Tags: income inequality

Basic Macroeconomics of Income Distribution Cannot Explain Today’s Rising Inequality

January 13th, 2017
in macroeconomics

I was recently looking over the debates surrounding the Pasinetti theorem and I thought it might be worth writing a few words on it. Pasinetti formulated his theorem — which is dealt with in detail in a fantastically thorough Wikipedia article — in 1962 in response to Nicholas Kaldor’s seminal paper Alternative Theories of Distribution. more »

Capital Sins: To What End Should Economic Life Be Directed?

August 19th, 2016
in history, macroeconomics

Victoria Chick published an interesting paper in the journal Economic Thought on the World Economic Association website entitled Economics and the Good Life: Keynes and Schumacher. more »

Introducing Kuznets Waves: How Income Inequality Waxes and Wanes Over the Very Long Run

February 29th, 2016
in macroeconomics

The Kuznets curve was widely used to describe the relationship between growth and inequality over the second half of the 20th century, but it has fallen out of favour in recent decades. more »

Explaining Recent Declines in Labour’s Share in US Income

The US debate over income inequality in the 1980s and 1990s focused on the growing disparity between the earnings of the skilled, the unskilled and the super-rich. After the global crash, the decline in labour’s share of national income has been added to these concerns. more »

Wealth and Income Distribution: New Theories Needed for a New Era

Growth theories traditionally focus on the Kaldor-Kuznets stylised facts. Ravi Kanbur and Nobelist Joe Stiglitz argue that these no longer hold; new theory is needed. more »




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