Abstract

Contrary to immediate appearances, the creation and operation of black economic institutions can lead to increased racial integration in the United States. The argument for this statement can be made now with unsystematic naturalistic or observational evidence of the operation of ghetto-controlled economic institutions—particularly community development corporations. More systematic study will be needed, but theoretically the hypothesis is expected as a result of (1) increased opportunities for, indeed the social requirement of, equal-status interpersonal interactions inherent in normal business relationships, and (2) the interdependence of economic institutions within and without the ghetto, an interdependence which requires interracial contacts. The Special Impact Program of the U. S. Office of Economic Opportunity is considered as an economic development program that encourages integration by encouraging local community control of the economic institutions.

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