Inequality and capital accumulation in peripherical capitalism
Abstract
The paper argues that in developing countries the changing political and social
relations so as the technical progress create a systematic tendency for a dynamic disequilibrium
between consumption and investment. Under these conditions, continued growth
requires a macroeconomic policy directed to increase the rate of accumulation through a reduction
in the aggregate consumption of both capitalist and working classes. Politically this
kind of regulatory policy should be seen as an opportunity for the working class to increase
its share in the wealth ownership.
JEL Classification: E21; E25; O43.
Keywords: Inequality economic growth effective demand productivity