Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
HIs historical argument is in line with Braudel who claim that capital accumulation was not a factor to precipitate the industrial revolution. There was rather too mmuch capital and too little investment opportunities in Europe from the 16:th century at least.

I'm looking forward to the coming installments.

by chumchu on Thu May 22nd, 2014 at 05:41:05 AM EST
One problem is that it can be circular thinking. Was there too little investment opportunities over 5% return? Because if some capital is not invested, then surely that should bring down the average rate of return.

Could it be that Piketty's historical rates are the ones that were invested, while much capital actually stayed idle without appearing on the radar?

Earth provides enough to satisfy every man's need, but not every man's greed. Gandhi

by Cyrille (cyrillev domain yahoo.fr) on Thu May 22nd, 2014 at 10:28:15 AM EST
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