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Two factors → decline in value of private property

Public policy shocks: rent control, nationalizations

Low savings and depressed asset prices

Fiscal innovations → durable deconcentration of wealth

Progressive income tax

Progressive inheritance/estate tax

Progressive annual tax on net wealth/capital

Neopropertarianism

is the ideology that treats private property as sacred and nearly unlimited

transparency problem

financial transparency: an automatic exchange of bank information and a global register of financial assets, so wealth can actually be seen and taxed

American primacy in education

The US pioneered mass education

NOW college access depends heavily on parental income/education now reinforces inequality

History shows it's possible to have what 3 economic factors and economic growth

High progressive taxation

Lower inequality and a compressed wealth distribution

A large social state (public spending on education, health, and pensions)

neoliberalism

as the presumption that markets are efficient and

government ruins things

how does neoliberalism work in the economy

not self-correcting

Inequality becomes political inequality

A "free market" is a myth, because government always sets the rules: property,

monopoly, contracts, bankruptcy, and enforcement

Co-management: pros

challenges sacralized property, gives workers a role in long-term strategy lowers wage inequality and executive pay, and does not hurt productivity

Co-management: cons

Shareholders keep the casting vote, so workers' power is capped

only applies to large firms

doesnt change wealth concentration

It is national only, so it does nothing about global tax competition

reduces value of owners assets

piketty's solution

participatory socialism: keep 50% of seats for workers, cap any

single large shareholder's voting power, and add progressive wealth taxes so ownership

becomes temporary and circulates