Author: Cameron Hendy

What If Ayn Rand Was Right About Entrepreneurs and Inequality?

Few public figures have managed to consistently attract both sheer adoration and abject disgust quite like Russian-American author Ayn Rand. Fewer still have created an intellectual legacy with as much endurance as her radically individualistic philosophy of Objectivism. Atlas Shrugged remains a cherished favorite of venture capitalists and libertarian-leaning politicians all over the planet, with a notable stronghold in Washington D.C., perhaps even within the Oval Office itself. Rand’s literary influence is often derided as a mere reflection of the tractability and moral certitude afforded by her novels, her economic principles disregarded as patently ridiculous. Galt’s Gulch has attracted so much scorn as to become something of a joke, a way to easily scoff at the naive utopianism of laissez-faire capitalism. Rand and her largely philosophical economic views have been consigned to history as an interesting relic of sorts—a compelling, well-articulated fantasy that has no basis in reality. How then should we interpret new research from the Nation Bureau of Economic Research (NBER) that suggests her controversial description of the income inequality dynamic might have …