Abstract
Relationships with an entangled political economy are affected by cultural and social habits, norms and practices influencing the extent to which people are prepared to engage one another. Certain governments have adopted regulatory and fiscal policies that perpetuate status distinctions between groups of people, worsening inequality as a result. Policies entrenching the likes of sexism, racism, and xenophobia have restricted opportunities for individuals to voluntarily establish their own mutually beneficial connections with others.
This chapter describes the processes through which discriminatory treatment towards certain groups potentially magnifies unequal distributions of income and wealth. Inequality is exacerbated when animosity towards so-called out-groups, reflected in discriminatory policy treatment, manifests a widespread exclusion from voluntary network interactions of economic value.
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Novak, M. (2018). Social Exclusion. In: Inequality. Palgrave Studies in Classical Liberalism. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-89417-1_6
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