Thomas Ramey Watson

The Key To Closing The Income Gap Is An Idea Almost Nobody Is Talking About

From the article:

When industrialized countries fail to ensure inclusive prosperity, people stop trusting that hard work and careful planning will provide personal reward. The breakdown of that basic tenet of the social contract creates not just economic harm, the authors write, but “political alienation, a loss of social trust, and increasing conflict across the lines of race, class, and ethnicity.”

The decline of inclusive prosperity in the decades since World War II has brought threats to the democratic ideal of self-ruling pluralistic societies. As a result, “advocates and apologists for anti-democratic regimes argue that the democracies are no longer capable of managing their problems or creating a sense of social dynamism.” As with other grand economic transition periods such as the New Deal era and the tech boom of the 1990s, the commissioners write, policymakers in today’s industrialized world must navigate huge changes brought on by globalization and technology in ways that do not leave huge swathes of the populace behind — or the consequences could be far worse than the elevated economic strain and declining trust in public institutions that capitalist democracies face today.

More.

Leave a Comment

Your email address will not be published.