By Philippe Aghion
Of the world's major economists, Philippe Aghion (a theorist) and Jeffrey Williamson (an monetary historian), together query the traditional knowledge on inequality and development, and tackle its lack of ability to provide an explanation for fresh fiscal event. Aghion assesses the consequences of inequality on progress, and asks no matter if inequality issues: is over the top inequality undesirable for development, and is it attainable to reconcile combination findings with microeconomic theories of incentives? Jeffrey Williamson then discusses the Kuznets speculation, and makes a speciality of the explanations of salary and source of revenue inequality in constructed economies.
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