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Beyond the backlash: What evidence shows about the economic impact of DEI

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Last Updated on July 30, 2025 by Rod Washington

file 20250523 56 neazpe.jpg?ixlib=rb 4.1
DEI has a long history. Nora Carol Photography via Getty Images
Rodney Coates, Miami University Few issues in the U.S. today are as controversial as diversity, equity and inclusion – commonly referred to as DEI. Although the term didn’t come into common usage until the 21st century, DEI is best understood as the latest stage in a long American project. Its egalitarian principles are seen in America’s founding documents, and its roots lie in landmark 20th-century efforts such as the 1964 Civil Rights Act and affirmative action policies, as well as movements for racial justice, gender equity, disability rights, veterans and immigrants. These movements sought to expand who gets to participate in economic, educational and civic life. DEI programs, in many ways, are their legacy. Critics argue that DEI is antidemocratic, that it fosters ideological conformity and that it leads to discriminatory initiatives, which they say disadvantage white people and undermine meritocracy. Those defending DEI argue just the opposite: that it encourages critical thinking and promotes democracy − and that attacks on DEI amount to a retreat from long-standing civil rights law. Yet missing from much of the debate is a crucial question: What are the tangible costs and benefits of DEI? Who benefits, who doesn’t, and what are the broader effects on society and the economy? As a sociologist, I believe any productive conversation about DEI should be rooted in evidence, not ideology. So let’s look at the research.

Who gains from DEI?

In the corporate world, DEI initiatives are intended to promote diversity, and research consistently shows that diversity is good for business. Companies with more diverse teams tend to perform better across several key metrics, including revenue, profitability and worker satisfaction. Businesses with diverse workforces also have an edge in innovation, recruitment and competitiveness, research shows. The general trend holds for many types of diversity, including age, race and ethnicity, and gender. A focus on diversity can also offer profit opportunities for businesses seeking new markets. Two-thirds of American consumers consider diversity when making their shopping choices, a 2021 survey found. So-called “inclusive consumers” tend to be female, younger and more ethnically and racially diverse. Ignoring their values can be costly: When Target backed away from its DEI efforts, the resulting backlash contributed to a sales decline. But DEI goes beyond corporate policy. At its core, it’s about expanding access to opportunities for groups historically excluded from full participation in American life. From this broader perspective, many 20th-century reforms can be seen as part of the DEI arc. Consider higher education. Many elite U.S. universities refused to admit women until well into the 1960s and 1970s. Columbia, the last Ivy League university to go co-ed, started admitting women in 1982. Since the advent of affirmative action, women haven’t just closed the gender gap in higher education – they outpace men in college completion across all racial groups. DEI policies have particularly benefited women, especially white women, by expanding workforce access.
Many Ivy League universities didn’t admit women until surprisingly recently.
Similarly, the push to desegregate American universities was followed by an explosion in the number of Black college students – a number that has increased by 125% since the 1970s, twice the national rate. With college gates open to more people than ever, overall enrollment at U.S. colleges has quadrupled since 1965. While there are many reasons for this, expanding opportunity no doubt plays a role. And a better-educated population has had significant implications for productivity and economic growth. The 1965 Immigration Act also exemplifies DEI’s impact. It abolished racial and national quotas, enabling the immigration of more diverse populations, including from Asia, Africa, southern and eastern Europe and Latin America. Many of these immigrants were highly educated, and their presence has boosted U.S. productivity and innovation. Ultimately, the U.S. economy is more profitable and productive as a result of immigrants.

What does DEI cost?

While DEI generates returns for many businesses and institutions, it does come with costs. In 2020, corporate America spent an estimated US$7.5 billion on DEI programs. And in 2023, the federal government spent more than $100 million on DEI, including $38.7 million by the Department of Health and Human Services and another $86.5 million by the Department of Defense. The government will no doubt be spending less on DEI in 2025. One of President Donald Trump’s first acts in his second term was to sign an executive order banning DEI practices in federal agencies – one of several anti-DEI executive orders currently facing legal challenges. More than 30 states have also introduced or enacted bills to limit or entirely restrict DEI in recent years. Central to many of these policies is the belief that diversity lowers standards, replacing meritocracy with mediocrity. But a large body of research disputes this claim. For example, a 2023 McKinsey & Company report found that companies with higher levels of gender and ethnic diversity will likely financially outperform those with the least diversity by at least 39%. Similarly, concerns that DEI in science and technology education leads to lowering standards aren’t backed up by scholarship. Instead, scholars are increasingly pointing out that disparities in performance are linked to built-in biases in courses themselves. That said, legal concerns about DEI are rising. The Equal Employment Opportunity Commission and Department of Justice have recently warned employers that some DEI programs may violate Title VII of the Civil Rights Act of 1964. Anecdotal evidence suggests that reverse discrimination claims, particularly from white men, are increasing, and legal experts expect the Supreme Court to lower the burden of proof needed by complainants for such cases. The issue remains legally unsettled. But while the cases work their way through the courts, women and people of color will continue to shoulder much of the unpaid volunteer work that powers corporate DEI initiatives. This pattern raises important equity concerns within DEI itself.

What lies ahead for DEI?

People’s fears of DEI are partly rooted in demographic anxiety. Since the U.S. Census Bureau projected in 2008 that non-Hispanic white people would become a minority in the U.S by the year 2042, nationwide news coverage has amplified white fears of displacement. Research indicates many white men experience this change as a crisis of identity and masculinity, particularly amid economic shifts such as the decline of blue-collar work. This perception aligns with research showing that white Americans are more likely to believe DEI policies disadvantage white men than white women. At the same time, in spite of DEI initiatives, women and people of color are most likely to be underemployed and living in poverty regardless of how much education they attain. The gender wage gap remains stark: In 2023, women working full time earned a median weekly salary of $1,005 compared with $1,202 for men − just 83.6% of what men earned. Over a 40-year career, that adds up to hundreds of thousands of dollars in lost earnings. For Black and Latina women, the disparities are even worse, with one source estimating lifetime losses at $976,800 and $1.2 million, respectively. Racism, too, carries an economic toll. A 2020 analysis from Citi found that systemic racism has cost the U.S. economy $16 trillion since 2000. The same analysis found that addressing these disparities could have boosted Black wages by $2.7 trillion, added up to $113 billion in lifetime earnings through higher college enrollment, and generated $13 trillion in business revenue, creating 6.1 million jobs annually. In a moment of backlash and uncertainty, I believe DEI remains a vital if imperfect tool in the American experiment of inclusion. Rather than abandon it, the challenge now, from my perspective, is how to refine it: grounding efforts not in slogans or fear, but in fairness and evidence.The Conversation Rodney Coates, Professor of Critical Race and Ethnic Studies, Miami University This article is republished from The Conversation under a Creative Commons license. Read the original article.

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The Unfavorable Semicircle Mystery: The YouTube Channel That Uploaded Tens of Thousands of Cryptic Videos

In 2015, the YouTube channel Unfavorable Semicircle gained attention for its enigmatic and abundant video uploads, totaling over 70,000 before its deletion in 2016. Theories about its purpose vary, from automated content generation to digital art experimentation, leaving its intent unresolved.

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a man and woman with prosthetic hand sitting on the floor. Unfavorable Semicircle
Photo by Yaroslav Shuraev on Pexels.com

In the vast digital landscape of the internet, strange phenomena occasionally emerge that leave investigators, tech enthusiasts, and everyday viewers scratching their heads. One of the most puzzling cases appeared in 2015, when a mysterious YouTube channel called Unfavorable Semicircle began uploading an astonishing number of cryptic videos.

Within months, the channel had published tens of thousands of bizarre clips, many of which seemed random, incomprehensible, and visually chaotic. But as internet detectives began analyzing the content more closely, they discovered that these videos might not have been random at all.

The Sudden Appearance of an Internet Mystery

The Unfavorable Semicircle channel reportedly appeared in March 2015, with its first uploads arriving in early April.

Almost immediately, the channel began publishing videos at an incredible pace. Observers estimated that the account uploaded thousands of videos per week, sometimes multiple videos per minute. By the time the channel disappeared in early 2016, researchers believed it had uploaded well over 70,000 videos, possibly far more.

The scale alone made the project seem impossible for a human to manage manually.


Strange Visuals and Cryptic Titles

Most of the videos shared similar characteristics:

  • Extremely short or very long runtime
  • Abstract visuals such as flashing colors, static, or distorted imagery
  • Little or no audio, or heavily distorted sounds
  • Titles made of random characters, symbols, or numbers

To casual viewers, the videos looked like pure digital noise. However, online investigators suspected something more deliberate was happening.

Hidden Images Discovered

The mystery deepened when researchers began extracting individual frames from some videos.

When thousands of frames from certain clips were stitched together, the results sometimes formed coherent images. One of the most famous examples involved a video titled “LOCK.” While the footage appeared chaotic at first, combining the frames revealed a recognizable composite image.

This discovery suggested the videos were carefully constructed rather than random uploads.

Theories About the Channel’s Purpose

Because the creator never explained the project, several theories emerged across Reddit, YouTube, and internet forums.

Automated Experiment
Many believe the channel was created using automated software that generated and uploaded content at scale.

Alternate Reality Game (ARG)
Some viewers suspected the channel might be part of a hidden puzzle or digital scavenger hunt.

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Encrypted Communication
Others compared the channel to Cold War “numbers stations,” suggesting the videos could contain coded messages.

Digital Art Project
Another theory suggests the channel was an experimental art project exploring algorithms, data, and visual noise.

Despite years of investigation, no single explanation has been confirmed.

Why the Channel Disappeared

In February 2016, YouTube removed the channel, reportedly due to spam or automated activity violations.

By that time, the channel had already become a minor internet legend. Fortunately, some researchers managed to archive a large portion of the videos before they disappeared.

Even today, archived clips continue to circulate online as investigators attempt to decode them.

Unfavorable Semicircle: The Most Bizarre YouTube Mystery

Other Mysterious YouTube Channels

The Unfavorable Semicircle mystery is not the only strange case on YouTube.

One well-known example is Webdriver Torso, a channel that uploaded hundreds of thousands of videos showing red and blue rectangles with simple beeping sounds. Internet speculation ran wild before Google eventually confirmed it was an internal YouTube testing account.

Another example is AETBX, which posts distorted visuals and unusual audio that some viewers believe contain hidden patterns or encoded information.

These cases highlight how automation, experimentation, and creativity can sometimes blur the line between technology and mystery.

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A Digital Mystery That Remains Unsolved

Nearly a decade later, the true purpose behind Unfavorable Semicircle remains unknown.

Was it a sophisticated experiment? A piece of algorithmic art? Or simply an automated test that accidentally captured the internet’s imagination?

Whatever the explanation, the channel stands as a reminder that even in a world filled with billions of videos and endless information, the internet can still produce mysteries that challenge our understanding of technology.

Why Internet Mysteries Still Fascinate Us

Stories like Unfavorable Semicircle capture attention because they combine technology, creativity, and the unknown. They invite people from around the world to collaborate, analyze patterns, and search for meaning hidden in the noise.

And sometimes, the most intriguing part of the mystery is that the answer may never fully be known.

Related Coverage & Further Reading

Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter.  https://stmdailynews.com/the-knowledge/

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Celebrating International Women’s Day!

International Women’s Day is celebrated globally on March 8th to honor women’s achievements and promote gender equality, originating from a 1908 march in New York for better rights.

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Last Updated on March 7, 2026 by Daily News Staff

International Women’s Day is a global celebration that honors the achievements of women and highlights the progress still to be made in the fight for gender equality. On this day, people around the world come together to recognize the amazing contributions of women everywhere and to rally for greater gender equity in all areas of life.

#EmbraceEquity


The origins of International Women’s Day can be traced back to 1908, when 15,000 women marched through the streets of New York City to demand better working conditions and the right to vote. Since then, the celebration has grown to be an international event, with more than 100 countries recognizing the day. The United Nations even declared March 8th as International Women’s Day in 1975, to honor the struggles of women around the world.

This year’s International Women’s Day theme is #ChooseToChallenge, meaning that everyone is encouraged to call out gender bias and inequality when they see it. We’re also encouraged to celebrate women’s achievements, support each other, and take action for equality.

It’s important to recognize the progress we’ve made in terms of gender equality, but we still have a long way to go. International Women’s Day serves as a reminder that we must continue to fight for gender equality in all areas of life. Let’s use this day to honor the contributions of women around the world, and to continue the fight for a more equitable world.

https://www.internationalwomensday.com/

https://stmdailynews.com/category/science/

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    Rebecca Jo is a mother of four and is a creative soul from Phoenix, Arizona, who also enjoys new adventures. Rebecca Jo has a passion for the outdoors and indulges in activities like camping, fishing, hunting and riding roller coasters. She is married to Rod Washington

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Byron Allen’s Starz Stake Signals Bigger Moves in the Streaming Industry

Byron Allen’s Starz: Byron Allen has acquired a 10.7% stake in Starz Entertainment for approximately $25 million, signaling his long-term media strategy amidst industry consolidation. This investment positions him influentially in the evolving streaming market despite intense competition.

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Byron Allen media entrepreneur portrait 2024
Byron Allen — Founder/Chairman/CEO of Allen Media Group

Byron Allen’s Starz investment

Media entrepreneur Byron Allen has taken another step toward expanding his growing media empire. Through his family office, Allen recently acquired a 10.7% stake in Starz Entertainment, purchasing the shares from a fund managed by former U.S. Treasury Secretary Steven Mnuchin.

The transaction, valued at approximately $25 million, gives Allen a significant minority position in the premium cable and streaming platform. While the investment itself may seem modest compared to the billion-dollar deals common in Hollywood, analysts say the move could signal a larger strategy unfolding in the rapidly evolving streaming industry.

Why the Starz Deal Matters

The shares were sold by Mnuchin’s Liberty 77 Capital fund, which previously invested in the company when Starz was still connected to its former parent, Lionsgate.

In 2025, Lionsgate completed a corporate restructuring that separated its operations into two distinct companies:

  • Lionsgate Studios – responsible for film and television production
  • Starz – focused on premium cable and streaming services

Following the spin-off, Starz became an independent publicly traded company. As a result, investors are still determining the platform’s long-term value in an increasingly crowded streaming marketplace.

A Streaming Platform With Loyal Audiences

Despite facing intense competition from larger platforms such as Netflix, Disney+, and Amazon Prime Video, Starz continues to maintain a strong subscriber base and recognizable content franchises.

  • Outlander – historical drama series
  • The Power franchise created by Courtney A. Kemp and executive produced by 50 Cent

Byron Allen’s Long-Term Media Strategy

Allen’s investment strategy has long focused on owning media distribution and infrastructure rather than simply producing content.

  • The Weather Channel
  • Dozens of local television stations across the United States
  • Multiple niche cable networks and digital platforms

Over the past several years, Allen has also pursued larger acquisitions, reportedly exploring deals involving companies such as Paramount Global and BET Media Group. While those deals did not materialize, they signaled his ambition to expand Allen Media Group into a major force in global media ownership.

The Bigger Picture: Industry Consolidation

Allen’s investment arrives during a time of significant disruption in the entertainment business. Traditional cable television continues to decline as audiences migrate toward streaming platforms. At the same time, major studios and media companies are struggling to make streaming services consistently profitable.

Industry observers believe these pressures could lead to a new wave of consolidation across Hollywood and the streaming sector. Smaller platforms like Starz could become attractive acquisition targets for larger companies seeking additional subscribers and content libraries.

A Potential Hidden Opportunity

For now, Allen’s 10.7% stake does not give him control of Starz. However, it does provide influence as one of the company’s larger shareholders and leaves open the possibility of increasing his ownership in the future.

If consolidation accelerates and streaming platforms begin merging or forming partnerships, assets like Starz could become significantly more valuable. For Byron Allen—whose career began as a stand-up comedian before evolving into one of the most prominent independent media owners in America—the investment may represent another calculated step in a decades-long strategy built around media ownership and long-term growth.

Related Coverage

Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter.  https://stmdailynews.com/the-knowledge/


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