CP: Race-neutral baby bonds w/ politics NB

But in 2021 — with a Democratic majority in Congress, a president who has promised to advance racial equity, and a renewed focus on racial justice — there’s an opportunity to embrace bold policies that counter America’s lack of equality of opportunity. Enter baby bonds.

Baby bonds would be race-neutral in practice, but still center racial justice

Under Booker’s baby bonds bill, any child born in America, regardless of race or family income, would receive a seed account of $1,000. While the plan is race-neutral, it is expected to address the racial wealth gap because of the historical correlation between race and income. Poor children would receive more money in their accounts each year, while rich children, already supported by family inheritance, would receive less.

Booker’s office estimates that a child in the highest income bracket of the program — above 500 percent of the poverty line, or $147,100 for a family of four — would receive just under $1,700 by their 18th birthday. Their numbers show that by the same age, the average Black child would accrue $29,038, the average Latino child would gain $27,337, and the average white child would get $15,790.

“We are talking a lot about addressing the economic crisis in this country, which is critical, but we need to expand the aperture about how we prevent future economic crises from happening,” Booker told Vox. “Stimulus checks help people get by, but we now need to start talking about how to help people get ahead. Wealth helps people get ahead.”