> Back in the 60's, Milton Friedman noted that blacks
> systematically had higher saving rates than whites
> (after taking their income level into account). He
> attributed it to an attempt to cope with the effects
> of discrimination, or something to that effect.
I've always heard that it was related to a disproportionate participation in investment (including residential real estate). So yes, savings-rate was higher; but the whites were putting money into houses and stocks -- with typically larger returns. So the rate of wealth-growth was lower with blacks.
/jordan