Attention Economy


Wednesday, May 6, 2015

Domestic Regulatory/Incentive Structure and the Rise in Inequality

An excellent piece from Eduardo Porter:
Porter notes –
“Shi-Ling Hsu at the Florida State University College of Law articulates a similar thought in a critique of the central proposition of Thomas Piketty, the French economist. Perhaps it is true, Professor Hsu concedes, that inequality will grow relentlessly because the rate of return to the capital of the rich is higher than the rate of economic growth, as Mr. Piketty proposed.
Still, he notes, “Piketty, his supporters and his critics are all missing a huge piece of the puzzle: the role of law in distributing wealth.” Subsidies, tax treatment, legal protection and other mechanisms conspire to aid the wealthy while often serving to damp economic gains.”

Related:
http://vivekjayakumar.blogspot.com/2015/04/ceo-pay-in-america-its-not-really-about.html