The World Inequality Report 2018 compiled by top economists including Thomas Piketty and Emmanuel Shaez tells us what we already know – for 40 years the rich have been getting

richer and the poor poorer.

So far, so obvious.

The remedies, says the report, are subsidised education and progressive taxation.

In 1980 it says the USA and Europe had similar levels of inequality in 1980, with the top 1% holding about 10% of income.

But, by 2016, Europe’s top 1% held a 12% income share, compared with 20% in the USA.

The discrepancy came about because the US tax system became less progressive, while European policies provided more support for education, which benefited lower- and middle-income families.

The report says that the transfer of public wealth to the private sector has left governments without the resources needed to invest enough in education, health and other measures to help counter inequality.

“While national wealth has substantially increased, public wealth is now negative or close to zero in rich countries,” it said.

Following Europe’s example in adopting policies to benefit middle- and low-income earners could help counter the trend toward extreme inequality, it said.