Ta-Nehisi Coates has done a public service with his essay “The Case for Reparations,” and the service he has done is to show that there is not much of a case for reparations. Mr. Coates’s beautifully written monograph is intelligent and sometimes moving, and the moral and political case he makes is not to be discounted lightly, but it is not a persuasive case for converting the liberal Anglo-American tradition of justice into a system of racial apportionment. Mr. Coates and those who share his views would no doubt observe that the Anglo-American practice, despite its liberal rhetoric, was a system of racial apportionment, and a brutal one at that, for centuries, with real-world consequences that continue to be large facts of American life to this day — and they would be correct. But the remedy Mr. Coates proposes would not satisfy the criterion of justice, nor is it likely that it would reduce or even substantially eliminate the very large socioeconomic differences that distinguish the black experience of American life from the white experience of it.
The most valuable aspect of Mr. Coates’s essay is as a corrective to the tendency to treat the systematic political and economic repression of black Americans as though it were a matter of distant history and a question that had been for the most part settled at Gettysburg, with a few necessary legislative reforms in the following century. The process of extirpating effective racism did not end in 1868 or in 1964; even assuming a zero racial handicap on a forward-going basis, we would expect it to take decades before the average economic differences between blacks and whites were to disappear. (If, indeed, we should expect them to disappear at all.) And the economic disadvantages imposed on African Americans did not end with slavery. Mr. Coates recounts, among other abuses, how black workers leaving the South for such communities as Chicago’s North Lawndale were systematically excluded from the formal banking system, in no small part by federal housing policy that denied FHA mortgage insurance to neighborhoods into which blacks had moved or were moving, leaving black would-be homeowners with few options other than the “on contract” purchase, essentially a rent-to-own scheme that was rife with abuse and dishonesty.
Upwardly mobile blacks were fleeced by similar schemes for many years, and blacks remain to a disproportionate extent outside the traditional financial institutions — for instance, a quarter of unmarried black men have no bank account, and fewer than half of black households invest in stocks or similar financial instruments. The relatively hard time blacks have dealing with financial institutions has some truly perverse outcomes: Whites have more college degrees but less student-loan debt; white women are more likely to be homeowners than are black women, but they have smaller mortgages; blacks are less likely to be approved for credit cards, and they have more credit-card debt. While the median black household income is about a third lower than the median white household income, blacks’ median net worth is radically lower: about 5 percent of the median white net worth. The median net worth for a single white woman in her prime earning years is about $43,000; the median net worth for a black woman in her prime earning years is about $5.