This article draws awareness to the subtle and seeping "common sense" mentality of neoliberalism and deficit thinking assumptions about racially marginalized students in inner-city schools. From a literature review conducted on deficit thinking and deficit practices in schools, I developed three different frameworks for understanding the roots of deficit thinking: (a) pseudo-scientific, (b) sociological-cultural, and (c) socioeconomic. This article examines the serious ethical implications of disengagement, internalized deficit beliefs, and being "pushed out" of school that arise from each framework. I argue that these implications, in conjunction with neoliberal agendas for schooling, have a double negative impact on the schooling experiences of racially marginalized students who attend inner-city schools.