An increase in the wage share has contradictory effects on the subaggregates of aggregate demand. Private consumption expenditures ought to increase because wage incomes typically are associated with higher consumption propensities than capital incomes. Investment expenditures ought to be...

This study investigates the relative impact of financialisation, globalisation, welfare state retrenchment and technological change on functional income distribution. This is done with an (unbalanced) panel analysis covering up to 71 countries (28 advanced and 43 developing and emerging...