Blacks and Hispanics would suffer more
economic hardship than other groups of Americans if the United States adopts
the policies mandated by the 1997 Kyoto Protocol - the international treaty
designed to prevent the unproven theory of global warming. The Kyoto Protocol
- the international treaty designed to prevent the unproven theory of global
warming. The Kyoto Protocol was approved by the Clinton Administration,
but has not yet received Senate the ratification necessary for enforcement.
Increased energy prices resulting from
global warming regulations would jeopardize the economic gains made by
minorities during the 1990s. According to economic data highlighted in
Project 21's upcoming report, Black America 2000: Indicators of Black Progress,
gainss
include a substantial rise in black incomes and an over 100% increase
in black-owned businesses. Global warming regulations, however, would impose
higher fuel prices on all consumers, and may substantially push back this
positive trend in the black community and once again expand the gulf between
race and wealth.
Expressing the concern that the White House
is putting policy gains ahead of the needs of people, particularly people
of color, Project 21 member John Meredith said, "Once again, environmentalists
have succeeded in convincing a legacy-seeking president that denying hard-working
black Americans the opportunity for economic success is the best way to
save 'Mother Earth.'
In addition to the negative effects of
rising consumer prices on those with smaller budgets, higher energy prices
are also likely to have impact on small businesses. Small businesses are
the bastion of the black business explosion. These regulations could force
many sound but struggling businesses to close.
Additionally, global warming regulations
could make it cheaper for many American businesses to relocate overseas
since 80% of other nations are exempt from global warming restrictions
that would be imposed on the United States. Those businesses that remain
in the United States, however, may still be forced to lay-off workers in
order to stay in business. Still suffering from the "last hired-first fired"
syndrome, the minority community can expect to feel the brunt of these
lay-offs.
A study of the Kyoto Protocol, commissioned
by and conducted by Management Information Services, Incorporated for the
Black Chamber of Commerce, predicts that 1.4 million of the 3.2 million
jobs that global warming policy puts at risk will be held by African-Americans
and Hispanics.
The report notes the economic devastation
that the energy crisis of the 1970s inflicted on minorities provides a
clear example of the adversity imposed by rising energy costs. The Arab
oil embargo forced consumer prices in the United States to skyrocket by
ten percent in 1973 alone. Inflation at the time forced many poor and minority
Americans, many of whom struggled to pay their bills before the embargo,
into severe economic despair. By some counts, it took these people two
decades to recover from this hardship.
Project 21 has been a leading voice of
the African-American community since 1992. For more information, contact
David Almasi at (202)371-1400 ext106 or Project21@nationalcenter.org.