The need to maintain economic discipline in a changed environment, and to tackle rising inequality will, in any case, demand this.
OK, so inequality will be rising, will it?
First, Covid, plus Brexit will mean very limited, if any economic recovery in the year. The OBR suggested that growth might be 5% or so assuming no Covid second wave. That now looks to be fanciful. Presuming we are in lockdown for several months from mid January onwards, as Covid deaths exceed 1,000 a day, the likelihood of any recovery is remote. Brexit simply adds to the likelihood.
The recession will continue, perhaps get worse.
Believing both is fascinating. Because inequality falls in recessions. The richer among us gain more of their incomes from profit than the poorer. Profits fall faster and further than any other component of national income in a recession.
This is why inequality is today – by the Gini, 90/10, 80/20 and so on measures – is lower than it was in 2008.
But then this is the man with three economic professorships declaiming on the subject of economics.