Gifted Lands and Broken Treaties: A Study on the Resiliency of Native American Communities to Economic Shocks

Abstract

Native Americans face staggering rates of poverty and economic inequality. How do these marginalized communities fare against economic shocks? This paper explores the effect of the so-called “China shock” on the resiliency of tribal communities. Using a series of ordinary least squares regressions on a dataset covering 372 tribal areas in the time span between 1990 and 2010, my results indicate a negative association between the China shock and tribal poverty rates. These results support the hypothesis that Native American communities are at higher risk to slip into greater deprivation when facing adverse economic shocks. From a policy perspective, my findings underscore the viability of a multi-faceted policy approach to support and better shield these communities from the adverse spillover effects of future economic shocks