The financial fallout caused by the COVID-19 pandemic is revealing the ways in which systemic racism operates on an economic level.
Recent research shows Black-owned businesses closing at a disproportionate rate compared to white- and other minority-owned businesses.
From February to April, 41 percent of Black-owned businesses closed their doors—the largest group of small businesses affected.
During the same period, which represents the largest drop in business owners on record, immigrant business owners experienced significant losses as well—36 percent—while Hispanic business owners fell by 32 percent, Asian business owners dropped by 26 percent, and women-owned businesses were hit by 25 percent. Just 17 percent of white-owned businesses closed.
But what are the specific causes that make Black-owned businesses most vulnerable to economic plummet, and how…