Vortrag bei "Rigour and Relevance – Hochschulforschung im Spannungsfeld zwischen Methodenstrenge und Praxisrelevanz"; Die
zweite Tagung des Österreichischen Netzwerks für Hochschulforschung
This paper explores the structural determinants of high-growth firm shares in Austrian regions. The regional level of analysis
allows one to uncover regularities that are not detectable in firm-level studies. It is found that lower mobility barriers,
firm exits and technological opportunities, measured by digitalization intensities, and, to a lesser extent, agglomeration
effects are associated with a larger share of high-growth firms. The results suggest that comparisons of shares of high-growth
firm across countries and regions should consider differences in the industrial structures together with the often-emphasized
differences in policies and regulations.
If Piketty's main theoretical prediction (r > g leads to rising wealth inequality) is taken to its radical conclusion, then
a small elite will own all wealth if capitalism is left to its own devices. We formulate and calibrate a Post-Keynesian model
with an endogenous distribution of wealth between workers and capitalists which permits such a corner solution of all wealth
held by capitalists. However, it also shows interior solutions with a stable, non-zero wealth share of workers, a stable wealth-to-income
ratio, and a stable and positive gap between the profit and the growth rate determined by the Cambridge equation. More importantly,
simulations show that the model conforms to Piketty's empirical findings during a transitional phase of increasing wealth
inequality, which characterizes the current state of high-income countries: the wealth share of capitalists rises to over
60 percent, the wealth-to-income ratio increases, and income inequality rises. Finally, we show that the introduction of a
wealth tax as suggested by Piketty could neutralize this rise in wealth concentration predicted by our model.
