On Monday, if I can navigate through strikes, river floods, and tear gaz, I’ll be taking a course on the Great Gatsby curve in Rennes. And as I scroll through articles on the topic, I’m struck by an air of déjà-vu. Thought similar curves had been circulated by Miles Corak since 2006, the name was introduced by Alan Krueger, then chairman of the Council of Economic Advisers in a January 2012 address on inequality. Statistics, Krueger argued, show a negative relationship between inequality in the mid-1980s and intergenerational mobility across countries, one he called the “Great Gatsby Curve.”
Both the empirical existence and the theoretical foundations of the Gatsby curve have since been hotly debated within academia. It has been argued that no correlation, even less causation, existed across countries, nor across US local labor markets, that the relation disappears when other measures…
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