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Symposium 2014

Addressing Inequality

The Challenge

Thomas Piketty’s Capital in the 21st Century has created a debate about income and wealth inequality. The book poses questions that are profoundly and politically uncomfortable for dominant approaches in economic thinking.

Most economists have ignored the question of wealth and income inequality, choosing instead to emphasize efficiency questions over distributional concerns. And if one starts to consider the possibility that capitalism itself is inherently rigged, so that those with a large amount of capital will naturally do better than those without, then that has profound implications for policy. If global circumstances and national policies were largely at fault, can the rise of inequality be stopped?

    Solutions

    Solution
    Symposium 2014

    Addressing inequality by shifting tax off labor onto land and large inheritances

    Addressing inequality by shifting tax off labor onto land and large inheritances

    Addressing inequality by shifting tax off labor onto land and large inheritances

    Polity, Academia, Business, Civil Society

    Proposals

    Proposal
    Symposium 2014

    Addressing Inequality

    The rise of extreme inequality in the US reflects not just the well-­‐documented spectacular and unprecedented increase in top incomes, but also the stagnation and even decline in the real earnings ...

    The rise of extreme inequality in the US reflects not just the well-­‐documented spectacular and unprecedented increase in top incomes, but also the stagnation and even decline in the real earnings of those in the bottom half of the distribution; the most direct, efficient and equitable solution to the problem of the declining ability of low wage workers to live decently from their paychecks is to raise the value of the paycheck, through a substantial increase in the real value of the federal minimum wage, as many states and European nations have done in recent years. This session focuses on

    Polity, Academia, Business, Civil Society
    Proposal
    Symposium 2014

    Addressing Inequality

    Piketty’s proposed global wealth tax is neither desirable nor feasible; rather, policy should focus on boosting real wages, reducing economic “rents” and shifting taxes off labour and on to unea ...

    Piketty’s proposed global wealth tax is neither desirable nor feasible; rather, policy should focus on boosting real wages, reducing economic “rents” and shifting taxes off labour and on to unearned wealth from land and inheritance. Since income and wealth inequality vary over time and across countries, the claim that they rise inexorably under capitalism seems implausible. Rather, they depend on a host of factors: economic, technological, social and political – not least government policy. However, Thomas Piketty’s proposed solution, a global wealth tax, is both undesirable and unworkable. Undesirable, because it fails to distinguish between “deserved” incomes and wealth earned

    Polity, Academia, Business, Civil Society

    Virtual Library

    Virtual Library File
    Symposium 2014

    Low Paid Workers - The Minimum Wage and Employment in the U.S. and France

    in Holt and Greenwood, eds., A Brighter Guture: Improvign the Standard of Living Now and for the Next Generation, M.E. Sharpe

    in Holt and Greenwood, eds., A Brighter Guture: Improvign the Standard of Living Now and for the Next Generation, M.E. Sharpe

    Virtual Library File
    Symposium 2014

    Don’t believe brokers, the government, or Piketty: Your property values won’t grow faster than your paycheck

    Thomas Piketty’s contentious thesis about ever-increasing inequality rests on the surprisingly conventional  premise that aggregate wealth grows faster than overall income. Financiers and public o ...

    Thomas Piketty’s contentious thesis about ever-increasing inequality rests on the surprisingly conventional  premise that aggregate wealth grows faster than overall income. Financiers and public officials have peddled virtually the same idea for decades in claiming that stocks and homes will always keep ahead of GNP and inflation.

    Virtual Library File
    Symposium 2014

    Macroeconomic processes and economic inequalities in India

    Global perceptions of the Indian economy have been prey to swings that are almost as volatile – and as irrational – as the behaviour of unregulated financial markets. The celebration of India as o ...

    Global perceptions of the Indian economy have been prey to swings that are almost as volatile – and as irrational – as the behaviour of unregulated financial markets. The celebration of India as one of the significant “success stories” of globalisation along with China has more recently been replaced by a more pessimistic and negative assessment of its rampant crony capitalism, growing inequality and current tendencies towards stagflation. Yet both perceptions miss the point. Indeed, the extreme assessments on either side are not just inadequate but flawed: they fail to capture the basic tendencies that generated both growth and inequality and do not understand why the growth model that was so celebrated was unsustainable in the first place.

    Virtual Library File
    Symposium 2014

    Inequality Matters - Report of the World Social Situation 2013

    World leaders, in adopting the Millennium Declaration in 2000, pledged to create a more equitable world. Yet, income inequality has increased in many countries over the last few decades, as the wealth ...
    World leaders, in adopting the Millennium Declaration in 2000, pledged to create a more equitable world. Yet, income inequality has increased in many countries over the last few decades, as the wealthiest individuals have become wealthier while the relative situation of people living in poverty has improved little. Disparities in education, health and other dimensions of human development still remain large despite marked progress in reducing the gaps. Various social groups, especially indigenous peoples, persons with disabilities and rural populations, suffer disproportionately from income poverty and inadequate access to quality services and, generally, disparities between these groups and the rest of the population have increased over time.
    Virtual Library File
    Symposium 2014

    Raising Americas Pay - Why It`s Our Central Economic Policy Challenge

    Virtual Library File
    Symposium 2014

    The Top 1 Percent in International and Historical Perspective†

    or three decades, the debate about rising income inequality in the United States has centered on the dispersion of wages and the increased premium for skilled/educated workers, attributed in varying p ...

    or three decades, the debate about rising income inequality in the United States has centered on the dispersion of wages and the increased premium for skilled/educated workers, attributed in varying proportions to skillbiased technological change and to globalization (for example, see Katz and Autor 1999 for a survey). In recent years, however, there has been a growing realization that most of the action has been at the very top. This has attracted a great deal of public attention (as witnessed by the number of visits to and press citations of our World Top Incomes Database at http://topincomes.parisschoolofeconomics.eu/) and has represented a challenge to the economics profession. Stories based on the supply and demand for skills are not enough to explain the extreme top tail of the earnings distribution; nor is it enough to look only at earned incomes. Different approaches are necessary to explain what has happened in the United States over the past century and also to explain the differing experience in other high-income countries over recent decades. We begin with the international comparison in the fifi rst section and then turn to the causes and implications of the evolution of top income shares.

    Virtual Library File
    Symposium 2014

    Don't blame robots - Assessing the Job Polarization Explanation of Growing Wage Inequality

    Many economists contend that technology is the primary driver of the increase in wage inequality since the late 1970s, as technology-induced job skill requirements have outpaced the growing education ...

    Many economists contend that technology is the primary driver of the increase in wage inequality since the late 1970s, as technology-induced job skill requirements have outpaced the growing education levels of the workforce. The influential “skill-biased technological change” (SBTC) explanation claims that technology raises demand for educated workers, thus allowing them to command higher wages—which in turn increases wage inequality. A more recent SBTC explanation focuses on computerization’s role in increasing employment in both higher-wage and lower-wage occupations, resulting in “job polarization.” This paper contends that current SBTC models—such as the education-focused “canonical model” and the more recent “tasks framework” or “job polarization” approach mentioned above—do not adequately account for key wage patterns (namely, rising wage inequality) over the last three decades. Principal findings include:

    Virtual Library File
    Symposium 2014

    The Great Laissez-Faire Experiment - American Inequality and Growth from an International Perspective

    President Barack Obama made the promotion of middle-class economic interests his highest priority at the start of his second term. In a July speech on the economy at Knox College in Illinois, the pres ...

    President Barack Obama made the promotion of middle-class economic interests his highest priority at the start of his second term. In a July speech on the economy at Knox College in Illinois, the president said his top policy agenda is to “reverse the forces that battered the middle class for so long.” He argued that this requires not only fighting unemployment with better employment growth but also attacking the recent spectacular growth in income inequality. In making this case, the president pointed to the fact that “nearly all the income gains of the past 10 years have continued to flow to the top 1 percent … [but] the average American earns less than he or she did in 1999.”....

    Virtual Library File
    Symposium 2014

    The 4 Biggest Reasons Why Inequality Is Bad For Society

    The great inequality of income and wealth in the world, and within the United States, is deeply troubling. It seems, even to many of us who benefit from this inequality, that something should be don ...

    The great inequality of income and wealth in the world, and within the United States, is deeply troubling. It seems, even to many of us who benefit from this inequality, that something should be done to reduce or eliminate it. But why should we think this? What are the strongest reasons for trying to bring about greater equality of income and wealth?