The document discusses Thomas Piketty's work on wealth inequality and some limitations of his analysis. It notes that while Piketty correctly identified that wealth is huge, unequal, and self-perpetuating, capital does not fully explain income inequality trends. Returns on capital have complex effects, income at the top still largely comes from employment, and the UK labor share has remained high. The document was presented at an event in June 2017 on tackling 21st century inequality at home and abroad, featuring several panelists.

1. After Piketty:Tackling 21st century
inequality at home and abroad
Heather Boushey, co-editor of After Piketty
Martin Sandbu, EconomicsCommentator, FinancialTimes
Ed Miliband MP, Former Leader of the Labour Party
Torsten Bell, Director, Resolution Foundation
June 2017
@resfoundation #AfterPiketty
1

2. PIKETTY GOT SOME BIG
THINGS RIGHT…
2

3. 1. Wealth is huge…
3

4. 2. Wealth is huge, unequal…
4

5. 3. Wealth is huge, unequal and good at protecting
itself
5

6. BUT “CAPITAL” DOESN’T
EXPLAIN EVERYTHING…
6

7. 1. Rates of return have complicated effects on wealth
7

8. 2. Income at the top (and it’s growth) is still almost
entirely derived from employment
8
And since the late
1970s, 92% of the
growth in average
gross income in
the top 10 per cent
is accounted for
by labour income

9. 3. Although the labour share is falling elsewhere, it’s
remained high in the UK
9

10. After Piketty: Tackling 21st century
inequality at home and abroad
Heather Boushey, co-editor of After Piketty
Martin Sandbu, EconomicsCommentator, FinancialTimes
Ed Miliband MP, Former Leader of the Labour Party
Torsten Bell, Director, Resolution Foundation
June 2017
@resfoundation #AfterPiketty
10