Matthew Rognlie on Piketty’s argument on capital and inequality

The Brookings Papers on Economic Activity conference started today and a bunch of papers were made public in connection with it. One of them is by Matthew Rognlie. The spirit of the paper seems to be encompassed in this concise statement from the web page at the link I just gave:

Capital income is not growing unboundedly at the expense of labor, and further accumulation of capital in fact most likely means a fall in capital’s share of total income – refuting one of the main theories of economist Thomas Piketty’s popular book Capital in the 21st Century.

Today is not a day that I can spend a lot of time reading and evaluating this paper, but I am posting this to prompt me to come back to it. Oh, and to point you to the paper as well, gentle readers.