Mapping modern economic rents: the good, the bad, and the grey areas

Abstract There is increasing consensus that modern capitalist economies suffer from excessive rent extraction in both financial and real economy sectors. However, scholars have yet to develop a coherent analytical framework for identifying the common characteristics of economic rents. In particular, there has been little attention paid distinguishing ‘good’ rents—key innovation growth—from ‘bad’ forms which contribute stagnation inequalities wealth income. This paper takes some first steps this direction. We review existing theory most pertinent distinction, including classical political economy, early twentieth century institutionalists, neoclassical perspectives Keynes’s analysis rentiers. Secondly, we map conceptualise key stylised features rents, drawing on descriptive empirical evidence. then identify questions these developments raise theory, elaborating new research policy agenda.