Is Inequality Inevitable?
It should be self-evident that the accelerating inequality we’re witnessing is not the natural inequality of competition and the power law, easily explained by simple arithmetic.<p>An <i>accelerating</i> and <i>historically high</i> broad societal effect is naturally a product of broad and unique properties of the current regime, rather than fundamentally consistent properties, which would naturally be seen across all time.<p>What is more broad and far-reaching than manipulation of the money supply itself? “We have found that inflation (1) worsens income distribution; (2) increases the income share of the rich; (3) has a negative but insignificant effect on the income shares of the poor and the middle class; and (4) reduces the rate of economic growth”
<a href="http:&#x2F;&#x2F;citeseerx.ist.psu.edu&#x2F;viewdoc&#x2F;download?doi=10.1.1.295.848&amp;rep=rep1&amp;type=pdf" rel="nofollow">http:&#x2F;&#x2F;citeseerx.ist.psu.edu&#x2F;viewdoc&#x2F;download?doi=10.1.1.295...</a><p>It’s not difficult to see why - under an inflationary regime, those holding currency lose out relative to those holding assets, because the former’s wealth is not preserved; and low income wages are facing a constant headwind that their earners are less equipped to navigate.<p>We in the US have been engaging in an experiment since 1971, which has resulted in a marked discontinuity and a shift in to whom productivity growth accrued:
<a href="https:&#x2F;&#x2F;wtfhappenedin1971.com&#x2F;" rel="nofollow">https:&#x2F;&#x2F;wtfhappenedin1971.com&#x2F;</a><p>This is not necessarily the true or only explanation of our accelerating and historically high inequality, but it has the properties of a realistic explanation, in that it identifies a broad, historically distinct cause.