solving income inequality February 2, 2022 on Chris Howey's blog

Notes from reading Income Inequality, Case and Cure by B.N. Kausik1.

The problem is basically summarized as being that the higher-income earners and high-capital owning individuals are getting a higher share of the overall income of the economy. The solution then, is to have all working individuals get a share of the capital appreciation income.

The proposal is that employers should be forced to provide a 9% bonus to salary that is invested in a deferred investment plan. The deferred investment is then payed out after a 5-year holding period. So essentially it forces all working people to have 9% extra salary invested before getting the 9% (plus investment returns) after the manditory holding period ends.

Interesting idea, basically forcing everyone to save and reap the rewards of investment returns.


  1. Kausik, B.N. (2022). Income Inequality, Cause and Cure. arXiv arXiv:2201.10762 [econ.GN] ↩︎

⇒ This article is also available on gemini.