We should remember that income inequality and wealth inequality are two different things. Even if income inequality is very low, you can still get a lot of wealth inequality over time, because wealthy people save more, and because wealthy people probably get a higher return on their assets. Piketty is talking about wealth inequality when he notes that the rate of return is greater than the rate of growth. But Kuznets, when he predicts that growth eventually reduces inequality, is talking about income rather than wealth. And the papers I cite on Latin America and China talk about income.

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