(ThyBlackMan.com) Regardless of the what the talking heads say on television and governmental announcements to the contrary, 2016 will be the most challenging year for African Americans (AA) and indeed the nation since the start of The Great Recession back in 2008. We will go over the specifics in a minute regarding “The 2016 Recession” as they will come to call it and you can make your own decision regarding where we are headed economically speaking.
However, the African American print media from publications like Ebony, Black Enterprise, Essence and AA newspapers have done a very poor job of both preparing and informing African Americans of the possibility of a coming “ 2016 Recession” and what they can do about it. Nevertheless, the AA community and indeed the nation do not have to be left out in the cold due to this recession, because there are remedies available to forestall this downturn. African American political pressure groups such as the NAACP, Operation PUSH, Reverend Sharpton’s NAN, and the SCLC (Dr. Martin Luther King’s old organization) have to a large extent failed Black America miserably when it comes to the issue of high African American unemployment. They are sort of MIA ( missing in action) when it comes to this issue. As in just one example, there are no marches and no verbal protests regarding the understatement of black unemployment rates which was covered in a previous article ( https://thyblackman.com/2015/11/12/the-rip-off-of-african-americans-and-the-unemployment-rates/ ).
It is well understood by many experts and presidential candidate, 
Senator Bernie Sanders who has from time to time mentioned this very item in his speeches, that the current reporting of the nation’s unemployment rates by the Bureau of Labor Statistics (BLS) leaves a lot to be desired (http://www.counterpunch.org/2015/10/21/separate-and-impoverished-americas-black-poor/ ). In terms of accurately and realistically portraying the state of African American unemployment, this administration has failed us.
Look, if there were any protests from African American pressure groups or any written commentary from any of the black publications above, they would be joined by a chorus of critics of this deplorable practice of understating the nation’s unemployment rates. Yet, all we get from the AA media and pressure groups is silence! Silence on this important issue gives the impression that “it is okay” to understate the African American unemployment rate! This point is being hammered home to you because now Black America is facing a “second recession” in less than ten years.
Knowing the true AA unemployment rate which is 18 percent becomes even more critical and makes a difference, as this rate will average higher from 18 percent in the coming weeks and months. It makes a big difference that you know your true unemployment rate when you stand up and protest for jobs, as we will have to, as this second recession clamps down on African American people and neighborhoods. This recession coming so soon after The 2008 Great Recession which the black community has yet to recover from will literally affect AA households in the worst way. There are other things among many that these publications and organizations could be doing also, such as starting a dialogue and seeking honest input regarding solutions. But they will not do any of these suggested positive things, unless there are people like you who are willing to force this conversation upon them!
How is it then that another recession is being forecasted? Well, the retail sales numbers are now coming in, telling the country and you what the consumer did during the holiday season and all of last year. These numbers are not encouraging. Here is the deal. In order to keep businesses and corporations operating, at the end of the day, you the consumer have to purchase the products and services of these businesses and corporations.
Does that make sense to you? And if enough consumers do not purchase these goods and services because of financial weakness in the consumer sector, businesses and corporations stop hiring and even begin laying workers off if they are not able to meet their sales goals. Retailers last year and this includes the Christmas holidays, had the worst year since 2009. This result supports what was concluded in the article regarding falling gasoline prices where it was stated a drop in consumer demand ( which is the purchase of goods and services) would lead to higher unemployment ( https://thyblackman.com/2016/01/08/dont-believe-the-lie-thatcheap-gas-is-good-for-you-blacks-again-being-played/ ).
Well, the retail sales report confirms there is lower consumer demand. No one has to question that anymore because the fact that this is happening has been published! Google it yourself! Here is what we know; as consumers, who are 70 percent of the economic activity of this economy cut back on purchases, there is less need for manufacturers around the world, including in China, to buy oil to run their factories because they are getting less orders for products. Thus, the price of oil will continue to fall. Falling oil prices mean the economies around world are slowing!
Moreover, if you are an African American business and your clientele is made up of largely African Americans, such as Historical Black Colleges and Universities (HBCU), this next recession will be catastrophic. Based on my research of the business metrics of HBCU’s and other African American oriented businesses, their balances sheets on the whole are weak. It’s the African American community that will be hit the hardest because its unemployment rate is the highest of any worker group at 18 percent. To go higher from here will place blacks nationally at “Great Depression” era levels of 25 percent unemployment which was experienced by the United States in the 1930’s. Yet, there is silence, there is no clarion call to examine specific solutions either from the African American business or education sector. Failure to act speedily on this issue will prove detrimental to Black America!
The obvious answer to this coming disaster, as we watch investment markets sell off at 300-400 points at a clip, is for the federal government to invest directly in the consumer. The federal government has to develop a fiscal plan that will result in you, the consumer having money put directly into your hands on a consistent and long term basis (
https://thyblackman.com/2015/11/20/african-americans-can-free-themselves-from-a-17-unemployment-rate-2/ ). By doing this the Federal government primes the pump of the economy. The answer is to, quite simply, create consumer demand through this process.
As a reader what role can you play in helping to bring about a change when it comes to job creation? Simply, with your friends, contact the above publications’ and pressure groups’ web sites with this article through the magnificent sharing phenomenon called Facebook. Who knows, maybe by doing this we all can make a difference and have some impact before the economy deteriorates to the point where lay-offs become the new normal. At the end of the day, it up to responsible people to act where others do not. So share and e-mail now before you forget
Staff Writer; James Davis
This talented brother is a graduate of Florida A. and M. University(FAMU), a former stockbroker, and a human rights activist who resides in Sanford, Florida. He was awarded the prestigious Governor Haydon Burns Scholarship to attend FAMU and while at FAMU was awarded the first Martin Luther King Scholarship. He is also author of three books, among them are “The Fix This Time,” Expanding Social Security Benefits to Create Jobs and Spur Demand( http://www.amazon.com/dp/B00MI3PD2M ) and “Hey…God’s Talking To You,” The Study Book ( http://www.amazon.com/dp/B00GYI3VQW ).
He can be reached through his blog @, (http://www.thefixthistime.com).