Combating Inequality

Olivier Blanchard is C. Fred Bergsten Senior Fellow at the Peterson Institute for International Economics and Robert Solow Professor of Economics Emeritus at MIT. He was Chief Economist at the International Monetary Fund from 2008 to 2015. Dani Rodrik is Ford Foundation Professor of International Political Economy at Harvard's John F. Kennedy School of Government and President-Elect of the International Economic Association.

• Introduction: We Have the Tools to Reverse the Rise in Inequality xi Olivier Blanchard and Dani Rodrik I The Landscape 1 1 Ten Facts about Inequality in Advanced Economies 3 Lucas Chancel 2 Discussion of the Landscape 31 Peter Diamond II Ethical and Philosophical Dimensions 39 3 Time for New Philosophical Foundations for Economic Theory? 41 Danielle Allen 4 What Kinds of Inequality Should Economists Address? 49 Philippe Van Parijs 5 Why Does Inequality Matter? 59 T. M. Scanlon III Political Dimensions 65 6 Wealth Inequality and Politics 67 Ben Ansell 7 The Political Conditions Necessary for Addressing Inequality 75 Sheri Berman 8 The Political Obstacles to Tackling Economic Inequality in the United States 85 Nolan McCartyIV The Distribution of Human Capital 91 9 A Modern Safety Net 93Jesse Rothstein, Lawrence F. Katz, and Michael Stynes 10 Education’s Untapped Potential 99 Tharman Shanmugaratnam V Policies toward Trade, Outsourcing, and Foreign Investment 107 11 Why Was the “China Shock” So Shocking—and What Does This Mean for Policy? 109 David Autor 12 Trade, Labor Markets, and the China Shock: What Can Be Learned from the German Experience? 117 Christian Dustmann 13 Combating Inequality: Rethinking Policies to Reduce Inequality in Advanced Economies 125Caroline Freund VI The (Re)distribution of Financial Capital 135 14 How to Increase Taxes on the Rich (If You Must) 137 N. Gregory Mankiw 15 Would a Wealth Tax Help Combat Inequality? 141 Lawrence H. Summers 16 Should We Tax Wealth? 153 Emmanuel Saez VII Policies That Affect the Rate and Direction of Technological Change 161 17 Could We and Should We Reverse (Excessive) Automation? 163 Daron Acemoglu 18 Innovation and Inequality 171 Philippe Aghion 19 Technological Change, Income Inequality, and Good Jobs 177 Laura D’Andrea TysonVIII Labor Market Policies, Institutions, and Social Norms 193 20 Gender Inequality 195 Marianne Bertrand 21 Ownership Cures for Inequality 201 Richard B. Freeman IX Labor Market Tools 211 22 Guaranteeing Employment for All 213 William Darity Jr. 23 Making Work Work 219 David T. Ellwood24 The Importance of Enforcement in Designing Effective Labor Market Tools 227 Heidi Shierholz X Social Safety Net 235 25 Enhancing Micro and Macro Resilience by Building on the Improvements in the Social Safety Net 237 Jason Furman 26 The Social Safety Net for Families with Children: What Is Working and How to Do More 245Hilary Hoynes XI Progressive Taxation 253 27 Reflections on Taxation in Support of Redistributive Policies 255 Wojciech Kopczuk 28 Why Do We Not Support More Redistribution? New Explanations from Economics Research 263Stefanie Stantcheva 29 Can a Wealth Tax Work? 271 Gabriel Zucman Contributors 277 Index 279