SOCI 2220H Lecture Notes - Lecture 5: Thomas Piketty, Inheritance
5 Apr 2016
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Inequality in income from labour: wages and salaries. Inequality in ownership of capital and the income it produces: all income derived from the ownership of capital independent of any labour and regardless of its legal classiicaion (rents, dividends, interest, royalies, proits, capital gains) Why the disincion: diferent jusiicaions, diferent economic, social, and poliical mechanisms. Society of super-managers- hyper-meritocraic society (pikety), winner-take-all society (frank) Inherited wealth is very important and wealth is extremely concentrated. Ownership of capital and of income from it is always more unequally distributed than the. Canada is between medium and medium-high inequality distribuion of income from labour: top 10% has around 50% of the wealth. Interesing is that both of their wealth has increased substanially and at the same rate. Large amounts of capital do reproduce themselves quickly, and increase inequality. Real rate of increase 1990-2010: 10-11% (ater taking in account for inlaion) Can only spend a small amount of the money they have,
