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New Jersey Gov Proposes $1,000 Baby Bonds to Bridge Wealth Gap

New Jersey Gov Proposes $1,000 Baby Bonds to Bridge Wealth Gap
Governor of New Jersey Phil Murphy speaks on June 14, 2018 in Oceanport, New Jersey. (Dave Kotinsky/Getty Images for William Hill Race & Sports Bar )

By    |   Tuesday, 25 August 2020 10:16 AM EDT

New Jersey Gov. Phil Murphy on Tuesday will announce a proposal to entitle most children born in the state to $1,000, which would be payable with interest to the child when they turn 18, The New York Times reports.

Murphy, a Democrat, told the Times in an interview that the initiative is intended to help bridge the increasingly wide wealth gap that has been exacerbated by the coronavirus pandemic, which has had a disproportionate effect on Black and Latino people.

“The inequities are too wide, too raw, to ignore,” he said.

The program would only cover children who are born into families that earn less than $131,000 per year, which amounts to about 70% of state residents, according to an aide to the governor.

“The source of inequality generally is that some young adults have capital and others do not,” said Darrick Hamilton, the incoming Henry Cohen professor of economics and urban policy at The New School. “The difference between a renter and a homeowner is a down payment.”

Hamilton added, “This is saying: Irrespective to the family you are born into, that you have a birthright to capital when you become an adult.”

New Jersey Sen. Cory Booker, who has introduced legislation for a similar initiative in the Senate, hailed the program as a potential “igniter of dreams,” which he said, “immediately gives kids a stake in expanding their imagination about what’s possible for them.”

Theodore Bunker

Theodore Bunker, a Newsmax writer, has more than a decade covering news, media, and politics.

© 2025 Newsmax. All rights reserved.


US
New Jersey Gov. Phil Murphy on Tuesday will announce a proposal to entitle most children born in the state to $1,000, which would be payable with interest to the child when they turn 18, The New York Times reports. Murphy, a Democrat, told the Times in an interview that the...
newjersey, philmurphy, babybond, fund, wealth
236
2020-16-25
Tuesday, 25 August 2020 10:16 AM
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