Panel discussion following Dr. Benjamin Goldman’s presentation: “Changing Opportunity: Understanding The Data Behind The Latest Economic Mobility Study” hosted by UNC-Charlotte, Leading on Opportunity, and the Gambrel Foundation (Photo by Ashley Mahoney – Axios)

Research from Opportunity Insights shows that economic mobility in the U.S. is highly dependent on the environment in which children grow up. Stable neighborhoods, access to quality education, and strong community networks are significant predictors of whether children can surpass their parents’ economic status. Recent studies have shown mixed progress in this area: while racial gaps in economic mobility have narrowed by 27%, class gaps within racial groups—especially among White children—have widened significantly, reflecting growing income disparities. This underscores the importance of addressing systemic inequalities at both the individual and community levels.

At a recent forum hosted by the University of North Carolina at Charlotte and Leading on Opportunity, Benjamin Goldwater of Opportunity Insights highlighted the influence of community conditions on economic outcomes. According to Goldwater and the panel of experts, communities that invest in social infrastructure, such as strong schools, job opportunities, and health resources, create environments where children have a better chance of achieving upward mobility. Conversely, communities plagued by joblessness, segregation, and inadequate social services often trap families in cycles of poverty, even when education is accessible.

Dr. Goldman’s presentation and the related report noted the following key findings: 

1. Reduction in Racial Gaps: The study found that the Black-white gap in upward economic mobility has shrunk by 27% since 2007. This reduction is driven mainly by improved outcomes for Black children born into low-income families, particularly in regions historically disadvantaged for Black Americans.
2. Growing Class Gaps Among White Americans: While racial gaps have narrowed, class gaps among white Americans have grown by 28%. White children from low-income families born in 1992 have worse economic outcomes compared to those born in 1978, while outcomes for white children from high-income families have improved.
3. Shifts in the Geography of Opportunity: Traditional regions of upward mobility, such as coastal cities, have seen a decline in economic opportunity for low-income white children, while improvements have been noted in areas like the Southeast and Midwest for Black children. For instance, Charlotte saw significant gains in mobility for Black children, reaching near national averages, while similar cities like Atlanta showed little change.
4. Role of Social Environments: The study emphasizes that the changes in economic mobility are closely tied to the communities where children grow up. Employment rates of parents in these communities, especially those of the same race and class, are strongly correlated with children’s outcomes.
5. Social Interactions as a Key Driver: The research highlights that social interactions and networks within communities play a crucial role in shaping economic mobility. For instance, children’s outcomes are most influenced by the employment status of parents within their immediate peer group.
6. Policy Implications: The findings suggest several strategies to improve economic opportunity, including focusing on youth development programs, targeting interventions at community levels rather than just neighborhoods, and investing in social capital alongside financial and human capital.

The report underscores the dynamic nature of economic opportunity, demonstrating that while some barriers can be overcome in a relatively short time, the persistence of challenges—especially those tied to class—calls for targeted and scalable policy solutions.