Inequality in democracies: interest groups and redistribution
We are by now more or less aware that income inequality in the United States and in most of the rich OECD world is higher today than it was some 30 to 40 years ago. Despite varying interpretations of what led to this increase, the fact remains that inequality is exhibiting a persistent increase, which is robust to both expansionary and contractionary economic times. One might even say that it became a stylized fact of the developed world (amid some worthy exceptions).