Authors:

  • N. Gregory Mankiw

Excerpt

Yes, r > g. So what?, N. Gregory Mankiw, November 24, 2014, Paper, Thomas Piketty’s book Capital in the Twenty-First Century captured the public’s attention in a way that few books by economists have. Though its best-seller status was a surprise, probably even to its author, it has the ingredients that foster wide appeal. The book addresses a pressing issue of the day in a manner that is learned, literary, speculative, provocative, and fascinating from beginning to end. While largely a work of economic history, it does not stop there. Piketty ultimately leads the reader to a vision of what the future may hold and advice about what policymakers should do about it. That vision is a dystopia of continually increasing economic inequality due to the dynastic accumulation of capital, leading to a policy recommendation of a steeply progressive global tax on wealthLink