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Does Financialization Contribute to Growing Income Inequality?


This research project explores whether the financialization of the US economy has contributed to rising income inequality through complementary analyses at the individual, firm and industry levels.

The financialization of the US economy and rising income inequalities are two of the most profound economic developments of the last fifty years. Using complementary analyses at the individual, firm and industry levels, this project focuses on three components of the earnings distribution: employment earnings distributions, executive compensation, and capital/labor shares of value added. For firms, the research also examines the consequences of financialization for global and domestic employment and for domestic employment separately for various occupational groups.

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