Lanny Martin’s Post

I’m happy to share that another chapter of my PhD thesis has finally been published in Economic Record. Thanks to my two co-authors, Prof. Nicholas Rohde and Prof. Gordon Anderson for their support. In this paper we look at the effects of individuals' background variables on the chances of ending up in the extremes of the income distribution. Taking high-quality Australian panel data, we show that factors like the education of one's father have a much stronger impact on belonging to the top 1 per cent than they have on the conditional mean. Similarly, individuals from immigrant families are more likely to belong to both the left and the right tails of income distribution. We argue that identifying the drivers of extreme incomes is important as individuals with very high incomes exert disproportionate political power, while those with very low incomes may drive prejudice and perceptions of disadvantage.

The complexity of economic history implies that the increasingly necessary adjustments to the political economy should be based on sound political and social science and directed by elected leaders who are genuinely acting in the interest of people. Another factor, probably the most important of all, affecting inequality is the risk of populist uprisings and coups. Democracies are prone to populist uprisings, especially when inequality is on the rise; and securitised, emerging democracies are prone to coups, especially in highly unequal societies. But the track record of such uprisings and coups, especially in the 21st century, is that it tends to lead to less democracy and more inequality.

💡 𝗣𝘂𝗯𝗹𝗶𝗰 𝗢𝗽𝗲𝗻𝗶𝗻𝗴 𝗘𝘃𝗲𝗻𝘁 𝗼𝗳 𝘁𝗵𝗲 𝗠𝘂𝗻𝗶𝗰𝗵 𝗜𝗻𝘁𝗲𝗿𝗻𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗦𝘁𝗼𝗻𝗲 𝗖𝗲𝗻𝘁𝗲𝗿 𝗳𝗼𝗿 𝗜𝗻𝗲𝗾𝘂𝗮𝗹𝗶𝘁𝘆 𝗥𝗲𝘀𝗲𝗮𝗿𝗰𝗵 📣 Wealth Inequality. The Challenge of Our Time, with No End in Sight? Inequality in wealth is extreme, growing, and hurtful to democracy. But is it really that bad?   This public event will feature world-leading experts to help answer these questions, combining both new empirical data on the distribution of wealth and a new vision of what it would take to combat it.   On Friday, October 11, 2024, Ludwig-Maximilians-Universität München (LMU) will celebrate the founding of the Munich International Stone Center for Inequality Research (ISI) with a public lecture event. The ISI is dedicated to researching social inequality and wealth inequality in particular. “Social inequality, especially in terms of wealth, is one of the major social challenges of our time,” says Prof. Dr. Fabian Pfeffer, founding director of the ISI.   Internationally renowned academics will give lectures at the start of the event: 🎓 Thomas Piketty is an economist at the School for Advanced Studies in the Social Sciences and the Paris School of Economics. Ever since the publication of his bestselling book "Capital in the Twenty-First Century" he has become the most visible and influential social scientist focused on wealth inequality, its sources, and solutions. 📊 Charlotte Bartels is an economist at the University of Leipzig in Berlin. She is the leading expert on Germany's wealth distribution, having unearthed more than 100 years of data on changes in wealth inequality. 💡 Ingrid Robeyns is a philosopher at Utrecht University. Earlier this year she published the book "Limitarianism" in which she argues that we need to limit extreme wealth by setting a maximum amount of resources individuals are allowed to own. This inaugural event offers a unique opportunity to listen to leading minds in inequality research and to learn more about the scientific work of the new center. #simplymunich #simplyMICE #eventprofs

How unequal is the global society that we live in? What evidence existence that there are significant differences in the living standards and life chances of people in different countries? How do modernization and dependency theorists, and other scholars explain the causes of these inequalities?   DRAFT/STUDY TIPS Introduction The global society we inhabit today is marked by stark and pervasive inequalities that manifest in various dimensions of life, including economic opportunities, access to healthcare, education, and overall living standards. These disparities are not just limited to individual experiences within countries but extend across borders, creating a world where the life chances of people in different nations are vastly unequal. Understanding the depth of these inequalities requires an exploration of the existing differences in living standards and life opportunities among countries. Additionally, it is essential to examine the underlying causes of these inequalities through the lens of theoretical frameworks such as modernization theory and dependency theory, among others. This essay argues that global society is deeply unequal, as evidenced by significant disparities in living standards and life chances across countries, and that these inequalities are rooted in historical, structural, and systemic factors as explained by various social science theories.

Ingrid van Dijk, Associate senior lecturer at the Department of Economic History at LUSEM and researcher at the Centre for Economic Demography at Lund University, receives an ERC Starting Grant. Her project is titled “Relative Health: Long-Run Inequalities in Health and Survival Between Families and Across Generations”. Excerpt from the project abstract Worldwide life expectancy has increased strongly over the past decades, but social inequalities in health and mortality are large and increasing. In contrast to trends in socioeconomic inequality and social mobility, long-term developments in inequality in health and mortality have been poorly documented. The project “Relative Health” aims to quantify the level of inequality in health and mortality from a family perspective 1800-today. The project has four main objectives: - Develop new ways to measure inequality in health and mortality using a revolutionary new perspective, inequality between families and intergenerational persistence. - Describe for the first time long-term trends in health and mortality inequality - Identify mechanisms that shape these inequalities between families and across generations. - Identify the role of contextual characteristics in shaping inequalities between families, including the level of social mobility and social inequality. State-of-the-art population reconstructions cover up to 9 generations of relatives (grandparents, parents, children) in Sweden, Netherlands, and US 1800-today and contain lifespan and health information. The project lays the groundwork to generalise these estimates of family health inequality to many contexts with less abundant data sources, using survey data. These contain indicators of health and mortality for focal individuals, their siblings and children for a range of low- and middle-income countries covering four decades. Overall, the project seeks to transform our understanding of social inequality in health and mortality across time and space. Read more about it here: https://lnkd.in/dXQxMfjJ

The BE-PARADIS research consortium – financed by BELSPO – invites you to its final workshop “The Paradox of Belgian Inequality” on Tuesday 3 December at the University Foundation (Egmontstraat, 11 1000 Brussels). In this workshop we present the research results of a 4-year research project funded by BELSPO and carried out by the University of Leuven, the University of Antwerp and the ULB. The project started from the observation that the consistently low and stable level of Belgian income inequality, as reported in official statistics, seems at odds with how the public at large experience inequality and its evolution, and how this is framed in the public debate. We have called this the Belgian Paradox of Inequality Studies (BE-PARADIS). To shed light on this paradox, we not only thoroughly reviewed the data used, we also tapped new data sources and broadened the concept of ‘inequality’ to include dimensions other than just income. The results of this research are published in a book (available in Dutch and French) by Lannoo-Campus and Racine, respectively. The book is included in the registration fee (€30) of the conference. Details and link for registration and payment: https://lnkd.in/eZMSZRXq Deadline for registration is Monday 25 November. 

Reflecting on Daron Acemoglu's groundbreaking work, ‘Why Nations Fail: The Origins of Power, Prosperity, and Poverty’. I encountered these pivotal ideas in my first semester with Prof. Sneha Thayyil. This text intricately examines the role of institutions in shaping economic outcomes, positing that inclusive institutions - which protect property rights, uphold the rule of law, and encourage participation - are fundamental for fostering prosperity. In contrast, extractive institutions - which concentrate power and wealth among a select few - hinder economic development and perpetuate poverty. Acemoglu and his co-author Robinson emphasize that the historical context of nations significantly influences their institutional frameworks. Their research, particularly "The Colonial Origins of Comparative Development," illustrates how colonial powers established either inclusive or extractive systems, leading to long-term disparities in wealth and governance. The analysis reveals that nations with inclusive institutions tend to experience sustained economic growth, while those with extractive systems face stagnation. The recent recognition of Acemoglu with the 2024 Nobel Prize in Economic Sciences, prompted me to revisit my notes. I was reminded that the concept of 'Path Dependency' is crucial to understanding why some nations remain trapped in cycles of poverty and instability. As seen in some Latin American countries, historical choices about institutions continue to influence their trajectories, even when global economic conditions change. For example, during the late 19th-century globalization boom, countries like Mexico missed the opportunity to establish inclusive frameworks. Instead, they perpetuated extractive systems that led to economic stagnation and political instability. Similarly, Acemoglu’s framework can be seen in the contrast between countries like South Korea and the Democratic Republic of Congo. While South Korea built inclusive political and economic systems that fostered rapid industrialization and innovation, the DRC suffered from the "natural resource curse," where extractive institutions hindered development, despite vast natural wealth. Acemoglu's analysis is particularly relevant today as debates over economic inequality, governance, and climate change intensify. 'Institutional drift' reminds us that even established economies are not immune to the risk of slipping towards extractive systems if accountability and inclusivity are not upheld. It is evident that promoting economic growth goes beyond just implementing fiscal policies; it requires fostering a society that prioritizes equality, participation, and innovation. This work underscores the importance of structural reforms, not just in developing nations, but also in advanced economies grappling with rising populism and polarization. The findings urge leaders worldwide to focus on building resilient, inclusive institutions as foundation for long-term prosperity.

The American Journal of Health Economics- Special Issue on Health Equity is now available! This special issue on health equity results from the effort of almost two years of work led by me as the guest editor and with the great support of the AJHE Editor and team The May 2024 edition of the American Journal of Health Economics presents articles on the topic of health equity. The issue was inspired by the COVID-19 pandemic and the disparities that affect access to health care, quality of care, and final health outcomes. The issue features five papers that focus on race/ethnicity, sexual orientation, gender identity, and disability topics in health economics. One of the papers, "Access to Gender-Affirming Care and Transgender Mental Health: Evidence from Medicaid Coverage," found a positive correlation between gender-affirmation coverage and the mental health of low-income transgender people. Another paper, "Gender Identity, Race, and Ethnicity-Based Discrimination in Access to Mental Health Care: Evidence from an Audit Correspondence Field Experiment," identifies a pattern of discrimination by mental health providers against patients with Black or Latino-sounding names. The special edition fills several gaps in health equity scholarship and aligns itself with the discipline's commitment to addressing the upstream influences of detrimental socioeconomic conditions and giving all people a fair opportunity to reach their health potential. Check out the issue now!

Apolitical Politics: NO really , It is an anthropological, social, economical somehow political book ..an open discussion for minds that minds matters that matter Why Nations Fail by Daron Acemoglu and James A. Robinson argues that the success or failure of nations is primarily due to the nature of their political and economic institutions. Here are seven key lessons from the book: 1. Inclusive Institutions Drive Prosperity Inclusive political and economic institutions are crucial for sustained economic growth. These institutions allow broad participation in economic and political life, encourage innovation, and create opportunities for people from all walks of life. 2. Extractive Institutions Lead to Poverty In contrast, extractive institutions concentrate power and wealth in the hands of a few. These institutions limit opportunities for most people, stifle innovation, and lead to stagnation and poverty. 3. Political Power Shapes Economic Outcomes Economic institutions are shaped by political power. When political institutions are inclusive, they create economic systems that benefit the majority. When power is concentrated in the hands of elites, the economy is structured to serve their interests. 4. Historical Contingency Matters The authors argue that historical events and “critical junctures” (e.g., wars, revolutions, colonization) can set nations on different trajectories by altering their institutions, for better or worse. 5. The Role of Innovation and Technology Nations thrive when they embrace technological and institutional innovation. Extractive regimes, however, often resist change to maintain the status quo, which can lead to economic decline. 6. Persistence of Institutions Institutions tend to persist over time. Countries with extractive institutions often remain trapped in a cycle of poverty and corruption because elites resist reforms that would diminish their power. 7. Geography and Culture Are Less Important While geography and culture can play a role, Acemoglu and Robinson argue that they are not the primary determinants of a nation’s success or failure. Instead, political and economic institutions are the key drivers. The book emphasizes that for nations to succeed, they must develop inclusive institutions that distribute power and wealth more broadly and encourage innovation and growth.

INTERNATIONAL CONFERENCE - 3rd Edition   Capitalist Transformations in Eastern and Central Europe   Deadline for abstract submission: 31 December, 2024 Conference Dates: 19 - 23 May, 2025 This is the third edition of the ‘Capitalist Transformations’ conference, an academic event that aims to create a space for discussion, debate and research of the social, political and economic changes taking place in the region. The conference celebrates the work of Karl Polanyi (1886 - 1964) and György Lukács (1885-1971), two intellectuals and political activists who played a key role in establishing a regional critical tradition analyzing global capitalism. Both of them received their PhD degrees at the University of Cluj / Kolozsvár at the turn of the century, when capitalism was expanding into Eastern and Central Europe and profoundly reshaping social geographies, class-structures and markets.   Registration fee for conference: free for participants and for audience Publications: One of the main aims of this conference is to enable a series of five edited volumes in order to disseminate critical scholarship focusing on capitalist transformations in ECE. Retreat and industrial heritage (optional): One week after the conference (29 - 31 May 2025) we will organize a retreat in Reșița / Resicabánya / Reschitz (Romania). Reșița has been one of the most important Romanian industrial centers. Industrial development emerged here already in the 18th Century within the Habsburg Empire. Some of the earliest unions and worker's movements were formed here during the 19th Century that were well connected to the regional progressive political networks. During the post-socialist period the steel and complex-machinery industries collapsed which resulted in vast brownfields. Reșița is now an important side of capitalist urban regeneration and trans-national real-estate enterprises. The city is in the proximity of Timisoara (European Capital of Culture 2023), Anina-Oravița-Baziaș (the first railroad network from Transylvania constructed in 1854) and the beautiful Danube Iron Gate gorge.   Conveners: The conference is organized by the Faculty of Sociology and Social Work from Babeș-Bolyai University. Abstracts: Please submit to [email protected] an abstract of maximum 300 words and your institutional affiliation. Please specify for which of the following 5 streams you are applying and if you would like to join us in the retreat taking place in Reșița. Submissions will be evaluated by the scientific committee of the conference. Accepted proposals will be clustered together in panels. The submission of full papers and their dissemination to conference participants is optional for the authors.  For any inquires please contact: [email protected] For more informations about this event please visit: https://lnkd.in/eHbQbz6U