Unlocking the potential of income and wealth caps in post-growth transformation: A framework for improving policy design

François, Martin; Mertens de Wilmars, Sybille; Maréchal, Kevin

doi:10.1016/j.ecolecon.2023.107788

Article (Scientific journals)

Unlocking the potential of income and wealth caps in post-growth transformation: A framework for improving policy design

François, Martin; Mertens de Wilmars, Sybille; Maréchal, Kevin

2023 • In Ecological Economics, 208, p. 107788

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10.1016/j.ecolecon.2023.107788

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Keywords :

Eco-social policy; Economic inequality; Income caps; Limits; Post-growth; Wealth caps

Abstract :

[en] Preventing the increase of economic inequality in a non-growing economy is a major challenge. In post-growth research, scholars agree that reducing the income and assets of the wealthy must be part of any strategy for reducing inequality. Nevertheless, caps on wealth and income remain surprisingly under-researched. After discussing the role of these caps in post-growth transformation, this paper aims to fill this gap by exploring the main parameters that policymakers need to consider when designing caps on income or assets. We performed a qualitative content analysis of 14 policy proposals, including four historical cases. We then built an analytical framework with seven key parameters. This framework reveals a broad set of public policies that policymakers and researchers can consider, including new options for wealth caps. We furthermore discuss how such policies should be designed to increase public support, and we highlight recurring patterns about the context in which they were proposed. We also show how these radical solutions reduced economic inequality in the 20th century in western countries and how policymakers can draw on those examples to design post-growth policies that decrease inequality and are also popular.

Research center :

CES - Centre d'Économie Sociale - ULiège [BE]

Disciplines :

Special economic topics (health, labor, transportation...)

Author, co-author :

François, Martin ; Université de Liège - ULiège > HEC Liège : UER > UER Management : Social Entrepreneurship

Mertens de Wilmars, Sybille ; Université de Liège - ULiège > HEC Liège : UER > UER Management : Social Entrepreneurship

Maréchal, Kevin ; Université de Liège - ULiège > TERRA Research Centre > Modélisation et développement

Language :

English

Title :

Unlocking the potential of income and wealth caps in post-growth transformation: A framework for improving policy design

Publication date :

June 2023

Journal title :

Ecological Economics

ISSN :

0921-8009

eISSN :

1873-6106

Publisher :

Elsevier BV

Volume :

208

Pages :

107788

Peer reviewed :

Peer Reviewed verified by ORBi

Development Goals :

10. Reduced inequalities

Additional URL :

https://api.elsevier.com/content/article/PII:S0921800923000514?httpAccept=text/xml

Funders :

KBS - Koning Boudewijnstichting [BE]

Funding number :

2022- E2190230

Data Set :

https://doi.org/10.1016/j.ecolecon.2023.107788

Available on ORBi :

since 20 March 2023

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