Redlining defines the practice of refusing to do business with
high-risk customers or in high-risk areas. In practice, redlining is a very old
business axiom: Do business only where you can realize maximum profits. It is
a logical corollary of capitalism, which economic system we allegedly employ in the U.S.
For many decades, socialists have used the term "redlining" as a term of derision aimed at profit-oriented businesses.
The quota industry has tried to redefine this venerable anti-capitalist, socialist term to refer to business practices which discriminate unfairly against preferred minorities.
Somehow, the quota industry wants us to believe that high-risk customers with bad credit, who live in high crime neighborhoods, or who don't tend to pay their bills are targeted for economic exclusion because they are minorities, not because they are bad business.
The quota industry frequently uses the term in reference to lending practices of mortgage companies and banks, but also in reference to insurance companies and just about any other business who can be accused of maximizing their profits.
The term "redlining" today has come to be widely used to criticize businesses for being "risk averse", i.e., for being good, profit-oriented business people.
For example, if a neighborhood is economically depressed, and housing values are low, and property crimes are high, a mortgage company legitimately may not want to do business there or may need to charge much higher mortgage interest rates. That is not racism. It is good business.
Similarly, in a capitalist, profit-oriented society an insurance company has very good reasons for charging higher premiums in high crime neighborhoods. The insurance losses are higher, and therefore the insurance premiums have to be higher. But the quota industry defines this as racism in their misplaced assertion that such policies deliberately and racially seek to discriminate against minorities.
Conversely, Greenlining is the term employed by the minority lobby to denote credit practices and business practices which ignore the profit motive in favor of bowing to government pressure to provide unprofitable services to preferred classes and minorities who may reside in high-risk neighborhoods.
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