done a yeoman’s job here as well warning everyone about the fatal effects to Whites of unfettered non-White immigration into our homelands, that nothing else matters. Nothing!

    We Whites survived Ice Ages, despots, plagues and famines; our ancestors arrived in North America aboard coffin boats after being starved, usurped and forced out of N. Europe.

    We will not survive this if non-Whites out-number us and lord over us, as is happening here in California and increasingly across the US. There will be more oppression of Whites, more legislation passed against us, and only us — hate speech laws, punitive tax laws, AA laws that lock us out of higher education and and decent careers in favor of H-1B visas and unqualified non-Whites.

    The media refuse to report vicious non-White-on-White torture-murders and rape-murders, the DOJ refuses to enforce the law when there is injustice against Whites.

    I truly fear for the next generations of Whites; they are entering what will be for them a very dangerous United States and there will soon be nowhere to run.

    And, you are correct about Roosevelt — he was a war monger, power seeker and socialist who favored policies akin to those of “Uncle Joe” Stalin, the worst mass murderer in history, whom Roosevelt supported whole heartedly during WW II.

    Destroying the US economy (his policies extended the Great Depression) getting the US into WW II, sending an entire generation of young Whites 4,000+ miles into a meat grinder make Roosevelt one of The Worst US presidents.

    I’ll leave you with this example of Roosevelt’s disregard for American lives:

    In March 1941, Roosevelt secretly ordered US warships to being sailing 6,000 miles across the Pacific to encroach on Japanese home waters. He called these invasions “Pop Up Cruises” because the Japanese never knew where the US warships would appear. Said Mr. Roosevelt: “I don’t want to lose five or six carriers but I wouldn’t mind losing two or three!.”

    Roosevelt was willing to sacrifice 1,800 men to put his evil power/ globalist plan into action.

    Take Care, Friend.

    Bon