Racism Has Cost the U.S. $16 Trillion, Citigroup Finds

America could have been $16 trillion richer if not for inequities in education, housing, wages and business investment between Black and White Americans over the past 20 years, new research concludes.

The study, released this week by Citigroup, is the latest in a body of research that attempts to quantify the economic impact of systemic racism. Citigroup arrived at its $16 trillion figure after estimating that:

• Black workers have lost $113 billion in potential wages over the past two decades because they couldn’t get a college degree.
• The housing market lost $218 billion in sales because Black applicants couldn’t get home loans.
• About $13 trillion in business revenue never flowed into the economy because Black entrepreneurs couldn’t access bank loans.

What’s more, the U.S. could have $5 trillion in gross domestic product over the next five years if those gaps and others were closed today, the study indicated.

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The study also highlights the “real costs of long-standing discrimination against minority groups, especially against Black people and particularly in the U.S.,” Citigroup economist Catherine Mann said in a statement.

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Separately, the financial giant on Wednesday said it would direct $1 billion toward helping close the racial wealth gap {snip}