Prescription for Wealth

Our economists show how African Americans can create, transfer and leverage wealth in the century ahead

per month reviewing their financial position. Be prepared to examine your financial inflows, outflows, debt management and portfolio investing strategy. For married couples, time should be set aside for a financial brainstorming; you should meet at least once a month. “My experience has been that meetings such as these are critical because you really have to be disciplined to reach a particular goal,” says Jaynes. “Things tend to get away and all of a sudden you sit down five or six months later and you haven’t really been sticking to your plan.”

So, after countless plans and strategies and blueprints, will DOFE be the initiative to finally turn the tables for African Americans? Perhaps. Perhaps not. The only sure thing is that it will take a true commitment to saving, investing and planning to start African Americans on the road to wealth creation in this country. The future is now. Grab ahold.

The American economy will continue to expand in 2000, but at a considerably slower pace than seen through most of 1999, says economist Andrew Brimmer. A former member of the Board of Governors of the Federal Reserve System, Brimmer says African Americans will improve their relative employment and income positions, but the job and income deficit will narrow very little-and perhaps may even widen.

The total civilian labor force for 2000 is forecast at 141 million. The black labor force may rise to 16.5 million-the equivalent of 11.7% of the total. The number of jobs held by blacks is projected to climb to 15.2 million. At that level, says Brimmer, blacks would represent 11.3% of the total 135 million people employed.
In terms of revenue, Brimmer projects that in 2000, total money income in the United States may rise to $6 trillion. Income received by African Americans may increase to $485 billion, equal to 8.2% of the total. However, to achieve parity, blacks would need to receive $697 billion. Thus, says Brimmer, the African American income deficit would amount to $212 billion, or a 30.4% gap.

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