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The Origins of Enduring Economic Inequality

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  • Samuel Bowles
  • Mattia Fochesato

Abstract

We survey archaeological evidence suggesting that among hunter-gatherers and farmers in Neolithic western Eurasia (11,700 to 5,300 years ago) elevated levels of wealth inequality occurred but were ephemeral and rare compared to the substantial enduring inequalities of the past five millennia. In response, we seek to understand not the de novo "creation of inequality" but instead the processes by which substantial wealth differences could persist over long periods and why this occurred only at the end of the Neolithic, at least four millennia after the agricultural revolution. Archaeological and anthropological evidence suggests that a culture of aggressive egalitarianism may have thwarted the emergence of enduring wealth inequality until the Late Neolithic, when new farming technologies raised the value of material wealth relative to labor and a concentration of elite power in early proto-states (and eventually the exploitation of enslaved labor) provided the political and economic conditions for heightened wealth inequalities to endure.

Suggested Citation

  • Samuel Bowles & Mattia Fochesato, 2024. "The Origins of Enduring Economic Inequality," Journal of Economic Literature, American Economic Association, vol. 62(4), pages 1475-1537, December.
  • Handle: RePEc:aea:jeclit:v:62:y:2024:i:4:p:1475-1537
    DOI: 10.1257/jel.20241718
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    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • N30 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - General, International, or Comparative
    • N50 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - General, International, or Comparative
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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