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Olivier Blanchard

Combating Inequality

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    a high evidentiary threshold also restricts us to the margins of existing policies and
    small scale changes. We necessarily have good evidence only on policies that have been tried.
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    Do we seek a gradual evolution of our policies or a more wholesale revolution? This is perhaps at least as much a question of temperament as of economics.
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    Do we only pursue policies for which there is good evidence, or are we willing to be bolder and to experiment?
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    A Rawlsian perspective (advocated by both Scanlon and Van Parijs) would lead us to demand that any increase in inequality must improve the well-being of the worst off in society.
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    what we want to do about inequality must start with answering the following questions: What is wrong with it?
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    Do we want to reduce inequality because its consequences are bad or because it is bad in itself?
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    We need a policy environment that directly targets the creation of good jobs.
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    These are also the kinds of jobs that are most at risk with the spread of new technologies such as artificial intelligence, digitalization, and automation.
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    The literature on the drivers of authoritarian populism makes it clear that the scarcity of good jobs and the economic anxieties that accompany it have played a substantial role in the rise of the Far Right.
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    One of the themes that emerged from our conference is the importance of policies that tackle the middle of the income distribution—in particular, policies that support the expansion of middle-class, or “good,” jobs.
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