I don't have objections to your definition of an individual's racism. I know, hard to believe. And I don't have any problem with the idea that there are very few people left who believe in the racism that you defined. What I can't do is accept that there is no social or institutional context to racism. Where do you think that racism comes from? How does one become a racist? Is it an inbred human condition, one that comes from the genes? This is a rhetorical question. Hopefully.
And if individuals can somehow become racists without learning it from society, what is there preventing individual racists from influencing society? Say by electing other racists to office where the elected to office racists would consciously or unconsciously write their racism into society's laws? Say, as a wild example, to separate children by race in education. (This actually happened). If there is no social or institutional racism, and people grouped together in races don't exhibit natural, inbred characteristics, why are there so many more poor minorities?
Any finally, if what you say is true, what use is the very concept embodied in the word "race?"
Organizations (institutions, corporations, non-profits, schools, churches, clubs, etc.) cannot be 'racist' apart from the convictions of its members, owners, workers and managers. In an organization composed of run entirely by automation one would not accuse the physical assets of being racist, would one? So yes there is a social-organizational context, learned and shared behavior and mores, but they are rooted in the actual motivations and conduct of people of the organization.
Racism is primarily a social and institutional phenomenon. A person has to be taught to be a racist.
Our main problem today with racism isn't with the handful of overt racists, it is with the legacy of 400 years of legal, institutional racism. This always was and continues to be today a tremendous waste of human potential.
Of course it is possible that some institutional practice is an unconscious legacy, created by and only useful for racist purposes of a prior era, but I see no evidence that it is significant. The only 'racial' consciousness and motivations in institutions I have noted is in the pervasive belief that managers and workers must be consciously aware of who should be promoted, protected, or placated because of race (and gender) and the suffocating atmosphere of being 'on guard' in such environments (attended with fears of legal action).
So many minorities are poor because their parents and grandparents were forced into poverty by this legal, institutional racism. And it is very hard to work oneself out of poverty. Not impossible but very hard to do.
We would be better off as a nation if it were easier to and more of the talented poor could do it. Likewise it would be better for our nation if more of the untalented children of our wealthy would be forced out into the lower income and wealth brackets commensurate with their modest abilities where they could cause less damage, think George W. Bush.
I've heard that racial shibboleth for nearly 50 years, and it is even less grounded in reality (and in my own observations) now than it was then. Racism did create another barrier to economic advancement for historical black community, but it has nothing to do with current poverty among minorities or whites. The poverty rate form 1900 to 1920 was 40 percent, increasing above 60 percent in the great depression - a condition everyone shared. After WWII there was dramatic economic growth and the creation of a broad middle class, a growth that took tens of millions out of poverty (including many blacks) till it reached a low of around 15 percent in the mid 1960s. Today's "grand parent" in the black community (as young as 30) grew up in an era of unprecedented opportunity and since the 1950s no one has "forced" people into poverty because of their race.
If 50 years later the middle age and current generation are still carping about the "forced" poverty of their great (or great-great) grand parents then they ought to talk to folks like my mother (or grand-parents) - before food stamps and housing subsidies. Anyone who grew up in the great depression, and was a parent in the sixties can tell you that the 60s generation had far more opportunity and parental wealth than any prior generation (by a long-shot).
Our problem is with poverty, not racism. There is no reason that we have to tolerate poverty and the problems associated with it, crime, drug addiction, etc. We are the wealthiest nation on earth. Other nations with lower per capita income and resources have effectively eliminated poverty.
But the disproportionate number of minorities trapped in poverty isn't the only lingering effect of legalized racism that we suffer from today. In order to increase income inequity, a decision that we made in the 1980's, the goal to eliminate poverty had to be abandoned as well, of course, as the goal to help the poor minorities recover from the legacy of the legal racism.
We have a residue of poor people for many reasons, not the least of which is that half the poor are imported from the third world as POOR. Poverty is not a problem, it is a condition created by
having an underclass whose lack of talents, intelligence, and some cultural traits preclude advancement.