Racial, ethnic inequities persist in U.S. amid strong economy, labor market: report

NEW YORK, Nov. 18 (Xinhua) -- While the U.S. economy and labor market remain strong, inequities along racial and ethnic lines persist, reported The Center for American Progress on Thursday.

"In its efforts to combat inflation, the Federal Reserve risks widening these gaps, and undoing some of the gains from the economic recovery, as it continues to increase interest rates and commits to future rate increases," said the report.

The changes of rate hikes and rising unemployment will fall across the economy unevenly, disproportionately hurting people of color and the economic progress they have made during the recovery, it noted.

"As businesses invest less in new projects, slow down construction, and restrict hiring, the most vulnerable groups will experience a more severe erosion of employment and wages," it said.

Maintaining an economy close to full employment is a crucial first step toward achieving racial equity, it added.