Power To Truth: Journalism, Race, and How Economic Policy Shapes the Fight for Equity

What does it take to uncover the truth about economic inequality and the justice system in America? To explore this question, Anat Admati, CASI Director and Professor of Finance and Economics at Stanford Graduate School of Business  spoke to journalist Ebony Reid, co-author of the upcoming book, Fifteen Cents on the Dollar: How Americans Made the Black-White Wealth Gap in the latest episode of the “Power to Truth” web series.

From her early days reporting on education to her current role leading strategy at The Marshall Project, Reed shared compelling stories of how her work has exposed injustices and driven real change. The conversation began with a look back at her career as an education reporter at the Cleveland Plain Dealer, where she covered critical issues such as school funding, resource allocation, and the socioeconomic challenges students face.

“Journalism impacts us in society at the macro level,” she said. “Good reporting can change policies and impact decisions that leaders make. But at the micro level, good reporting, strong reporting, fact-based reporting also impacts people's lives. “

Reed recounted a powerful example from her reporting on the struggles of a teacher in a large urban school district preparing students for standardized exams. She described how the teacher, recognizing her students' lack of winter gloves, encouraged them to use socks, if they had an extra pair, to keep their hands warm.

“That just really struck a chord with me because I thought, wow, these students are really up against a lot economically, and she's trying to get them ready for an important exam that would impact their ability to move on to the next grade.”

Reed included this poignant detail in her article, which led to an anonymous donor providing gloves for all the students the same day the story was published. Her reporting, she noted, demonstrated how journalism can have a significant impact at a personal level.

After her work covering education, Ebony returned to her hometown of Detroit as a deputy metro editor at The Detroit News during the 2008-2009 financial crisis and economic downturn. She described the widespread impact of the foreclosure crisis, noting that nearly everyone in the community was affected, directly or indirectly.

“The crisis was so personal and so deep in that community,” she said. “I always wondered what happened to many of those families.”

This experience influenced her current work on the book, Fifteen Cents on the Dollar: How Americans Made the Black-White Wealth Gap, which seeks to explore these economic disparities further.

Admati noted that the financial crisis had a disproportionate impact: while some financial institutions received support, many individuals, particularly those with toxic assets, continued to suffer. Reed added that Black Americans, regardless of income level, were often given unfavorable mortgages, and even higher-income Black borrowers faced higher interest rates, further exacerbating economic inequality.

Admati asked Reed about other significant points in her career, noting her time at The Wall Street Journal.  In her role as the New Audiences and Community Chief, which began in 2019, Reed was responsible for expanding the Journal’s readership by launching initiatives like the "Diversity in Business" newsletter and organizing live video events. The focus was on reaching younger readers, women, and people of color.

When asked what sparked her book project with Louise Story, Reed explained that she and Story, who worked together at The Wall Street Journal, began discussing the idea during the summer of 2020, amid the Covid pandemic.

“That first pandemic summer we couldn't go anywhere, and we started talking about things we'd seen in our lives and our workplaces, and our communities. We started reading books together, just chatting. And before we knew it, many months later, we thought this could be a very significant project.”

Admati turned to Reed’s current role at The Marshall Project, a news nonprofit focused on the criminal justice system. Founded by Neil Barsky, a former journalist and hedge fund manager, the organization emphasizes high-quality, data-driven investigative journalism.

“People may recognize that they've read a Marshall project article in the New York Times, for example, because we publish through other outlets,” Reed noted.

Celebrating its 10th anniversary, The Marshall Project has grown from 30 to 80 staff members. Given the influence of local laws and policies on the criminal justice system, the organization’s expansion includes hiring reporters in various locations to provide comprehensive coverage.

Reed joined The Marshall Project in January 2022 as its first Chief Strategy Officer.  Her role involves overseeing the organization’s growth and strategic planning, particularly concerning community engagement and partnerships

Admati asked Reed about the relationship between the justice system and businesses, considering the context of their discussion within the Corporation and Society Initiative (CASI) at a business school. Reed emphasized the importance of employers understanding the widespread impact of the justice system on potential employees. She noted that The Marshall Project not only covers the criminal justice system but also actively employs people who have been personally affected by it, such as those who have been incarcerated or have relatives who have.

Reed highlighted the economic burden the criminal justice system places on Black and Brown communities, particularly Black families.

“To interact with the criminal justice system is an expensive event in someone's life, “she explained. “You need legal counsel. If you can't afford it, then you'll get someone appointed to you. Often their fees, and the fines that a person racks up are costly.”

 “If the person is sentenced to time in prison, they may not be able to work, and if they are able to work, they may earn a very low, minimum wage,” she continued.  “When you're in the system, people may not realize it costs money to call your family, to watch a movie, to have any sort of communication with the outside world.”

Admati noted Reed's involvement in organizations promoting women's empowerment. Reed shared that she is a board member of United We, formerly the Women's Foundation in Kansas City, where she has served for three years. Reed shared that the organization conducts research on issues like the cost of daycare and has advocated for policies in Kansas and Missouri that support female entrepreneurs.

Anat concluded by expressing her appreciation of Reed's work, noting how it aligns with the theme of "Power to Truth” because “it's about truth, it's about power relations, and it shows us how people can succeed.”