ABSTRACT
Given the precariousness of labor employment and labor's increasingly fractured composition, it is no mystery as to why capital's share of income should have risen relative to that of wage and salary employees. The rise in capital's share of income has also driven wealth inequality. Higher incomes translate into a higher level of saving among the rich which, in turn, translate into rising wealth disparities. In addition to managerial remuneration, scholars have advanced other reinforcing arguments to explain the increasing concern with stockholder value. Financial pressures expand when non-financial firms extend financial credits and take on financial debt obligations. In expressing capital spillage as a fraction of new corporate investment, implicitly contains a normative message. Thomas Piketty's Capital in the Twenty-First Century is the main book associated with a world project involving a number of scholars documenting the disparities in wealth and income across a variety of nations over significant historical time periods.
