As cities wrestle with the growing challenge of wealth inequality, more and more leaders are looking to broad-based ownership models as tools to create jobs and build community wealth. These models are highly effective, with a positive impact for low- and moderate-income individuals and communities. This report looks at six such models—ESOPs, Worker Cooperatives, CDFIs, Social Enterprises, Municipal Ownership, and Emerging Hybrids—with examples of best practices, and explores how these models can be used in community economic development.
Community Development Financial Institutions (CDFIs)
This new report, authored by Democracy Collaborative Senior Fellow Marjorie Kelly, offers a comprehensive framework of community investing, ownership, and wealth control models to enhance the social, ecological, and economic well-being of rural areas.
Last week, the National Community Reinvestment Coalition (NCRC) hosted its annual conference in Washington DC. Entitled “A Just Economy: Ideas, Action, Impact,” the conference brought together nearly 800 community-based practitioners and policymakers to discuss responsible community investment and share strategies to ensure equal access to credit, capital, housing, jobs, and banking services. Read more about Exchanging Ideas for a Just Economy ...
Our research director Steve Dubb is joined by REDF's Carla Javits for a conversation around "Big Ideas for Job Creation" at the Aspen Institute, focusing on transforming anchor institution procurement to strengthen local economies and using social enterprise to create employment opportunities.Read more about Creating Jobs by Building Community Wealth...
Crossposted from Policy Network, and later published on the London School of Economics website, this blog is part of a debate event hosted by Policy Network in London, UK, that was reviewed in OurKingdom by grassroots activist James Doran:
Five years after the financial crisis economic inequality in the United States is spiraling to levels not seen since the Gilded Age. While most Americans are experiencing a recovery-less recovery, the top one per cent of earners last year claimed 19.3 per cent of household income, their largest share since 1928. Moreover, income distribution looks positively egalitarian when compared to wealth ownership.
In 2012, credit unions passed an important milestone: collectively, these cooperatively owned, one-member-one-vote financial institutions hold more than $1 trillion in assets. Taken together, they would equal the fifth largest U.S. bank, knocking Goldman Sachs out of the top five (keep in mind, this does not include other sectors of cooperative finance, which, if taken all together, would comprise one of the largest banks in the country).