Separating efficiency and equality, automation, and piketty's theory of increasing capital share
Despite disincentive effects, it is more efficient to tackle inequality by general equality promotion policies, including tax/transfers, than by trying to pursue equality in specific issues or policies. The latter policy also has the same degree of disincentive effects as the general policy but has...
Saved in:
| Main Author: | |
|---|---|
| Other Authors: | |
| Format: | Article |
| Language: | English |
| Published: |
2019
|
| Subjects: | |
| Online Access: | https://hdl.handle.net/10356/87329 http://hdl.handle.net/10220/48209 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Institution: | Nanyang Technological University |
| Language: | English |
| Summary: | Despite disincentive effects, it is more efficient to tackle inequality by general equality promotion policies, including tax/transfers, than by trying to pursue equality in specific issues or policies. The latter policy also has the same degree of disincentive effects as the general policy but has additional distortive effects. While Piketty' concern with inequality is well taken and his proposal to reduce inequality has merits, his argument on the inevitability of increasing capital share under capitalism and the condition of rate of returns to capital being larger than the rate of growth in incomes (r > g) is not correct. (JEL D3, D6, H). |
|---|