McAdams on the Economic Costs of Inequality

Richard McAdams recently posted a short paper to SSRN entitled "Economic Costs of Inequality" The abstract is below and the full paper is available here.

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

Abstract:    
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.

Comments

[Kimball Corson]

This is a great windup. It is about time this area got some serious attention. The economics profession has been too largely asleep at the wheel on this one. We look at the Lorenz curves and say "My, my, that's too bad" and let it go. The economic theories are too infantile and too narrowly derived from the basic self-interest model or greed that has attended too much of ecomonics. (Fortunately, we are moving away from that to more sophisticate models of self interest and learning.)

Also, the subject has world-wide implications.

[Ned Jacobs]

I wonder what Professor McAdams thinks of my elements of sovereignty found at globalities.blogspot.com ?

On this same day, November 30, 2007, I have asked for comments on my numbered elements of sovereignty from the three faculty members who wrote the first three articles listed today on the faculty blog, because I would like to have the reaction of those authors and readers of this blog to the question: how do you like my elements of sovereignty?

The three simultaneous questions to the authors of the first three articles listed are intended to stimulate discussion amongst the blog readers, the faculty/authors, and others on the question of whether the United States - or, if unattainable as a united country, perhaps portions of the United States - should get ready to divorce themselves/itself from the coming Leviatan -the collective of nations seeking the transfer governmental functions'elements of sovereignty to themselves/itself (for, in their estimation, for the good of mankind).

Shoud we discuss and understand the elements of sovereignty, and develop effective plans of action to preserve much of sovereignty here in the United States?

Should we act as a brake rather than a pedal in the rush toward one world goverment?

Regards,

Ned Jacobs