Evidence that financialisation increases income inequality

By Engelbert Stockhammer, Alexander Guschanski, & Karsten Köhler, The past four decades were characterised by drastic changes in the distribution of income between wages and profits. This can be observed through a decline in the wage share. In a sample of 14 OECD countries, the share of total national income going to wages fell, on … More Evidence that financialisation increases income inequality

New Working Paper – Explaining the Euro crisis: Current account imbalances, credit booms and economic policy in different economic paradigms

By Engelbert Stockhammer, Collin Constantine, & Severin Reissl From the abstract: The paper proposes a post-Keynesian analysis of the Eurozone crisis and contrasts interpretations inspired by New Keynesian, New Classical, and Marxist theories. The origin of the crisis is the emergence of a debt-driven and an export-driven growth model, which resulted in a rapid increase … More New Working Paper – Explaining the Euro crisis: Current account imbalances, credit booms and economic policy in different economic paradigms