Intergenerational Mobility Isn’t Always a Good Thing

Over at Learn Liberty, I take on the recent kerfuffle over intergenerational mobility. Some scholars and journalists are saying that the U.S. has a major "problem" with mobility because its "churn" numbers (the rate at which children of rich parents fall into lower income deciles and children of poor parents rise into higher ones) are … Continue reading Intergenerational Mobility Isn’t Always a Good Thing

Federalism Isn’t Unfair

My latest for Learn Liberty looks at proposals for starting an equalization program to redistribute from rich to poor states in the U.S. and finds them wanting. Due to the audience for that blog, I kept that post nontechnical and brief. I'll reproduce part of it here and then elaborate on some of the complexities … Continue reading Federalism Isn’t Unfair

Property Rights: Necessary but Not Sufficient for Prosperity

At e3ne.org, I have posted some reflections on my last discussion with the Ethics & Economics Challenge students, on the topic of private property rights. The work of Acemoglu, Johnson, and Robinson on how property rights support high levels of development plays a prominent role. Here's a scatter plot from their famous 2001 paper: Economies … Continue reading Property Rights: Necessary but Not Sufficient for Prosperity

Putting Economic Inequality in Perspective

Many people are concerned about income and wealth inequality. I am not concerned about economic inequality as such; I care about absolute poverty (how many people live in misery because of wretched physical conditions), and I care about a broad distribution of opportunity (everyone's having a "fair shot" at economic success), but I don't see … Continue reading Putting Economic Inequality in Perspective

Federalism & Inequality, Part Two

In my last post on this topic, I described an ideal system of federalism and its advantages and disadvantages. One of the concerns that progressives often have about this kind of federalism, which I wish to take seriously, is that it will lead to a growing gap between the incomes of rich and poor regions … Continue reading Federalism & Inequality, Part Two

Federalism & Inequality, Part One

Constitutional debates swirling around the PPACA's individual mandate have much to do with federalism. The core issue the Supreme Court is addressing is whether the federal government has essentially unlimited authority in economic policy, or whether they are yet some areas of economic policy-making (such as whether to compel commerce) exclusive to the states. As … Continue reading Federalism & Inequality, Part One

Regional Inequality

The latest Economist has an interesting feature on inequalities among regions within countries. The article compares countries on their ranges in GDP per head (the ratio of richest region to poorest). Thus, we get charts like the following: But range is an extremely crude concept for measuring inequality. In the U.S., the District of Columbia … Continue reading Regional Inequality