This paper uses US state panel data to explore the relationship between the share of income received by affluent households and the level of income and earnings received by low and middle-income families. A rising top share of income can potentially lead to increases in the incomes of low and...

This book addresses the central challenge facing rich countries: how to promote growth and prosperity that is widely shared rather than concentrated at the top. It identifies structures and policies that are associated with limiting the rise in inequality and promoting income growth