100%(2)2 out of 2 people found this document helpful
This preview shows page 1 - 2 out of 9 pages.
**What is institutional discrimination? Provide 3 instances of institutional discriminationin housing. Institutional discrimination in housing has resulted in high levels ofresidential segregation. What are the consequences of this form of segregation? **INSTITUTIONAL DISCRIMINATION—when organizations have systematic policies and procedures that disproportionally benefit one group. This is done whether or not the discrimination is intentional.[HOUSING, EMPLOYMENT, CRIMINAL JUSTICE SYSTEM, ENVIRONMENT, EDUCATION]a.Housing—housing policies along a number of mechanisms that lead to races being treated differently. i.Federal Housing policies—federal mortgage loan funding agencies “Freddie Mae” and “Freddie Mac;” quasi-governmental organization. They buy home loans from banks and credit unions at reduced rates. Their mortgage and interest rates are very low, which is good for the buyer. It is harder to get a loan if you are Black or Hispanic; not so if you are White or Asian. Their policies disproportionally affect Whites/Asians more because those are the ones able to get a loan. Blacks/Hispanics usually have lower credit scores & less collateral, Blacks are usually more unemployed, etc.ii.Lending Practices “Redlining”—lending practices that take place at the levels of banks. They will not lend money or lend money at a higher rate to people who live in certain areas. The disproportionally poor, Hispanic/African Americans are the ones who get the “redlines,” they wont be lent to. Has a RACIST OUTCOME. In these neighborhoods, people usually default on loans, less collateral, etc. People in these neighborhoods usually have higher insurance rates because of the rates of crime. Pizza companies “redline” too because they don’t want to put their drivers at risk!!!iii.Real Estate Agents—some real estate agents steer people to certain neighborhoods based on their race. Real estate agents take people to these neighborhoods unless they say they want to see property X, Y, Z. It is unintentional; they are trying to match people buying housing with what they believe the buyers want. Leads to differences in housing.iv.Restrictive Covenant—in the house deed that says the house CANNOT be transferred to someone of a certain race. African-Americans and even Jews were barred from buying the house. v.Vigilant Neighborhood Associations—deed restrictions; not many people said they were harassed by the associations, but the rules for the neighborhood must be followed or they will MAKE YOUR LIFE HELL!! Deed restrictions are not evenly enforced. If you’re the