A Better Way to Tackle Social and Economic Inequality

Building community wealth from the bottom up is a more effective way to turn struggling communities around.

1 minute read

December 16, 2019, 6:00 AM PST

By Camille Fink


Detroit Vacant Properties

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A new report from the Nowak Metro Finance Lab at Drexel University argues for a move away from community development models to a community wealth system, reports Richard Florida. "They define community wealth as 'a broad-based effort to build equity for low-income residents,' which could unlock 'hundreds of billions in market and civic capital' to revitalized struggling places across America."

This bottom-up approach looks to grow individual and collective neighborhood-based assets in distressed communities, improve access to private capital, and enhance inclusion. It is a holistic and more localized way to tackle regional inequality, says Florida.

The report points to Opportunity Zones as one alternative to federal grant-based programs, and community wealth depends on such place-based approaches, says Florida. "We already know these work—to enhance workers’ skills; support and nurture local entrepreneurship; provide services to small and medium-sized businesses; and invest in neighborhood assets such as schools and parks, and public safety and other critical public services."

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