Thursday, December 10, 2015

10/12/15: R v G and all the Pikettian Theory Malarky


You know the Pikettian Thesis that if return on capital exceeds in the long run economic growth, then capital income appreciation relative to wages income growth will lead to rising wealth inequality. Except, err...

Source: @MaxCRoser 

Which says, really, that since the start of the 20th century, wages income of the richest 1% became more important in the determination of their full income, whilst entrepreneurial income remained roughly the same, and capital income shrunk. R > G and all that malarky...

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