- Inequality is a significant problem in America, and it’s worsened over time
- A key contributor may be a declining sense of corporate paternalism toward workers
- Securitizing workers’ wages over a long period could smooth out the vagaries of short-term business cycles and tie workers and firm owners more closely together
- This would be a purely private endeavor that could help avoid government interference in redistribution of wealth
Adapted from “The Macroeconomics of Stakeholder Equilibria” by John B. Donaldson of Columbia Business School and Hyung Seok E. Kim of the Korea Advanced Institute of Science and Technology.