Combating Inequality: Rethinking Government's Role

Contents
Introduction: We Have the Tools to Reverse the Rise in Inequality
	A Growing Consensus
	Which Policies?
	Philosophy and Politics
	Urgency, Ambition, and Evidence
	The Path Ahead
	Acknowledgments
	Reference
I. The Landscape
	1. Ten Facts about Inequality in Advanced Economies
		Introduction
		Inequality Data Remain Scarce in the Digital Age
		Income Inequality Has Risen at Different Speeds since the 1980s, after a Historical Decline
		Rich Countries Have Become Richer but Their Governments Have Become Poorer
		Capital Is Back, for a Few
		No Sign a of New Normal after the Great Recession
		Global Inequality Is Now More about Class Than about Nationality
		Higher Inequality Is Associated with Lower Mobility Rates
		Gender and Racial Income Inequalities Were Reduced in the Twentieth Century but Remain High
		Equal Access to Education, Health, and High-Paying Jobs Is Key to Lifting Pretax Incomes at the Bottom of the Distribution
		Tax Progressivity Has Shaped the Dynamics of Inequality at the Top
		Concluding Remarks: While Designing Policy Responses to Current Inequality Trends, Future Inequality Drivers Must Also Be Factored In
		Notes
		References
	2. Discussion of the Landscape
		Too Little Tax Revenue and Too Little Investment
		Equity, Efficiency, and Public Good Expenditures
		Climate Change and Social Security as Future Drivers of Inequality
		Acknowledgment
		References
II. Ethical and Philosophical Dimensions
	3. Time for New Philosophical Foundations for Economic Theory?
		References
	4. What Kinds of Inequality Should Economists Address?
		The Criterion: Strict versus Lax
		The Scale: Domestic versus Global
		The Distribuendum: Snapshot Outcome versus Lifetime Opportunity
		Policy Implications?
		Notes
		References
	5. Why Does Inequality Matter?
		Notes
		References
III. Political Dimensions
	6. Wealth Inequality and Politics
		References
	7. The Political Conditions Necessary for Addressing Inequality
		Conclusion
		Notes
		References
	8. The Political Obstacles to Tackling Economic Inequality in the United States
		Notes
		References
IV. The Distribution of Human Capital
	9. A Modern Safety Net
		A Child Allowance
		In-Work Supports
		Protection against Job Loss
		A Safety Net for Those Who Don’t Work
		Strengthening Worker Bargaining Power
		Conclusion
		Notes
		References
	10. Education’s Untapped Potential
		Why Education Still Has Significant Potential as a Leveler
		How Public Schools Can Underpin High-Performing Systems
		Rethinking Higher Education
		Lifelong Learning: Beyond the Mantra
		References
V. Policies toward Trade, Outsourcing, and Foreign Investment
	11. Why Was the “China Shock” So Shocking–and What Does This Mean for Policy?
		Context: Declining Labor Market Fluidity
		Reversal of Fortune: The Geography of the China Shock
		Some Nonshocking Conclusions
		Notes
		References
	12. Trade, Labor Markets, and the China Shock: What Can Be Learned from the German Experience?
		Introduction
		Trade with China and the German Experience
		What Makes Germany Different?
		Discussion and Conclusions
		Notes
		References
	13. Combating Inequality: Rethinking Policies to Reduce Inequality in Advanced Economies
		Rapidly Rising Trade Disrupted the Global Economy
		Preparation for Work and Policies to Support Workers
		References
VI. The (Re)distribution of Financial Capital
	14. How to Increase Taxes on the Rich (If You Must)
		Reference
	15. Would a Wealth Tax Help Combat Inequality?
		The Facts on Wealth Inequality, Income Inequality, and Tax Progressivity
		Wealth and Political Influence
		Will Wealth Taxes Work?
		Issues of Political Strategy
		Conclusion
		Notes
		References
	16. Should We Tax Wealth?
		Wealth Concentration
		Tax Revenue Potential
		Tax Progressivity
		Curbing Wealth Concentration
		Other Economic Effects
		Notes
		References
VII. Policies That Affect the Rate and Direction of Technological Change
	17. Could We and Should We Reverse (Excessive) Automation?
		References
	18. Innovation and Inequality
		Measuring Inequality and Innovation
		Three Striking Facts
		Lobbying Is a Quite Different Source of Income Inequality between those at the Top and the Rest of Society
		Should We Worry about the Rich?
		Conclusion
		Note
		References
	19. Technological Change, Income Inequality, and Good Jobs
		Introduction
		Policies to Affect the Rate and Direction of Technological Progress
		Policies to Develop Worker Skills
		Notes
		References
VIII. Labor Market Policies, Institutions, and Social Norms
	20. Gender Inequality
		What Stands in the Way of Further Progress?
		References
	21. Ownership Cures for Inequality
		Strengthening the Voice of Labor at Work
		Increasing Worker Ownership of Capital
		Notes
		References
IX. Labor Market Tools
	22. Guaranteeing Employment for All
		References
	23. Making Work Work
		Making Work Pay
		Turning “Bad Jobs” into “Good Jobs”
		The Broken Lower-Skill Labor Market
		Notes
		References
	24. The Importance of Enforcement in Designing Effective Labor Market Tools
		References
X. Social Safety Net
	25. Enhancing Micro and Macro Resilience by Building on the Improvements in the Social Safety Net
		Notes
		References
	26. The Social Safety Net for Families with Children: What Is Working and How to Do More
		The Social Safety Net for Families with Children: Current Policies and Recent Changes
		Policies to Reduce Child Poverty
		The Social Safety Net as an Investment
		Notes
		References
XI. Progressive Taxation
	27. Reflections on Taxation in Support of Redistributive Policies
		Taxation Elsewhere
		Fixes to Existing US Taxes
		Conclusion
		Notes
		References
	28. Why Do We Not Support More Redistribution?: New Explanations from Economics Research
		Rising Inequality but Stagnating Support for Redistribution
		A New, Innovative Research Tool
		Findings
		What Can Be Done? The Role of Economists
		References
	29. Can a Wealth Tax Work?
		Note
		References
Contributors
Index