McAdams on the Economic Costs of Inequality
RICHARD H. MCADAMS
University of Chicago Law School November 2007
U of Chicago Law & Economics, Olin Working Paper No. 370
U of Chicago, Public Law Working Paper No. 189
This brief chapter surveys some of the economic literature concerning the instrumental costs of material inequality. Economic theory predicts, and econometric evidence finds, that inequality increases crime and political corruption and, in certain circumstances, constrains growth.