Goke Pelemo

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The evolution of the rate of return on capital, r, significantly reduces the amplitude of this U-curve, however: the return on capital was particularly high after World War II, when capital was scarce, in keeping with the principle of decreasing marginal productivity. But this effect was not strong enough to invert the U-curve of the capital / income ratio, β, and transform it into an inverted U-curve for the capital share α.
Capital in the Twenty-First Century
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