African American spending Habits.

Why do African-Americans tend to spend their money on some of the most useless s#!+? What I’m calling to attention is black people needing to analyze and scrutinize their spending habits. One major of many components to maintain power as a people is to control both our destiny and collective economic destiny. And a key component to maintain that control is to execute a well organized, thought-out, strategized spending plan.

From Blueprint for Black Power (pp 602-604), which obtained their information from American Demographics (January, 1993) and other sources:

“Blacks spend over 75% more than Whites on boys’ clothing.”
“…money spent by Black households on boys’ clothing alone amounts to well above $1 billion.”
“African Americans are estimated to spend more than $500 million per year on McDonald’s fast food.”
“African Americans consume 32 percent of all malt liquor products and 20 percent of the scotch whiskey market”
“African American males between the ages of 13 and 24, who are less than 3 percent of total U.S. population account for 10 percent of the $12 billion athletic shoe market, purchasing more than 1 out of 5 pairs of shoes made by Nike;”
“African-American females, who equal approximately 6 percent of the total U.S population, purchase 15 percent of the $4 billion cosmetics industry, or $600 million and spend 26 percent more on perfume than any other group of females.”
Now all of these things are not necessarily silly, but many attract a point of interest, provoke deep insight and pique a source of embarrassment.

You can see many silly spending habits of our people just by strolling through some of our heavily populated African American areas. You’ll see things like 20-inch chrome wheels on a 1996 Ford Taurus. Or you’ll see two vehicles owned by one man, a 2009 Pontiac G8 and a 2005 Jaguar who lives in an apartment in the hood. Or you’ll see heavy consumption of alcohol, inside and outside of the clubs. You’ll see a guy who owns 20 New Era caps and 20 pairs of Air Force ones with no plan for the future, but to buy some more hats and shoes and rap about it. You’ll spot people paying $20-$50 dollars for club admission or $500-$1000 to sit at a table in someone’s building to drink their overpriced liquor. And one of the most ignominious things you’ll see, are people making it rain (and glorifying it)! [Excuse] “I’m giving back to the community.” [Response] “Why don’t you go start a school or something?!” The list goes on…

What this type of comportment reflects is a deep mental programming. Something in our environment is influencing us that these items are in fact our aims and goals. Something is affirming this type of behavior as normal and perfectly acceptable. But the first question to ask is, “Who benefits from this pathology?” and secondly, “Where does this message come from?”

Another important question to consider is, “Where is this money going?” Money is energy in motion. It allows you to direct your energy towards a particular purpose. If Blacks remain in dilapidated areas, and are held in a position of suffering and lack compared to other members of this nation, then we must question ourselves, why are we ignoring these ills and squandering our opportunity for self-improvement by misusing our monies?

A general rule of thumb is: wealth resides in the hands of a European elite. When we attend work, we exchange labor for their papers (money). When we make foolish decisions with our money, our money is readily handed back over to the very people that we work for, dominate us and dictate our lives. We repeat the cycle conceiving the Rat Race. This is by design.

Another question Dr. Amos exhorts us to ask is, “What do we get in return for such loyal support of non-Black businesses?” In his book he substantiates information that reveals, what we gain in return is so marginal, it’s an affront. Dr. Amos identifies another phenomenon that hinders our community from effectively supporting ourselves. Black businesses are not only avoided by non-Blacks, but even Blacks do not support each other’s businesses. This exposes a deep level of mental trauma. But, both of these issues are things that need to be addressed by an organized body of African Americans before any effective countermeasures can be implemented.

The spending pattern and desires reflected by African Americans are typically unacceptable and demonstrate backwardness. We have a duty to think of creative, strategic ways to utilize our money—to recycle it within the Black community. After we finish thinking, we need to (actually) perform the stratagem. When that becomes a reality, then we will have (economic) power to dictate our reality, foster into creation change that significantly benefits our people and continues to benefit our people thereafter.

Here's an example of living Hoodrich:
http://righteousminds.wordpress.com/2009/06/16/black-spending-habits/