Faculty of Humanities and Social Sciences

Oxford Brookes professor on international panel to address the political causes and implications of declining wages

Wednesday, 11 May 2011

The relative share of the total product that goes to wages as opposed to profits has declined in most capitalist democracies over the last three decades. Since most taxes are taken from wage income rather than profits, this contributes to a diminishing tax base and hence fiscal challenges for the welfare state. What are the causes of this and to what extent does it contribute to the financial crisis? What are the effects of the falling wage share when dealing with the aftermath of the financial crisis? These are some of the under-researched questions that Professor Magnus Ryner (currently on university research sabbatical at the Copenhagen Business School) was invited to address at a conference held in Stockholm on 5-6 May  together with colleagues from, amongst others, the Organisation of Economic Cooperation and Development (OECD), the International Labour Office (ILO) and the European Commission. The conference was organised and sponsored by the Friedrich Ebert Foundation and the Charles & Elin Lindley Foundation.