Excessive inequalities slow down economic growth

Press release
Warsaw, 30 September 2015
Excessive inequalities slow down economic growth
This year's European Forum for New Ideas commenced today aboard the Pendolino
train from Warsaw to Sopot. Participants of the warm-up debate entitled: All-inclusive
or All-exclusive: What Kind of Europe do We Want? included entrepreneurs,
economists, experts and journalists.
The attendees set out to find the answer to the question when inequalities trigger development and
when they pose a threat to the economy.
Piotr Stasiński, Deputy Editor-in-Chief of Gazeta Wyborcza, who moderated the debate, reminded
those present that inequalities are continuously growing in the world today and that the wages in
Western Europe have not yet bounced back to the figures reported in the years 2008-09.
Apparently, the threat we are faced with is a flat-wages economy. The existing model of capitalism
is being highly criticised today by not only leftist economists but also by liberal institutions, the likes
of the International Monetary Fund. Stasiński quoted Marek Belka, the President of the National
Bank of Poland, who had recently said that we should both increase wages and impose taxes on
the affluent and the flow of capital.
Henryka Bochniarz, President of the Polish Confederation Lewiatan, argued that the heated debate
around the issue of inequalities which has sparked up internationally could be conducive to new
solutions that might help us cope with a number of problems. Bochniarz added, however, that, in
her opinion, inequalities in Poland were diminishing. It is the poorest Poles that are becoming richer
faster than the rich - as is evidenced by the Social Diagnosis 2015 research conducted by professor
Janusz Czapiński.
Jakub Karnowski, CEO of PKP S.A., argued that the Gini Coefficient that is used to measure
inequalities has dropped in the past decade.
Another attendee, economist Andrzej Lubowski, cited the results of the latest surveys of the IMF
which demonstrated that excessive inequalities hamper economic growth and may actually be
detrimental to development.
According to Roman Młodkowski, a business consultant, inequalities that offer individuals an
opportunity to grow richer are a good thing. He argued however that the accumulation of the
world's riches in the hands of a small group of people could produce increasingly negative effects
for the economy.
Maciej Witucki, Chair of the Supervisory Board of Orange, forewarned against attempts to curb the
earnings of the richest few by imposing higher taxes.
"The most affluent do not pay the PIT. Such a solution would affect hired workers and well-paid
managers the most", he concluded.
Some attendees stressed that the massive wave of immigrants travelling across Europe at the
moment will contribute to the reinforcement of inequalities within the different societies.
Gazeta Wyborcza was the debate's partner.
***
THE EUROPEAN FORUM FOR NEW IDEAS is an international business congress attended by
prominent representatives of politics, culture, science, and media. It has been organised since 2011 by the
Polish Confederation Lewiatan in cooperation with BUSINESSEUROPE, the city of Sopot, and Polish and foreign companies
and organizations. The Forum is aimed at creating ideas for a strong Europe and a competitive economy, a Europe open to
trends of social growth and technology. This year's EFNI will be held on 30 September – 2 October 2015 in Sopot, and its
theme is: Europe and the World in the Face of Growing Inequality, Radicalism, and Geopolitical Threats
More information: www.efni.pl
Honorary patronage
Institutional partners
Strategic Partners
Opening Gala partner
Main partners
Supporting Partners
Knowledge partners
Logistics Partner
Official carrier
Executive Producer
President of the Republic of Poland, European Parliament
Polish Industrial Development Agency S.A., European Commission, National Centre
for Research and Development
MetLife, PKN ORLEN, PZU, Totalizator Sportowy, Dziennik Gazeta Prawna, Grupa
Onet.pl, TVP SA
Bank Pekao S.A.
Biznes.pl, BMW, Citi Handlowy, Discovery NETWORKS CEEMEA, Forbes, France 24,
Intel, Microsoft, Newsweek, Orange Polska, Parkiet, PKP S.A., Silvermedia
AMS, Bloomberg Businessweek Polska, Gazeta Wyborcza, Havas Worldwide,
Liberté!, McCANN Worldgroup, PAP Polish Press Agency, PGNiG SA, Polish
Association of Employers in Mining Industry, Pomeranian Special Economic Zone,
Puls Biznesu, Starcom MediaVest Group, Polish Association of Employers in
Transport and Logistics, Warsaw Business Journal Observer, Association of Private
Employers in Energy Industry, Digital Technology Employers Lewiatan
Ashoka, Aspen Institute Prague, Centre for International Relations, demosEUROPA
– Centre for European Strategy, ECFR, Institute of Public Affairs, POLITYKA
INSIGHT, Res Publica Nowa, THINKTANK, Global Compact in Poland – an Initiative
of the UN Secretary General, World Academy of Art and Science
Lech Wałęsa Airport in Gdańsk
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MEDIA CONTACT:
Zbigniew Maciąg, [email protected], phone number: +48 604 589 080