How Fairness Can Add $13 Trillion to the US Economy: A New Roadmap

Imagine a United States $13 trillion richer, with prosperity reaching every household from coast to coast. It’s possible – but not before America confronts its most corrosive legacy: economic exclusion based on race and gender. Some readers may wonder, “What does this have to do with diversity, equity, and inclusion (DEI)?” The answer is everything. Diversity, equality and inclusivity are only a long way from ‘fairness’. And the opposition to fairness is not just ideological; it puts enormous pressure on the American economy. In a capitalist system, ‘dishonesty’ has become incredibly costly.

It is true that America has a long history of unfairness in its laws and treatment of people. There was a time when legal dishonesty was so economically profitable—think slavery and Jim Crow—that people ignored its immorality. But those days are over. America’s economic dominance is waning – partly due to self-inflicted wounds from gender and racial bias. As global competition intensifies, America needs every player on the field to have a fair chance to contribute.

If the power elite were once willing to ignore immorality and dishonesty in exchange for profits, what costs are too high – and what gains are large enough – to incentivize them to embrace honesty today? Unfair racial bias has cost our economy over 50 trillion dollars since 1990. The potential benefits of a fairer system are staggering: $5 trillion in additional GDP in a few years and $13 trillion in terms of market value. That’s not just money for corporate titans; it is new wealth reaching 401(k) plans, new jobs and unprecedented upward mobility for millions. As a prudent investor and fiduciary, I would take that deal in a heartbeat.

The path to maintaining fairness

Anti-diversity, equality and inclusion propaganda comes from misguided internal sources and wise external sources. Domestic and foreign powers spread abundant disinformation, especially in the field of economics social mediabecause they know Americans are easy prey for race-based deception. Efforts to condemn DEI initiatives—in higher education, business, and beyond—are carefully crafted to stoke anti-Black emotions. This exploits the psychological vulnerabilities of non-elite white people—that is, hardworking white families who are not multimillionaires—increasing racial concerns and fears. DEI is also a tool through which non-elite white people – like a young man from Appalachia who, lacking the social networks of billionaire Ivy League parents, need a fair shot at upward mobility.

This divisive strategy may seem effective, but it is a Pyrrhic victory, and all Americans will pay the price for allowing this broken system to exist. Yet there is hope, and it is not too late to change course. Here is the roadmap to strengthen national unity, increase economic power and support democratic values:

We must break down the barriers that keep talent out – whether those barriers are based on race, gender or economic background. Leading research from global financial institutions and consulting firms suggests the US could freeing up trillions in new income, prosperity, and GDP if access to opportunities were made fairer, especially for women and people of color. That is precisely the goal of DEI efforts. Initiatives could arise within the business community $600 billion in annual profits, to more than $13 trillion in additional stock market value. This wealth will not only be reserved for corporate leaders, but will show up in the retirement accounts of all Americans. While some of this new wealth will go to women and people of color, the majority will go to people of all backgrounds, including hardworking white families who have also seen their share of the economic pie shrink.

Choosing truth and reconciliation

How can this be done? When it comes to race, the answer is truth and reconciliation. The Church Commissioners for England offer a model to think about, having led research into the role of the Church of England in the transatlantic slave trade and creating one impact investment fund to support the descendants of those affected by slavery. Their approach includes market-based opportunities shaped by Black investors and thought leaders, with benefits that extend to everyone, not just Black communities. U.S. institutions could adopt a similar model by allocating capital to institutional investment firms owned and managed by women and people of color.

Corporate America must also abandon its inaction and stop facilitating the destructive forces it claims to abhor. Of all the stakeholders responsible for America’s success, corporate America has been disappointingly weak in its leadership. Business leaders have the power to save DEI from bad actors mischaracterization and should make clear its true purpose: fairness. As shareholder value increases extraordinarily through honesty and engagement, tacit acceptance of anti-DEI attacks goes against fiduciary duty.

Unlocking our nation’s economic potential

Instead of continuing with it blood products systemic unfairness against women and people of color, American companies have the power to transform our economy. Imagine the wealth that would be generated if these savings, profits and tax revenues could be used to fund better support for veterans, first responders and teachers; increase investments in affordable housing and labor mobility; and foster empathy and care for those inevitably left behind by capitalism.

We must dismantle the anti-DEI movement for the sake of democracy, our economy, and the preservation of individual freedom. Now it’s time to redefine what DEI truly represents: a tool for fairness that can increase the economic potential of every American. Let’s work together to build a future that is not only just, but also smarter.