WHERE ARE THE QUANTS?

Why don’t quants assess unearned incomes in the economy? You know, extractive economic rents – ‘super profits’?

Here’s a start in the chart below. These are land rents and capital gains – in blue and green – only. Viz, they don’t include electromagnetic spectra rents.

And, of course, taxes on productivity are extractive, too. Not only that, but they inject deadweight losses of something like twice the amount levied.

Disappearing aggregate demand/wages and earned profits (blue) is the main reason world economies are in a mess.

C’mon, quants: make a name for yourselves!

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