A new study by William R. Emmons and Bryan J. Noeth of the Federal Reserve Bank of St. Louis found that college-educated Whites were able to withstand the economic hardships brought on by the most recent recession to a far greater degree than college-educated African Americans.
The report found that between 2007 and 2013, the median net worth of college-educated Whites declined by 16 percent. For college-educated Blacks, the median net worth declined by nearly 60 percent. During the period, the median income of families headed by an African American with a college degree dropped by 21.3 percent. For families headed by a White American with a college degree, the median income dropped by less than 6 percent.
Even more striking is the trend over the past 20 years. From 1992 to 2013, the median net worth of African American college graduates is down by 55.6 percent. Over the same period, the median net worth of White Americans with a college degree rose by more than 86 percent.
The report, Why Didn’t Higher Education Protect Hispanic and Black Wealth?, may be downloaded by clicking here.