Top Stories for the Week of July 6th to July 12th

We have 51 stories this week related to Black business or Black Economics

Top Stories

Black Strike Day – July 20th

  • Workers demanding union rights plan to walk off the job in nationwide Strike for Black Lives (CNN) – The strike for Black Lives is planned for July 20th. Works want the right to form unions and push for better wages, health care and sick leave.

US spend $115 Billion on Police

  • The US spends $115 Billion on the Police and $79 Billion on corrections (Urban Institute). While crime fell, the cost of cops has soared to $115 billion (Bloomberg)

DoorDash: The modern economy in one court case

  • Well DoorDash is being sued again. They are accused of stealing tips, misclassifying employees as subcontractors and charging monopoly fees from restaurants. DoorDash has settled lawsuits in 2016 for misclassifying employees. This is a really good example of how the modern economy works.
  • The complaint (Gibbs Law Group) – is a great introduction economics and the law. Its in plain English and very readable. Summary: The Doordash business model uses monopoly power to unfairly take profits from restaurants and delivery people.  The plaintiffs are asking DoorDash to at least pay the equivalent of the state or federal minimum wage. 

Interesting People

  • Jennifer McDonald started Jenny Dawn Cellars, a black owned winery in Witcha, KS. (Cuisine Noir) (KMUW)
  • Eddie Brown, founder of Brown Capital Management describes how Wall Street Works. I’m a black CEO. I’ve been discounted on Wall Street because of my skin color. (Washington Post)

Black Farming

Coronavirus / Covid-19

  • Minority- and Women-Owned Businesses at Risk: Impact of COVID-19 on New York City Firms (NYC Comptroller) – In the survey of 500 Minority and Women owned business, 85% said they could not survive for more than six months. And 35% said they could not operate at all during the coronavirus crisis.
  • Latino And African American Workers In Sacramento Region Face High Economic Hardship, Job Concerns As Pandemic Continues (Sacramento Public Radio)
  • The Fullest Look Yet at the Racial Inequity of Coronavirus (NY Times)
  • Virginia home health aides look for state relief in pandemic (AP / Richmond Times Dispatch)

Protest

  • Workers demanding union rights plan to walk off the job in nationwide Strike for Black Lives (CNN) – The strike for Black Lives is planned for July 20th. Works want the right to form unions and push for better wages, health care and sick leave.
  • While crime fell, the cost of cops has soared to $115 billion (Bloomberg)

Jobs / Unemployment

Sports

  • Patrick Mahomes signs the largest contract ever in the NFL. Here’s how much money Chiefs QB will actually make in ‘half-billion’ dollar deal (Sporting News)

Black Business

  • Even in best of times, Atlanta’s Black restaurateurs must work harder to find capital, earn respect (Atlanta Journal Constitution) – Good, long article about the Black restaurant business in Atlanta.
  • Jaylon Smith: We can close the wealth gap by investing in minority entrepreneurs (Dallas Morning News) — -Jaylon Smith played for the Dallas Cowboys and runs the Minority Entrepreneurship Institute.
  • African American Chamber CEO’s advice to Black-owned businesses as survey shows lag in loan support (WCPO Cincinnati) – Chair of local Black chamber of commerce discusses PPP loans and business.

Big Companies

  • Black Representation in Hospitality Industry Leadership 2020 (Castell Project) – Black workers are 20% of employees but only 1.5% of executives. Black women are only 0.1% of CEO /President level positions.
  • Netflix CEO donates $120 million to black colleges in an effort to ‘reverse generations of inequity’ (CNN)
  • Goya foods CEO praises Trump and triggers boycott (FOX Business) — CEO Robert Unanue said the US was “truly blessed” to have Trump as a leader.
  • Bubble Boy turned Goya CEO Unanue was surprised that his comments led to a boycott (NBC News)
  • Skin lightening in South Asia is why we have an anti-Blackness problem (NBC News)
  • MacDonalds and it’s relationship with Black America (MarketPlace.Org)

Discrimination

  • I’m a black CEO. I’ve been discounted on Wall Street because of my skin color. (Washington Post)

Retail

  • As Black buying power grows, racial profiling by retailers remains persistent problem (CNBC)

Government / Politics

  • Biden releases U.S.-centered economic plan, challenging Trump’s ‘America First’ agenda (Washington Post) – Biden proposes $700 billion plan for R&D and purchasing US made products.
  • Biden’s New Economic Nationalism: Better Than You May Think (American Prospect)
  • Divided Philly risks losing recent economic gains, warns former city commerce director Harold Epps (Inquirer) – This is great example of how things work in big city economic development.
  • SC Sen. Tim Scott: Focus must be on improving Black outcomes, not tearing down systems (The State)
  • Let’s Defund the Pentagon, Too (Scientific American)
  • Missouri will vote on August 2nd on Medicaid expansion (St. Louis American)

Economy

  • Employment won’t recover for a decade, CBO says (Politico)
  • US economy may be stalling out as viral outbreak worsens (AP)
  • The myth of closing the racial wealth gap through personal responsibility (Axios) – It’s inter-generational wealth and opportunity hoarding, stupid. Nice an short summary.

Farming / Agriculture

  • A new generation of Black farmers and faith leaders are cultivating the future of food sovereignty (Rewire)
  • Less than 2% of Kentucky farms are Black-owned. This company is trying to change that (Courier Journal)
  • Black Soil Life is a Black Agrotourism website promoting Black farming.

Affirmative Action

Reparations

  • This Is the Perfect Moment to Push for Reparations (Nation)

New / Interesting / Innovative

Straight Up Econ

  • Economics Journals Faulted for Neglecting Studies on Race and Discrimination (Wall Street Journal)
  • How Violence and Segregation Destroyed African American Innovation (IEEE Spectrum) — Lisa Cook’s paper on racism and violence repressing Black patents is getting traction.
  • A mostly white Federal Reserve can’t fix our diverse economic problems (MarketWatch) – Federal Reserve Board has only one Black female economists. There are none at senior levels.

Law

  • This is the latest class action suit against DoorDash (Gibbs Law Group) – Highly recommended and very readable.  Written in plain English.  Summary: Doordash’s business model is to use it’s monopoly power to take profits from restaurants and delivery people.  The plaintiffs are asking DoorDash to at least pay the equivalent of the state or federal minimum wage. 
  • This is a really good example of how the modern economy works. And it’s a good way to learn a little law and a little economics. It also shows why we need basic regulations like paying the minimum wage, stopping wage theft, stopping employee misclassification, and limiting monopolies. 

Interesting people

Entertainment

  • African American-Focused Networks Embrace Their Mission (MultiChannelNews) — Didn’t know fox has “Soul TV” steaming service

Education

  • HBCUs doubly hurt by campus shutdowns in coronavirus pandemic (CNN)
  • University of California welcomes our next president: Michael V. Drake, M.D. (University of California) – UC regents elected it’s first Black president. (EdSource)
  • Study Shows Excellent Preschool Experience Can Narrow Racial Achievement Gap (Chronicle of Social Change)
  • Local group gets a grant to launch HUSTLE Academy (Local 12 News Cincinnati) – Intersting list of grantees teaching Black business skills.

Other

  • How cycling could help drive racial equality (WE Forum)
  • Yelp has 4678 self-reported Black businesses.

Old but good

  • Living in a poor neighborhood changes everything about your life (VOX)

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