Publication:
Widening Inequality Combined with Modest Growth

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2009

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M.E. Sharpe, Inc
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Friedman, Benjamin M. 2009. Widening inequality combined with modest growth. Challenge 52(3): 76-91. Previously presented at the AEA Annual Meeting, San Francisco 2009.

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Abstract

The author argues that inequality, combined with only modest growth, can have grave moral consequences. History suggests that, in the past, a rising standard of living has promoted tolerance for others, commitment to economic opportunity, and democracy. But stagnating incomes due to inequality can lead to the opposite outcomes. The nation’s response to immigration is a good example, says the author.

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