Founding Director William A. “Sandy” Darity, Jr. is cited in The New Yorker for his co-authored work with economist Darrick Hamilton on the Baby Bonds proposal. The article contrasts their proposal with a new savings account initiative proposed by President Donald Trump and House Republicans. The Darity-Hamilton Baby Bonds plan, developed in 2010, would establish trust accounts for children born into families below the median net worth, with larger amounts allocated to those from the lowest-wealth households. Though race-neutral in design, the plan is noted for its significant potential to reduce the racial wealth gap impacting mostly Black, Indigenous, and Latino families.
The proposal policy from President Trump is outlined to provide $1,000 investment tax-deferred accounts for newborns in the U.S. for the next four years. However, based on further investigation, the proposal might just further expand the wealth gap and benefit families that can already afford to save.
Read the full article here: The Truth About Trump’s Proposed Cash-for-Kids Savings Scheme
