What accounts for the increase in wealth inequality?
The increase in wealth inequality is much greater than the increase in income inequality in OECD countries. Why ? The skewing of income distribution against employees explains part of the increase in wealth inequality, close to the increase in income inequality, but not all of it; The difference is explained by the fact that the total return on the wealthiest people's assets is higher than that on the least wealthiest people's assets: the wealthiest own a lot of companies and real estate, the relative price of which has risen sharply; It can also be explained by the difference between the savings rates of capital income earners and wage earners and the difference between tax rates; The rise in the relative value of companies and real estate is largely explained by expansionary monetary policies, which have driven up asset prices, thereby generating this abnormal increase in wealth inequality .