There Was A Time Reparations Were Actually Paid Out – Just Not To Formerly Enslaved People
In the United States, reparations to slave owners in Washington, D.C., were paid at the height of the Civil War. On April 16, 1862, President Abraham Lincoln signed the “Act for the Release of certain Persons held to Service or Labor within the District of Columbia” into law.
It gave former slave owners $300 per enslaved person set free. More than 3,100 enslaved people saw their freedom paid for in this way, for a total cost in excess of $930,000 – almost $25 million in today’s money.
In contrast, the formerly enslaved received nothing if they decided to stay in the United States. The act provided for an emigration incentive of $100 – around $2,683 in 2021 dollars – if the former enslaved agreed to permanently leave the United States.
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Similar examples of reparations going to individual slave owners can be found in the records of countries including Denmark, the Netherlands and Sweden, as well as Argentina, Colombia, Paraguay, Venezuela, Peru and Brazil.
The French government even set an example on how the government can conduct genealogical research to determine eligible recipients. It compiled a massive six-volume compendium in 1828, listing some 7,900 original slave owners in Saint Domingue and their French descendants.
Reparations, this time the other way round …
Blessed with detailed U.S. Census records and local archives, I believe the government could do the same for the Black descendants of enslaved Americans.
In the 1860 census, the last one before the Civil War, the government counted 3,853,760 enslaved people in the United States. Their direct descendants live among close to 50 million Black residents in the United States today.
Using historic census records to estimate the number of man-, woman-, and child-hours available to slave owners from 1776 to 1860, I estimated how much money the enslaved lost considering the meager wages for unskilled labor at the time, which ranged from 2 cents in 1790 to 8 cents in 1860. At a very moderate interest rate of 3%, I arrived at an estimate of $20.3 trillion in 2021 dollars for the total losses to Black descendants of enslaved Americans living today.
It is a huge sum – roughly one year’s worth of the U.S.‘s GDP – but a figure that would comfortably close the racial wealth gap. The difference is, in contrast to historical precedents, this time the benefits would go to the Black descendants of the enslaved, not to enslavers and their offspring.
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Thomas Craemer, Associate Professor of Public Policy, University of Connecticut
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