Income inequality is driven by both political and economic forces and it waxes and wanes over time. In my just-published book, “Global Inequality: A New Approach for the Age of Globalization,”
I introduce the concept of Kuznets waves to describe this rise and fall.
The name comes from the famous American economist Simon Kuznets, who in the 1950s and 1960s argued that as societies underwent the Industrial Revolution they become more unequal, with labor moving from agriculture to industry.
This is followed by a period of declining income inequality as highly educated labor becomes more plentiful and social transfers increase. So it seemed that the rich countries were destined to become more egalitarian and stay that way.
For the complete report click here: 5 Powerful Forces Driving Inequality - Bloomberg View
I introduce the concept of Kuznets waves to describe this rise and fall.
The name comes from the famous American economist Simon Kuznets, who in the 1950s and 1960s argued that as societies underwent the Industrial Revolution they become more unequal, with labor moving from agriculture to industry.
This is followed by a period of declining income inequality as highly educated labor becomes more plentiful and social transfers increase. So it seemed that the rich countries were destined to become more egalitarian and stay that way.
For the complete report click here: 5 Powerful Forces Driving Inequality - Bloomberg View
