Why Black Entrepreneurship Surged During the Pandemic

Automatic TRANSCRIPT

Is of course the one year anniversary of the murder of floyd in a year of protests and reckoning there have been signs of hope even during a pandemic that hit black americans particularly hard and closed many black owned businesses new data suggests that people in black communities started new businesses over the last year in cities like new york and atlanta the study from the national bureau of economic research says. Black americans were more likely than white americans to take steps toward entrepreneurship. during the pandemic marketplace's euler has more on. Why so the study found that. After a relief package is passed last year. There was a big surge in registered business formations in the following weeks. Catherine facia teaches business at boston university and helped write the study. She says that's despite the cares. Act not directly infusing. Any money into new businesses are passed not to pat is a lot of start up formation so it was very interesting for us to see that cares out had that ripple of fat another reason for the surgeon. Black entrepreneurship could be the americans. Now have a better understanding of historic inequality or he goes. Mom is an assistant professor of management at columbia university and a co author of the study. There's being clear intends in banks and government to make sure all the financial reports out this year. Which is wachner hurts. And andre perry says that speaks to a bigger lesson to be learned from this study about access to capital. He's a senior fellow at the brookings institution. If you really want to see the economy grow figure out two ways to invest in the under appreciated assets in our community in that happens to be black and brown communities it happens to be black and brown entrepreneurs he says black people represent about fourteen percent of the population in the us but only two percent of all businesses with more than one employee this investment and black businesses. He says shouldn't be a pandemic induced

Coming up next