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The Rise Of The “Super Firms” And Inequality

Janssen, Ronald, (2017, “The Rise Of The “Super Firms” And Inequality”, Social Europe, 9 February

Mainstream economic thinking often tries to explain the trend of high and rising inequalities by referring to the forces of technology. Technological progress, so the argument goes, works to destroy middle pay routine jobs while at the same time creating many high skilled jobs. There is, however, increasing recognition that this ‘technology’ factor is but part of the story and there are other important forces at work.

The failure of this classical skills-related argument in explaining all of the wage inequality trends has not gone unnoticed by the OECD either.

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