Federal Trade Commission Hindering Black Economic Achievement

BY JULIANNE MALVEAUX

The Biden Administration has been pushing hard for credit for its significant economic successes. Coining the phrase ‘Bidenomics,’ the term is meant to direct attention towards the administration’s striking successful economic agenda. Under President Biden, the rate of inflation has been more than cut in half, employers have created more than 13 million jobs, wage growth has outpaced inflation, and the unemployment rate of Black workers is at a record-breaking, historic low. Now, the administration wants the public to give them credit.

Yet, the key to widespread public support is not through grandiose statements or flashy catchphrases. Instead, it is through the ongoing prioritization of policy that enhances the everyday, lived experiences of Americans—especially Black Americans. On this front, the FTC can play a crucial role.

The Federal Trade Commission is charged with protecting American consumers from everyday threats permeating the domestic marketplace. Appointed by President Biden, Lina Khan now serves as Chair of the Commission, and she has adopted a unique, ultra-progressive approach to the FTC’s mandate.

Soon after assuming leadership, Chair Khan de-prioritized the consumer welfare standard, a time-tested precedent that puts individual wellbeing at the forefront of any and all policy discussion, deeming it “too narrow.” Instead, the Commission has embraced a broad view of consumer well-being, focusing on antitrust cases that could theoretically have sweeping, long-term impacts on the economy. While I appreciate this approach, a loss of focus on the FTC’s bread-and-butter consumer protection issues could have a devastating impact on Americans’ economic wellbeing, especially those most vulnerable.

We have already witnessed the consequences of a loss of focus on fundamental issues at the FTC. As the Commission focused their energy on theoretical risks rather than real threats posed to consumers, consumer fraud cases soared. From 2021 to 2022, fraud losses increased by over 30%. Last year, alone, consumers lost $8.8 billion to fraudsters—and Black Americans are disproportionately suffering from the consequences of this tragic phenomenon.

According to the FTC’s Serving Communities of Color report, “predominantly Black communities filed consumer reports at a higher rate than predominantly White or Latino communities.” Beyond that, Black and Latino individuals have reported higher instances of fraud via payment methods that do not have refundable protections. Without a solution from the FTC, they remain at a loss—exacerbating income inequality for consumers already working in traditionally marginalized communities.

Americans are increasingly turning to gig economy work to make up for losses to increasing fraud, to keep up with rapid inflation, or simply to gain extra spending money. In fact, Black and Hispanic individuals are most likely to take up gig-work, compromising over half of workers in the industry. Nearly one-third of Hispanic adults have earned money through the gig economy, while over a quarter of African American adults have earned money through these platforms.

Despite this trend, Lina Khan has now turned her attention to gig economy workers, with the commission vowing to “use its full authority” to investigate gig companies and worker practices. At an FTC Open Meeting, app-based workers warned the Commission against pursuing unnecessary legislation. Advocacy groups like the U.S. Hispanic Chamber of Commerce and National LGBT Chamber of Commerce called on the FTC to consider that these apps serve as a resource to members looking empower themselves through another income stream.

Yet their pleas went unconsidered, and Khan decided to release a policy statement giving the FTC the power to regulate the American labor market in the form of gig-worker regulation— despite the fact that opposing Commissioners claimed the decision “meanders in and out of our jurisdiction into matters of employment law.” Once again, Khan prioritized her own agenda despite what Americans were telling her they needed on the ground. In the name of individual American wellbeing, this trend cannot continue.

The Biden administration claims its goal is to “lower costs and help entrepreneurs and small businesses thrive.” To achieve this, the FTC must recommit to its most fundamental pillar: the consumer welfare standard. This commitment will especially benefit Black Americans, who have become innocent bystanders as foolhardy legislation renders them even more vulnerable at the hands of scammers.

When Americans feel the impact of thoughtful policy, they will be vocal in their support. From gig-economy workers to small business owners to high level corporate executives—every single American benefits from a vigorous FTC committed to protecting consumer interests. It’s time that the FTC recommit to the day to day needs of consumers, rather than distant, theoretical policy ideals that do nothing benefit lived experiences of Americans.

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BY JAMES A. WASHINGTON

The Atlanta Voice

With the world in such a tumultuous state, you could say that this is when faith can and is tested.

For some people, tragic world events just might make you question the existence of the God we profess to believe in.

I have to often remind myself that most of what happens to me is a direct result of my doing, the choices I’ve made, the lack of having God internalized and called upon throughout my decision-making process.

In not doing so, a lot of the goings on in this world get simplistically reduced to what I call the view from a religious perspective. I mean think about it.

Most of today’s tension and conflict get interpreted at a very base level in terms of radical religious behavior in the name of one God or another.

News media, at times, tend to minimize, if not ignore, this and explain it in terms of territorial disputes, political power grabs, oil, and in some cases money and greed. But those who die in these conflicts are usually killed by someone of a different faith.

That faith, or lack thereof, sanction so-called terrorist attacks, suicide bombers and of course righteous retaliation. The God Christians serve merely has a very different point of view and thereby dictates a different course of action for us.

Jesus teaches peace, love, and understanding and yes, I do know how trite and contrived that sounds.

But the Man was killed for living a life predicated on a love for fellow human beings and a definite intolerance of institutionalized persecution and oppression, particularly by the church, His.

We all know the source of His strength in the midst of what He faced. I guess my question to you is what is the source of your faith in the midst of what the world is facing with you and me in it? That is not a rhetorical question. I find myself in prayer asking God to give me the wisdom to learn from whatever the experience is that I’m going through, good or bad.

Likewise, I’m also praying for the wisdom to understand what in the world is going on in the world in which we live. The end result is usually the same.

I ultimately have to put all things in the Lord’s hands. Faith demands that I do. His Divine Will certainly supersedes my secular understanding and that is as it should be.

I must admit to you though, that I do, at times, think that man has forced these issues and situations for the same reasons that I find myself feeling like I’m going through hell on some things; a lack of having the one true God embedded in the decision making process.

When that happens, peace (peace of mind in my case) prevails because the outcome is known. I win based on my faith in and acceptance of Jesus as Lord and all that brings with it. The world could use some rigorous training in this.

When it doesn’t happen, chaos reigns. Because in the end, I know what the outcome is going to be. God wins which means I win. Those who believe in Him will also be victorious.

Simply put, you win too. Think about it and you’ll know where your faith is.

May God bless and keep you always.