U.S. Treasury Report Highlights Historic Economic Recovery from Pandemic

  1. Equitable Recovery:
    • The U.S. Department of the Treasury released a report showcasing the Biden Administration’s American Rescue Plan as a key driver of the most equitable economic recovery in recent history.
    • The report, backed by Federal Reserve Board data, emphasizes the swift and robust response that prevented severe economic impacts on Black and Hispanic families.
  2. Economic Well-being:
    • Economic indicators demonstrate that the financial well-being of Black and Hispanic families remained strong relative to past recoveries.
    • Deputy Treasury Secretary Wally Adeyemo highlighted the progress made in building a more equitable economy and narrowing the racial wealth gap.
  3. Key Achievements:
    • Unemployment rates for Black and Hispanic individuals recovered more quickly than in previous recessions, with real earnings growing twice as much as in the three years following the Great Recession.
    • Household wealth for Black and Hispanic Americans significantly increased, leading to a narrowing of racial wealth gaps between 2019 and 2022.
  4. Statistical Highlights:
    • Median wealth, adjusted for inflation, rose by 60%, 47%, and 31% for Black, Hispanic, and white families, respectively, from 2019 to 2022.
    • Unemployment rates for Black and Hispanic individuals were lower than in previous recoveries within 20 months after the COVID recession peak.
    • Foreclosure rates remained low during the COVID recession and recovery, in contrast to the Great Recession.
    • Homeownership rates increased for Black, Hispanic, and white households between 2019 and 2022, defying the impact of interest rate increases.
    • Black and Hispanic rates of business ownership recorded significant increases, reaching their highest recorded readings.
  5. Upcoming Forum:
    • The report precedes the Treasury Department’s third annual Freedman’s Bank Forum on October 25, where Administration officials will discuss efforts to increase economic opportunities for communities of color.

Conclusion: The Treasury report affirms the success of President Biden’s American Rescue Plan in fostering an inclusive economic recovery, marking a significant step toward building a more equitable and resilient economy.