Page 4 Portland Observer, March 11. 1982
EDITORIAL/OPINION
Black Capitalism: Profile in Poverty
bv Manning Marable
It must be racism
Is it possible that the five members o f the
School Board who voted to place Tubman M id
dle School in the Boise building are right? Is it
possible that the Black community, its organiza
tions, and two members o f the School Board are
wrong?
Could it be that the m ajority o f the School
Board are justified in totally ignoring the hopes
and desires o f Black parents and students? Is
there some overriding concern, some important
new evidence, that makes the personal desires or
vendettas o f five School Board members more
important than the children they are elected to
serve?
It is hard to believe that only tw o School
Board members— Herb Cawthorne and Steve
Buel—really care about Black children. And yet
it seems to be true.
It is obvious that racism prevailed during the
Board’ s decision-making—that the concern o f
five Board members was not for the children
who attend Tubman or the children who attend
Boise. The overriding concern was for the stu
dents o f F liot—46 per cent o f whom are white.
The p ro o f o f the pudding w ill be when the
Board decides where to send the Boise students.
W ill they displace other neighborhood children,
causing a series o f moves and disruptions? Or
will they be scattered to the four winds?
The obvious best decision— if Boise is to be
used—is to send the Boise students to Beach and
Eliot, where many can walk to school.
Then comes question number two. Who will
be displaced from Eliot? Not the 46 per cent.
The neighborhood children from King, Sabin,
etc. who have been recruited in the past to meet
the Headstart Followthrough income require
ments w ill be sent back to their neighborhood
schools and the interests o f the middle class
white children will be protected.
Yes. Racism still prevails in the Portland Pub
lic Schools.
Why fear citizens' review?
We have long favored a police review board—
a board o f citizens that would investigate and
evaluate complaints against police officers or the
Police Bureau. Considering the “ esprit de
corps” o f police officers we consider it unrea
sonable to expect them to police each other.
The Task Force recommendation to establish
a monitoring commission that w ill be presented
to the C ity Council does not meet the need for
citizen oversight and citizen involvement. It has
little power or authority. Its appeals would fall
on the deaf ears o f the Police Commissioner—
currently the Mayor. Its only real power would
be the ability to publicize adverse decisions and
procedures.
What do Mayor Ivancie and Chief Ron Still
have to fear from this commission? Their vio
lent opposition is d ifficu lt to understand. Per
haps even the smallest insight into the inner
workings o f the Portland Police Bureau would
risk too much exposure.
In light o f the continued complaints o f racial
harassment, brutality, corruption and illegal ac
tivities by police officers one must wonder what
else there is to hide.
I f these problems have really been alleviated
—as we are constantly told—the Mayor and the
Chief o f Police should welcome the prying eyes
o f a citizen monitoring committee. I f not, then
they are right to try to keep the doors shut tight.
Stop attack on Nicaragua
C IA operations ordinarily take place in the
dark night o f secrecy and although suspicians
are ram pant the tru th is hidden fro m the
American people for many years.
The US denied im p lic a tio n in the Bay o f
Pigs Fiasco and only in recent years has the
depth o f US involvement been revealed. Only
through the w ritin g s o f form er C IA agents
have we learned about C IA operations in
A ngo la and in various South A m erican
countries. Congressional hearings brought out
some o f the facts about the murder o f Allende
and the overthrow o f his government in Chili.
The Iranians were lucky enough to fin d the
evidence in the embassy they occupied, and
M ozam bique recently expelled C IA agents
plotting against that government.
The list o f covert activies against nations
and their leaders is long and frightening.
But until now “ covert” activities were secret
activities.
Now the US is brazen enough to announce
its cu rre n t actions against and w ith in the
nation o f Nicaragua. The C IA plans to train
thousands o f mercenaries to invade
Nicaragua. It also plans destruction o f roads,
bridges and oth er v ita l sites to destroy the
economy and the government.
Nicaragua is a small, poor country that was
in the hands o f a US selected dictator for many
years. Only 216 years ago the people were able
to gain th e ir freedom afte r a long and
devastating struggle. These two years have
been spent in rebuilding the country, educating
the people, p ro v id in g previously unknown
health care, etc.
But fo r the last year — since Reagan took
office — Nicaragua has been under constant
threat o f attack and economic boycott from
the US. It has had to defer its own social and
economic needs to arm its people against the
very real threat o f a US invasion.
Disillusionment with Reaganom
ics has inspired a revival o f a variety
o f Black strategies fo r economic
survival in the 1980s. M any Black
com m entators, in clu d in g Tony
Brown, argue that Reagan is actual
ly helping Black people by pulling
the federal government’s social ser
vice “ security b la n k e t” out from
under their feet. Blacks have suffi
cient resources to develop and sus
tain their own viable Black Capital
ist economic program . U n fo rtu n
a tely, the neoconservative Black
polyannas are long on rhetoric but
short on facts. A detailed analysis o f
the data on Black-owned businesses
in (he U .S. illustrates the affluence
o f some, and a p ro file o f poverty
for the many.
Census research on Black-owned
businesses also indicates a profound
pattern o f concentrated wealth and
power in the hands o f a relatively
small num ber o f Black busi
nessmen O n ly 164,177 workers
(mostly Blacks) found employment
in the 39,968 Black firm s which
hired personnel in 1977. W ithin this
figure, however, 32,581 businesses
(81.5 per cent o f firms hiring work
ers) employed between one to four
persons during the year. These firms
hired an average workforce o f 1.45
em ployees, paid average annual
gross payrolls o f $ 9 ,6 9 5 . and re
corded average gross receipts total
ing $68,831 Moving up the employ
ment scale, a d iffe re n t picture
emerges. O nly 230 Black firm s in
the U.S. in 1977 hired between 50 to
99 employees. This group retained
an average w orkforce o f 67 6 em
ployees, had average annual gross
payrolls ot $540,035. and average
yearly gross p ro fits o l $2,357,909.
At ihe pinnacle ol Black Captial-
ism were the 11 3 1 1 s Black firms
which employed 100 or more work
ers m 1977. This tiny elite is part o f
the dominant U.S. corporate estab
lishm ent. W ith an average w o rk
force o f 247.5 employees, these
firms met averuge annual payrolls
o f $1,960,221.
Average annual gross receipts for
the elite in 1977 were $8,952,469.
T h roughout the U .S ., there were
1,060 Black-ow ned corporations
and partnerships that hired 20 or
more employees. This small fraction
o f all Black entrepreenurs was only
one-half o f one per cent (00.46) of
all Blacks engaged in private enter
prise. These 1060 a fflu e n t Black
firms had gross receipts which to
talled $2,467,958,000. 38.6 per cent
o f all gross receipts acquired by
Black firm s w ith employees, and
28.5 per cent o f the gross receipts re
ceived by all B lack-ow ned busi
nesses.
O nly a few enterprises earn the
vast majority o f profits. 103 manu
factu ring firm s out o f a to ta l o f
4243 received 6 7.3 per cent o f all
gross receipts in that sector, and em
ployed 52.8 per cent o f all em
ployees. In wholesale trade, 5 per
cent o f the firms had 75.3 per cent
o f all receipts and 58.3 per cent o f
all paid workers. In finance, real es
tate and insurance. 90 firms (0.9 per
cent o f the to ta l num ber) earned
69.2 per cent o f all gross receipts
and had 77.1 per cent o f all em
ployees.
Black C ap ita lis m in the 1980s,
must be subdivided into three dis
tinct constituencies— the “ proletar
ian p erip h e ry ” ; the in term ed iate
Black small entrepreneurs; and the
Black corpo rate core. O ver fou r-
fifth s o f all U .S . firm s, 82.7 per
cent, belong to the proletarian peri
phery. These 191.235 enterprises
have several com m on c h aracter
istics: I) almost all are sole propri
etorships, unin co rp o rated firm s
owned by a single Black individual;
2) most ate started by Black blue
collar or marginally white collar em
ployees; 3) the firms arc undercapi
talized from the outset, and owners
Oregon's next Governor
Now that invasion, either by US troops, or
by US supported and trained tro ops, is
imminent.
For many years the American people have
sit back and allow ed our governm ent to do
what it wishes to the people o f the world. W ill
the American people again sit back and allow
this bold attack to continue?
We are, after all, responsible for the actions
o f OUR government. It is time for the people
o f this country to take a stand agaisnt murder
and terror perpetrated by OUR government.
Social programs are a high prior
ity to C lark and during extreme
budget cuts he has attem pted to
keep the county closely involved in
health and social programs. He con
ceived and implemented Project
Health, a program that has become
a national model. The County pays
all or a portion o f the fee for private
health insurance, enabling lo w -in
come persons to receive “ m ain
stream” health care.
One o f his goals for the state is a
state health-care program. “ It will
be years before there is a national
health insurance program and O re
gon cannot a ffo rd to w a it.” M any
persons do not seek needed health
care because o f their lack o f money.
W ith the community-based public
health center, quadrant offices, ju
venile diversion programs, etc., he
has tried to make social programs
available and convenient.
A ffirm a tiv e action also is a top
p rio rity . “ I believe government
should take the lead and set the ex
ample. Governor A liyeh has said it
can’ t be done through force, but I
believe it can. I have made my man
agers responsible for a ffirm a tiv e
action and have made it clear what I
expect.” C lark said the C o u n ty ’s
workforce has a better representa
tion o f minorities than any govern
ment in the state. “ The employees
are representative o f m inorities,
women
and
socio-economic
group." This concern carries over to
appointments to committees and
boards: “ 1 ensure that committees
include minorities, women, and geo
graphic areas o f the county."
When it became necessary for the
County to lay o ff employees Clark
established Project S A V E , which
found other county jobs for all who
wanted them . “ The saying— last
hired, first fired — is unfortunately
true, so this program was especially
important for minorities." It should
be used on the state level. C la rk
added
Regarding the recent special legis
lative session to deal with the
state's budget deficit, Clark said al
though the legislature came out
looking bad much o f the problem
stemmed from lack o f leadership by
Ihe G overnor. “ I believe he knew
the legislature could not accept his
proposal with its deep cuts in agency
budgets and in higher education. In
my opinion he was attempting to re
gain his conservative base o f sup
p o rt-p ro p o s in g cuts in social pro
grams even though he knew it
wasn’t realistic." As for the gover
Praises to Dr. Williams
To the editor:
Rev. and Sister O .B . W illia m s ,
pastor and wife o f Vancouver Ave.
1st Baptist Church will be celebrat
ing their Thirty-seventh Anniversary
in this role.
I am writing this as a tribute for a
job well done.
I have been a m ember o f V a n
couver for over thirty-one years.
I have learned a lot from these
God-sent people; and have been
able to build a moral and a religious
foundation, that I am proud of.
From my parents and Rev. O .B .’s
teaching, God has been made real,
and a deep love for Christ has been
instilled.
The Reverend still exemplifies the
Portland Observer
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C lark also faulted the governor
for his efforts to cut social programs
and education. “ You do not cut
programs for the poor and unem
ployed during a time o f high unem
ploym ent, when they are needed
most And making cuts in higher
education and the com m unity col
leges will just force more people out
o f school and onto the jo b m arket
where there are no jobs.”
C lark believes the people o f O re
gon must pause and look at the fu
ture— the type o f lifestyle that will
be in vogue ten or twenty years from
now. M any jobs will be done by
computer or robot; the type o f work
needed will be different. What type
o f education and training is needed
for life in that kind o f world? What
will happen to people in the nation
— whose entire self-image and self
esteem are based on their work —
when many will be without jobs?
What can the state do now to p re
pare for that time?
National Advertising Representative
Amalgamated Publishers. Inc
New York
City____
same meekness, hum ility, and obe-
dienct to G od that he did over
th irty -fo u r years ago when I first
heard him preach.
Revcrened. the quality that God
gave you is a rare one, and by your
possessing this you have been able
to pass it on to some o f us, not only
in our church, but in the whole city
and ihe nation.
I am proud to be a member o f
Vancouver.
M atthew C h ap ter 5 says it all
about you, especially verses 5 and
12: "Blessed arc the meek for they
shall inherit the earth. Rejoice and
be exceeding glad for great is yout
reward in heaven."
Fesre Loving
Name
Subecnpbone «10.00 per year In Tri-County area ro a lm e a la i
Sand addraaa change» to the Portland O btenur. P.O. Box 3137,
Portland. Oregon *7200
MEMBER
nor’s style o f leadership: " I f I were
governor I would have met with the
Senate and House leadership from
both parties, laid out the problem
and said, ‘ Let's work out a program
together.’ Then that program would
have had broad support. Instead, he
kept his plan secret and it had no
support."
Letters to the Editor
Granma
Oregon
Newspaper
are forced to subsidize business acti
vities by drawing upon personal sav
ings, loans from friends and rela
tives, and by allocating a portion o f
their salaries at their other place o f
employment; 4) all o f these firm s
have no paid employees; 5) the vast
m a jo rity arc concentrated in tw o
traditional sectors o f the segregated
Black economy, human services and
retail trade; 6) at least 75 per cent
become b an kru p t w ith in three
years; and 7) their average annual
gross receipts vary between $3,000
to $15,000. Economically and politi
cally, these Blacks are essentially
workers who are attempting to be
come successful businesspersons.
These small entrepreneurs u n i
form ly pay higher rates for insur
ance, since m ajority-Black commu
nities are defined as “ high ris k ”
areas. They are exploited by banks
which “ re d lin e " Black districts,
making entire communities ineligi
ble to receive loans at reasonable
rates. Sm aller retailers w ith low
sales volumes and a small number o f
items for vale must charge higher re
tail prices for good or services than
larger w hite-ow ned com panies.
M cD onalds and K entucky Fried
Chicken, for instance, can sell their
fast foods at nominally lower prices
than the Black “ m o m -a n d -p o p ”
chicken establishment, because o f
higher sales volum e. H u m an ser
vice-oriented firms started by Blacks
who possess personal skills (h a ir
dressers, cooks, barbers, caterers,
etc.) can be established w ith little
capital, but they are also very vul
nerable to recessions Black workers
and the unemployed have precious
little discretionary income.
At every periodic downturn in the
economy. Black lower and middle
income fam ilies cut back on their
spending for services and gixxis. As
a result, in both 1973-75 and 1980,
tens o f thousands o f Black busi
nesses failed. U nfortunately, thou
sands more will fail this year
State
Portland Observer
Box 3137
Portland, OR 97208
Zip
Correction
O u r apologies Io D r. W ebster
Brown for m isspelling his alm a
m ater, M eh a rry M ed ical School.
And to M a rk D avis and M a rk
Gardner for confusing the two.