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A Policy Matrix for Inclusive Prosperity

Author

Listed:
  • Dani Rodrik
  • Stefanie Stantcheva

Abstract

One of the biggest challenges that countries face today is the very unequal distributions of opportunities, resources, income and wealth across people. Inclusive prosperity – whereby many people from different backgrounds can benefit from economic growth, new technologies, and the fruits of globalization – remains elusive. To address these issues, societies face choices among many different policies and institutional arrangements to try to ensure a proper supply of productive jobs and activities, as well as access to education, financial means, and other endowments that prepare individuals for their participation in the economy. In this paper we offer a simple, organizing framework to think about policies for inclusive prosperity. We provide a comprehensive taxonomy of policies, distinguishing among the types of inequality they address and the stages of the economy where the intervention takes place. The taxonomy clarifies the differences among contending approaches to equity and inclusion and can help analysts assess the impacts and implications of different policies and identify potential gaps.

Suggested Citation

  • Dani Rodrik & Stefanie Stantcheva, 2021. "A Policy Matrix for Inclusive Prosperity," NBER Working Papers 28736, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:28736
    Note: PE
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. A Policy Matrix for Inclusive Prosperity
      by maximorossi in NEP-LTV blog on 2021-05-21 20:07:57

    Citations

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    Cited by:

    1. Gautam Bose & Arghya Ghosh, 2022. "Affirmative Action, Equal Opportunity, or just tax the rich? Development, efficiency, and the pursuit of equity," Discussion Papers 2022-02, School of Economics, The University of New South Wales.
    2. Bürgisser, Reto, 2023. "Policy Responses to Technological Change in the Workplace," SocArXiv kwxn2, Center for Open Science.
    3. Philippe Aghion & Antonin Bergeaud & Richard Blundell & Rachel Griffith, 2023. "Social skills and the individual wage growth of less educated workers," IFS Working Papers W23/25, Institute for Fiscal Studies.
    4. Marceli Hązła & Ewa Mińska‐Struzik, 2023. "How to assess economic progress in the era of discontinuity?," Global Policy, London School of Economics and Political Science, vol. 14(2), pages 331-348, May.
    5. Dominik Hartmann & Flavio L. Pinheiro, 2022. "Economic complexity and inequality at the national and regional level," Papers 2206.00818, arXiv.org, revised Jun 2022.
    6. Huet-Vaughn, Emiliano, 2023. "Minimum Wages and Voting: Assessing the Political Returns to Redistribution outside the Tax System," IZA Discussion Papers 16416, Institute of Labor Economics (IZA).
    7. Ioanna Kastelli & Lukasz Mamica & Keun Lee, 2023. "New perspectives and issues in industrial policy for sustainable development: from developmental and entrepreneurial to environmental state," Review of Evolutionary Political Economy, Springer, vol. 4(1), pages 1-25, April.
    8. Dianah Ngui & Njuguna Ndung'u & Abebe Shimeles, 2023. "Poverty, Inequality and Social Protection Programs in Africa: Lessons from the COVID-19 Pandemic," Journal of African Economies, Centre for the Study of African Economies, vol. 32(Supplemen), pages 3-9.

    More about this item

    JEL classification:

    • A1 - General Economics and Teaching - - General Economics
    • E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue

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