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Marginal Revolutionanalysis

Politically Incorrect Paper of the Day: The US Racial Wealth Gap

Marginal Revolution
Monday, June 29, 2026 at 11:17 AM
~4 min read

Original Report

Writing in the QJE, Derenoncourt, Kim, Kuhn, & Schularick argue that today’s black-white wealth gap can be explained by differences in initial conditions from over a hundred and fifty years ago, i.e....

Writing in the QJE, Derenoncourt, Kim, Kuhn, & Schularick argue that today’s black-white wealth gap can be explained by differences in initial conditions from over a hundred and fifty years ago, i.e. slavery. But there is an important, and glaring objection: in the age of immigration (1850–1924) millions of whites immigrated to the United States […] The post Politically Incorrect Paper of the Day: The US Racial Wealth Gap appeared first on Marginal REVOLUTION.

Glass House Analysis

International economic policy has concrete impacts far beyond diplomatic circles. Tariffs show up in the price of goods at stores, supply chain disruptions affect whether products are on shelves, and trade tensions can mean job losses in export-dependent industries. The globalized economy means that decisions made abroad can affect workers and consumers domestically.

The implications extend beyond the immediate news cycle. Every economic development creates ripples that affect employment, prices, and opportunities in ways that may not be immediately visible but are deeply felt. By tracking these connections, we can better understand how the economy truly works—not as an abstract machine, but as a human system shaped by and shaping the lives of millions.

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