The Economics of Inequality
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5.0 • 1 Rating
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- $22.99
Publisher Description
Thomas Piketty—whose Capital in the Twenty-First Century pushed inequality to the forefront of public debate—wrote The Economics of Inequality as an introduction to the conceptual and factual background necessary for interpreting changes in economic inequality over time. This concise text has established itself as an indispensable guide for students and general readers in France, where it has been regularly updated and revised. Translated by Arthur Goldhammer, The Economics of Inequality now appears in English for the first time.
Piketty begins by explaining how inequality evolves and how economists measure it. In subsequent chapters, he explores variances in income and ownership of capital and the variety of policies used to reduce these gaps. Along the way, with characteristic clarity and precision, he introduces key ideas about the relationship between labor and capital, the effects of different systems of taxation, the distinction between “historical” and “political” time, the impact of education and technological change, the nature of capital markets, the role of unions, and apparent tensions between the pursuit of efficiency and the pursuit of fairness.
Succinct, accessible, and authoritative, this is the ideal place to start for those who want to understand the fundamental issues at the heart of one of the most pressing concerns in contemporary economics and politics.
PUBLISHERS WEEKLY
Piketty's 2013 masterwork, Capital in the Twenty-First Century, made income inequality a household phrase particularly for those who hope to move their own households to the White House. This earlier work, first published in 1997 and since revised and updated, is more approachable, and it arrives at the same dismal conclusion: the rich are getting richer and the poor, poorer. In the developed world, this phenomenon occurs most sharply in the U.S., where the top 10% collectively have 5.9 times the disposable income of the bottom 10%. In Sweden, by contrast, the figure is 2.7. Piketty isn't a sloppy or partisan thinker, and he methodically criticizes ineffective solutions from the left. In his view, the poor usually bear the brunt of these, whether in increased payroll deductions for social insurance, higher marginal income tax rates, or unemployment. Piketty, who believes income inequality leads to political instability, proposes a guaranteed minimum income or "basic income" as an efficient means of redistribution. He also explains how economists measure economic inequality and looks at the phenomenon's underlying causes (which do not include hedge fund managers or Chinese laborers.) If Piketty is right, inequality is increasing and cannot be cured by the free market; we must understand the problem to understand how to address it. This should be required reading for every concerned citizen.
