Will Economic Setbacks Lead to a Political Back Lash in 2012?

African-Americans and Hispanics have been hit hardest by the economic downturn. Hispanics have seen a 66 percent drop in personal wealth, and African-Americans have seen a 53 percent decline in personal wealth since 2005.

The recession has afflicted these groups with two large blows from high unemployment to foreclosures. Unemployment damaged over 9 percent, the housing market collapse added to the demise of much of minority wealth.

Unfortunately, as we turn to the 2012 election, these two bitter pills that minorities have been forced to swallow have left a bad taste that may not bode well for those running for office. Certainly, there is enough blame to go around for the economic condition of the U.S. But the financial setbacks that these groups have suffered will take decades to reach recovery. It is estimated that the impact of the recession has pushed minorities back to wealth levels they maintained in the 1980s.

What will be most important is a solution-oriented campaign that speaks directly to the issues that minorities face the most. Although everyone has been affected by the recession, Hispanics and African-Americans are feeling the burn much more severely since they don't have jobs, health care and many have lost their homes.

There needs to be an immediate, aggressive approach in tackling these issues for minorities to stay engaged in the political process. High unemployment, foreclosures, health insurance issues, etc. are forcing this demographic to wonder what's in it for them in 2012. Keeping this segment engaged means a targeted approach. For example, more skills training is vital to get the unemployed back to work, and more aggressive requirements on lenders' mortgage modification programs are needed. The housing issue is very problematic due to high levels of unemployment, as it presents a vicious cycle, since one often leads to the other. President Obama recently asked mortgage servicers to increase forbearance plans to 12 months for unemployed homeowners. This increase should be coupled with more permanent modifications that include principal balance reductions to reflect the reality of where home prices currently stand.

It is quite unfortunate, but heading into 2012, these are still issues that are weighing heavily on Hispanics and African-Americans. Minorities are going to have to see some sort of light at the end of the tunnel, and a way to start re-building. In particular, they are going to have to see a way to regain what they have lost.

With a sense that they have shouldered the brunt of the economic downturn, and no clear end in sight, they will want to know that their concerns are being heard.

 

Comments

[austinnrg]

11:27 PM on 08/04/2011

I hope that Liberals, Democrats and Progressives of all colors unite to push the corporate funded Tea Party and ALEC machine in 2012 AND 2013 when one of the Senate classes will be up for election. Sadly, that's the only answer. If you look at the legislation brought to the House floor since Jan, you will see the tireless efforts of Democrats to implement bills to help jobs only to be shot down (this doesn't even include all the efforts not allowed to the floor by the Republicans). You will also see the ruthless efforts of the Republicans to undo everything Obama has done to try and help us in his first two years. Also, don't forget how much the Senate Republicans used stalling tactics in those first two years too. We need to unite and not forget that the GOP frames their talking points bashing Obama because they know that Americans have short-term memory and are easily swayed by the most noise. Let's make more noise in calling them on their lies and calling out their plutocratic intentions!

[bealebkk]

10:34 AM on 08/04/2011

"Mr. President, it is not only possible, it is essential. That is the whole idea of this machine, you know. Deterrence is the art of producing in the mind of the enemy... the FEAR to attack. And so, because of the automated and irrevocable decision-making process which rules out human meddling, the Doomsday machine is terrifying and simple to understand... and completely credible and convincing."
...Dr. Strangelove