ABSTRACT
This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book analyzes which of the opposing views is more robust, and focuses on the more fundamental question of whether the institutions of capitalism and democracy are, in fact, incompatible in the face of growing inequality. It describes the relationship between political institutions and income inequality. The book examines whether the growth generated by the American economy over the last three decades has benefited the poorer sections of American society. It discusses the questions surrounding income inequality through the lens of political economy: they adopt an approach that is more empirical and historical. The book subjects the dominant U-curve narrative on income inequality to critical scrutiny. It also analyzes the impact of economic liberalization on the poorer sections of society in India. The book looks at the empirical foundations that underlie most of the public discourse on inequality.
