Showing posts with label The New Deal. Show all posts
Showing posts with label The New Deal. Show all posts

Friday, May 22, 2015

How The New Deal Created The Ghetto

A recurring theme on this blog has been that big government creates problems that often necessitate even bigger government to solve.
(A quick example: Wage and price controls — coupled with favorable tax treatment for businesses to provide health insurance — linked health care with employment, a distortion that resulted in the skyrocketing the cost of health care. Eventually, this government-created problem had to be fixed, by — you guessed it! — more government.)
In the wake of the Baltimore riots, it is appropriate to consider government’s role in creating a tinderbox that perpetuates poverty and a cycle of abuse. Not only was Jim Crow state-sponsored segregation, but — 50 years after the repeal of those horrific laws — ghettos that were specifically and intentionally created by government are still trapping Americans and destroying lives.
A few weeks ago, I wrote about how “progressive reformers” were to blame for Baltimore. And, more recently, Richard Rothstein, a research associate at the Economic Policy Institute, was on NPR’s Fresh Air to further explain how “explicit, racially purposeful” policies contributed.

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