Monday, August 11, 2014

Matt Bruenig — It Matters How Rich the Rich Are


Capital share/labor share ratio and rent capture by capital and at higher end of labor due to power that are institutionally driven.
…the economy is itself just a large government program. Through its laws and the police, the government has put in place a vast array of economic institutions that collectively determine who gets what at any moment in time. To assess the effectiveness of the institutional design choices the government has made, we need to know who is benefiting from them and to what degree. That means, among other things, knowing how rich the rich are.
Policy Shop
Matt Bruenig

No comments: