Minimizing the scope of tax arbitrage by firms would help correct a capital-labour imbalance
The Credit Suisse annual Global Wealth Report 2019 is out. It contains more good news than bad for those who are concerned about inequality. The report notes that inequality between countries declined in the first few years of the new millennium. But, inequality within countries kept rising, even as the global economic boom that lasted until 2008 showered more benefits on the rich than on the bottom deciles and quintiles of the population. This trend appears to have continued until 2016. The good news in the report is that the undesirable trend—rising inequality within countries—appears to have peaked in 2016. It even ventures to predict that global inequality would edge down in the immediate future.