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Tuesday, December 15, 2020

REPOST CLARK VS PIKETTY

 

onday, May 25, 2020

GREGORY CLARK VS THOMAS PIKETTY

http://faculty.econ.ucdavis.edu/faculty/gclark/The%20Son%20Also%20Rises/Is%20Most%20Wealth%20Inherited%20or%20Created.pdf

But we see above that even for late nineteenth century England, where Piketty would expect 80-90% of wealth to be inherited, the share is instead somewhere between 18% and 48%.

But there is nothing in English history 1858-2012 to suggest that wealth inheritance itself explains most of current wealth. In all periods wealth creation de novo accounts for most wealth. Yet this is consistent with the tendency to create wealth to also be inherited within family lineages.

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