Freakonomics » Is Higher Income Inequality Associated with Lower Intergenerational Mobility?
It’s striking just how closely related inequality and mobility are. And it’s political dynamite. Why? If income inequality in one generation can be linked to unequal opportunity in the next, then income inequality can’t just be dismissed as the politics of envy. My bet is that this chart that will launch a thousand papers, as economists try to sort out just what these linkages are. Whatever the answer, it will transform our thinking about inequality.
Source: freakonomics.com
Robert Neuwirth: 1.8 billion people on the planet live in an economy outside legal spheres - an economy that grows faster that the regulated economy
Robert Neuwirth (PopTech 2011) tells us about life in the informal economy, what French culture classifies as System D. 1.8 billion people on the planet subsist through economic transactions that happen outside legal spheres and, by 2020, two thirds of our planet will be doing business in this domain. The future is the free market vs. the flea market.
This is also in line with some other megatrends (gigatrends?) which points out that power and influence moves from institutions to the individuals, who of course will do something about their situation if no one else does.
An interesting aspect of this is that Robert Neuwirth don’t mention the relation to the prosumer economy - an economy without money, but which creates and exchanges huge amount of value, and which is also probably growing much faster than than the regulated money economy.
Source: poptech.org
05/12/11 - The gap between rich and poor in OECD countries has reached its highest level for over over 30 years, and governments must act quickly to tackle inequality, according to a new OECD report.
“Divided We Stand: Why Inequality Keeps Rising” finds that the average income of the richest 10% is now about nine times that of the poorest 10 % across the OECD.
The income gap has risen even in traditionally egalitarian countries, such as Germany, Denmark and Sweden, from 5 to 1 in the 1980s to 6 to 1 today. The gap is 10 to 1 in Italy, Japan, Korea and the United Kingdom, and higher still, at 14 to 1 in Israel, Turkey and the United States.
To me as a Swede it is really sad to see that Sweden seems to lead the race from equality since we have lost most percentage wise…
(via Society: Governments must tackle record gap between rich and poor, says OECD)Source: oecd.org
Source: frumforum.com
(via The Art of Economic Complexity - NYTimes.com)
Interesting models where visualization helps zooming out in order to get an other level of understanding of the complexity and dynamics of economics…
Source: The New York Times
A User's Guide to 21st Century Economics - Umair Haque - HarvardBusiness.org
An interesting post about the current situation and it’s consequences with headlines like:
- Tomorrow will not be like yesterday
- 20th century business isn’t fit for 21st century economics
- Tomorrow’s market leaders have new DNA
