Profits growth has been strong in many developed economies in recent years, and the profit share - the share of factor income going to capital - has been high compared with historical experience. This paper shows that, rather than being a recent phenomenon, profit shares have trended upwards...

The profit share—the share of factor income going to capital—has trended upwards since about the mid 1980s in most developed economies. Not all of the possible explanations for this are consistent with the timing or the cross-country pattern of the data. Our preferred explanation is that...

Profits growth has been strong in many developed economies in recent years, and the profit share - the share of factor income going to capital – has been high compared with historical experience. This paper shows that, rather than being a recent phenomenon, profit shares have trended upwards...