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By the Treaty of Utrecht (1713), Victor Amadeus II (reigned 1675–1730) was raised in 1713 from duke to the status of a king as ruler of Sicily

During the French Revolutionary and Napoleonic Wars (1792–1815), only Sardinia remained free of French control, but in 1815, Victor Emmanuel I (reigned 1802–21) added Genoa to the family’s holdings

At the beginning of the Risorgimento, the territory of the house of Savoy, centred on Piedmont, was unique among Italian states for its freedom from foreign influence and for its relative military strength. A liberal revolution in 1821 forced Victor Emmanuel I to abdicate in favour of his brother, Charles Felix. On the death of the latter in 1831, Charles Albert, of the Carignano branch of the family, obtained the throne. He contributed to the cause of unification under Piedmont’s leadership by modernizing his government

and fighting against Austrian power in Italy in the First War of Independence of 1848–49. Under his son Victor Emmanuel II (reigned 1849–1878, king of Italy from 1861), who supported Piedmont’s prime minister, Count Cavour, in the diplomatic maneuvering immediately before unification, the Kingdom of Italy was formed with the house of Savoy at its head

Victor Emmanuel III (reigned 1900–46), who remained as figurehead king during the Fascist regime, abdicated in 1946, at the end of World War II, in favour of his son Umberto II in an attempt to save the monarchy, but the Italian people voted in a referendum of June 2, 1946, for a republic, ending the rule of the house of Savoy

No longer royal, the Savoy family moved abroad, and the monarchist movement, strong in the 1950s, went into decline

The French leader has a growing fan club: in France, the US and across the globe, among people who see him as the polar opposite, the perfect antithesis of his counterpart in the White House.

Macron himself never planned any of this. When he first thought of running for the presidency, the chances of a Trump in the White House seemed too ludicrous to contemplate.

Just as in domestic politics doors seemed to open miraculously for President Macron, so in the world of international affairs shifts of power and ideology are also working in his favour - for now. Media playback is unsupported on your device

With its perpetual harping on about ideals and morals, France's capacity to irritate is prodigious. Perhaps it will not be long before Macron loses his touch and the world starts panting for his comeuppance.

ultimately he will have to be unpopular, and therefore I doubt very much he will be changing tack in any real way.”

In 1730 Victor Amadeus abdicated in favour of his son, Charles Emmanuel III, but, when he changed his mind and attempted to reassume his throne, Charles Emmanuel had him arrested (1731) and confined for the remainder of his years

Many, exceptionally for France, are also minorities, and 50 percent are women. After the last elections, one researcher found a mere 12 members of Parliament of minority origin, barely 2 percent of the legislature — hardly representative of France’s diverse population.

Like Mr. Berville, over 50 percent have never held political office (only 5 percent are incumbents), and their average age is under 50. Mr. Berville is not even the youngest.

“People are needing renewal. They’re needing change,” said a farmer listening to Mr. Berville, Olivier Bruyant, who later gave the candidate a bunch of organic carrots.

But even more significant: The predicted majority for Mr. Macron, 39, would put the finishing touches on the new president’s dismantling of the parties that held power in France for 50 years until he came along.

The incumbent opposing Mr. Berville in the Côtes-d’Armor department, the Socialist Viviane Le Dissez, does not even give her party’s name on the cover of campaign literature.

He speaks fluently about developing-world economic strategies, says he has never been the subject of racial discrimination in a part of France where there are few immigrants and shrewdly recognizes the exoticism of his appeal to the voters.

Mr. Macron wants to open up unemployment benefits to independent workers, while loosening up the rigid French labor code to make it easier to hire and fire. His candidate in Brittany had no difficulty defending a program “liberating energies and protecting individuals,” as he put it.

Alassane Ouattara, president of Ivory Coast and a former central banker himself, was a strong supporter of the CFA franc, ritually praising its stability and solidity. For a certain class of entrepreneur, the currency has indeed been excellent news. Large French companies — such as Bolloré, EDF, Orange, Total and Veolia — could invest knowing that they were protected against devaluation by the French state. For the African elites that did business with them, the overvalued CFA franc in their pocket could easily pay for imported luxuries. 

Like the CFA franc, French soldiers breed resentment. Some argue they help bring stability, others that they foster the very resentment they have been sent to quell. If the special relationship is over, more people could start asking what they are doing there.

Pence could have come and spoken about the common challenge facing the alliance from China—which is what many Europeans and Americans expected him to do.

He did not choose that path, possibly fearing that it would be shot down by a president who has repeatedly rejected the idea of working with the EU on China.

There was also a notable absence. French President Emmanuel Macron canceled his joint appearance with Merkel after a dispute about the EU’s energy policy. The French are exasperated with the Germans, with whom they believe they cannot and will not work on needed reforms to the EU. The Germans, on the other hand, see the French as hopelessly nationalist, dreaming of Franco-German leadership with nothing to offer the Italians, the Poles, or others

With no explanation for the U-turn, Pence demanded that the EU now withdraw from the JCPOA. His message was clear: Under Trump, the alliance means getting behind whatever Washington decides, even if that changes weekly.

Thomas Kleine-Brockhoff of the German Marshall Fund astutely observed that Merkel “was finally playing the role that American liberals had wanted her to play—that of leader of the free world.”

The German and British defense ministers and the EU High Representative all seemed stuck in the mid-2000s, offering little on the great-power competition unfolding around them.

The administration’s national-security strategy of great-power competition wasn’t mentioned, nor was election interference, which Trump’s intelligence chiefs identified as a top threat facing the United States.

Meanwhile, the British have just decided to continue to work with the Chinese technology firm Huawei, cutting against the prevailing winds in Western democracies. This is the sort of concrete issue that should have been discussed by the alliance

In Munich, Yang Jiechi, a senior Chinese official, gave a long and meandering speech about win-win solutions and the benefits of multilateralism, which was completely at odds with China’s increasingly assertive and disruptive behavior.

Russian Foreign Minister Sergey Lavrov and Iranian Foreign Minister Mohammad Javad Zarif reveled in the disarray between the allies and sought to drive a wedge between them, weaponizing the Trump administration’s rhetoric about sovereignty.

There is a big problem. Western leaders are retreating into their foxholes, taking potshots at one another, rather than figuring out how to deal with new challenges

A bigoted Roman Catholic, Henry was rigorous in the repression of Protestantism, which was approaching the zenith of its power in France.

In foreign affairs Henry continued his father’s warfare against the Holy Roman emperor Charles V

He left four sons by his marriage to Catherine de Médicis: the future kings Francis II, Charles IX, and Henry III and François

Claude, who married Charles III the Great, Duke of Lorraine

Margaret, who married Henry of Navarre (the future Henry IV)

The report did not name any of the 35 world leaders that were allegedly on in the list. However, few months after the initial reports, the German government publicly said it had information that suggested the US might have monitored Merkel's cell phone.

Denmark's independent public service broadcaster, DR, published a report on Sunday saying that the Danish Defense Intelligence Service (FE) had launched an internal investigation in 2014 over whether the NSA used its partnership with FE, and Danish internet cables in and out of Denmark, to spy on senior European officials, according to Reuters.

Merkel on Monday said she agreed with French President Emmanuel Macron's assertion that wiretapping between allies was unacceptable. "Nothing has changed in our stance to the clarification given by the predecessor at the time," Merkel said, referencing the initial claims raised in 2013.

The DR report also found that the NSA spied on Germany's then-foreign minister, Frank-Walter Steinmeier, who is now the country's president, and the former German opposition leader Peer Steinbrück, Reuters reported.

DR reported that the intelligence was gathered through an analysis of software known as Xkeyscore, developed by the NSA. Reuters reported that the agency "intercepted both calls, texts and chat messages to and from telephones of officials in the neighbouring countries," citing the DR report.

“When you’ve aroused your supporters with political arguments about us versus them, they are not opponents but enemies who must be fought with all means, and it both leads to violence and makes conceding power impossible.”

In France, Marine Le Pen, head of the far-right National Rally, is expected to mount another significant challenge to President Emmanuel Macron in the 2022 election. She was firm in supporting Mr. Trump, praised his election and Brexit as precursors to populist success in France and echoed his insistence that the American election was rigged and fraudulent.

after the violence, which she said left her “very shocked,” Ms. Le Pen pulled back, condemning “any violent act that aims to disrupt the democratic process.

Thierry Baudet, another high-profile Dutch populist, has aligned himself with Mr. Trump and the anti-vaccination movement, and in the past has called the independence of the judiciary and a “phony parliament” into question.

Even if populist leaders seem shaken by the events in Washington and nervous about further violence at the inauguration on Jan. 20, there remains considerable anxiety among mainstream politicians about anti-elitist, anti-government political movements in Europe, especially amid the confusion and anxiety produced by the coronavirus pandemic.

“Now the most pressing issue is Covid-19, but it’s not at all clear how politics will play out post-pandemic,” he said. “But,” he added, “the fear of the worst helps to avoid the worst.”

If economies tank and populists gain power in France or Italy, he said, “God forbid when Europe faces the next crisis.”

In Poland, the government has been very pro-Trump and public television did not acknowledge his electoral defeat until Mr. Trump did himself, said Radoslaw Sikorski, a former foreign and defense minister who is now chairman of the European Parliament’s delegation for relations with the United States.

“With Trump’s defeat, there was an audible sound of disappointment from the populist right in Central Europe,” Mr. Sikorski said. “For them, the world will be a lonelier place.”

Similarly, Prime Minister Victor Orban of Hungary, a firm supporter of Mr. Trump, declined to comment on the riot. “We should not interfere in what is happening in America, that is America’s business, we are rooting for them and we trust that they will manage to solve their own problems,”

Enrico Letta, a former prime minister of Italy who is now dean of the Paris School of International Affairs at Sciences Po, said that Mr. Trump “gave credibility to the disruptive attitudes and approaches of populist leaders in Europe, so having him out is a big problem for them.” Then came the riot, he said, “which I think changed the map completely.”

Now, like Ms. Le Pen, Italian populist leaders have felt “obliged to cut their ties to some forms of extremism,”

“We even start to think that Brexit has been something positive for the rest of Europe, allowing a relaunch,” Mr. Letta said. “Nobody followed Britain out, and now there’s the collapse of Trump.”

In 2008, rumors again circulated online that a candidate was being fed answers during a debate. Ann Althouse, a law professor and conservative blogger, wrote that close-up TV stills showed that Barack Obama “was wearing an earpiece” during a debate with John McCain.

2000, when Rush Limbaugh, the right-wing radio host, accused then-candidate Al Gore of getting answers fed to him through an earpiece during a “Meet the Press” appearance.

Four years later, during the 2004 presidential debates, rumors circulated among left-wing bloggers that George W. Bush was getting help from a surreptitiously placed earpiece.

In 2016, the rumor appeared again, this time attached to Hillary Clinton, who was accused by right-wing websites of wearing a secret earpiece. (One such story, which appeared on the conspiracy theory website Infowars, was shared by Donald Trump Jr. and other pro-Trump influencers.)

Foreign politicians, including Emmanuel Macron of France, have also been baselessly accused of wearing earpieces during debates.

But the idea of a hidden helper giving one side an unfair debate advantage has proved seductive to campaign operatives trying to explain away a lopsided debate, or sow doubts about cheating on the other side.

France underwent a strict monthlong lockdown in November and was able to reduce the infection rate from a record high of more than 60,000 confirmed cases in a single day, down to 14,000.

News of the president's infection comes just weeks before France is set to receive 1.16 million doses of the Pfizer-BioNTech vaccine.

Yet the most striking illustration of this convergence is the harmonious relationship between the European center right and Giorgia Meloni, the leader of the post-fascist Brothers of Italy, who became prime minister of Italy last year. As soon as she indicated that she would not disrupt the bloc’s economic policy and would be supportive of Ukraine, the European People’s Party was willing to work with her — and its leader, Manfred Weber, even sought to form an alliance with her. The center right, it turns out, doesn’t have a problem with the far right. It just has a problem with those who defy E.U. institutions and positions.

Such thinking is behind the hardening of migration policy. But it is also influencing Europe in a deeper way: The union has increasingly come to see itself as defending an imperiled European civilization, particularly in its foreign policy. During the past decade, as the bloc has seen itself as surrounded by threats, not least from Russia, there have been endless debates about “strategic autonomy,” “European sovereignty” and a “geopolitical Europe.”

figures like President Emmanuel Macron of France have also begun to frame international politics as a clash of civilizations, in which a strong, united Europe must defend itself.

Supporters of the bloc tend to see European unity as an end in itself — or to assume that a more powerful European Union, long idealized as a civilizing force in international politics, would automatically benefit the whole world

as the union unites around defending a threatened European civilization and rejecting nonwhite immigration, we need to think again about whether it truly is a force for good.

“We’ve tried to rap in pure French, but nobody was listening to us,” said Jean Patrick Niambé, known as Dofy, a 24-year-old Ivorian hip-hop artist listening to Marla on the rooftop. “So we create words from our own realities, and then they spread.”

The youth population in Africa is surging while the rest of the world grays. Demographers predict that by 2060, up to 85 percent of French speakers will live on the African continent. That’s nearly the inverse of the 1960s, when 90 percent of French speakers lived in European and other Western countries.

Nearly half of the countries in Africa were at one time French colonies or protectorates, and most of them use French as their official language.

President Emmanuel Macron of France said in a 2019 speech: “France must take pride in being essentially one country among others that learns, speaks, writes in French.”

Even as the winner-take-all economy has enriched those at the very top, their tax burden has lightened. Tolerance for high executive compensation has increased, even as the legal powers of unions have been weakened and an intellectual case against them has been relentlessly advanced by plutocrat-financed think tanks. In the 1950s, the marginal income tax rate for those at the top of the distribution soared above 90 percent, a figure that today makes even Democrats flinch. Meanwhile, of the 400 richest taxpayers in 2009, 6 paid no federal income tax at all, and 27 paid 10 percent or less. None paid more than 35 percent.

Educational attainment, which created the American middle class, is no longer rising. The super-elite lavishes unlimited resources on its children, while public schools are starved of funding. This is the new Serrata. An elite education is increasingly available only to those already at the top.

America’s Serrata also takes a more explicit form: the tilting of the economic rules in favor of those at the top.

The first is to channel the state’s scarce resources in their own direction

Exhibit A is the bipartisan, $700 billion rescue of Wall Street in 2008. Exhibit B is the crony recovery. The economists Emmanuel Saez and Thomas Piketty found that 93 percent of the income gains from the 2009-10 recovery went to the top 1 percent of taxpayers. The top 0.01 percent captured 37 percent of these additional earnings, gaining an average of $4.2 million per household.

The second manifestation of crony capitalism is more direct: the tax perks, trade protections and government subsidies that companies and sectors secure for themselves.

Stiglitz has made the case that the rise in inequality in the US, far from being the natural outcome of market forces, has been profoundly shaped by “our policies and our politics,” with disastrous effects on society and the economy as a whole. In a recent report for the Roosevelt Institute called Rewriting the Rules, Stiglitz has laid out a detailed list of reforms that he argues will make it possible to create “an economy that works for everyone.”

his entire career in academia has been devoted to showing how markets cannot always be counted on to produce ideal results. In a series of enormously important papers, for which he would eventually win the Nobel Prize, Stiglitz showed how imperfections and asymmetries of information regularly lead markets to results that do not maximize welfare.

He also argued that this meant, at least in theory, that well-placed government interventions could help correct these market failures

in books like Globalization and Its Discontents (2002) he offered up a stinging critique of the way the US has tried to manage globalization, a critique that made him a cult hero in much of the developing world

Stiglitz has been one of the fiercest critics of the way the Eurozone has handled the Greek debt crisis, arguing that the so-called troika’s ideological commitment to austerity and its opposition to serious debt relief have deepened Greece’s economic woes and raised the prospect that that country could face “depression without end.”

For Stiglitz, the fight over Greece’s future isn’t just about the right policy. It’s also about “ideology and power.

there’s a good case to be made that the sheer amount of rent-seeking in the US economy has expanded over the years. The number of patents is vastly greater than it once was. Copyright terms have gotten longer. Occupational licensing rules (which protect professionals from competition) are far more common. Tepid antitrust enforcement has led to reduced competition in many industries

The Great Divide is somewhat fragmented and repetitive, but it has a clear thesis, namely that inequality in the US is not an unfortunate by-product of a well-functioning economy. Instead, the enormous riches at the top of the income ladder are largely the result of the ability of the one percent to manipulate markets and the political process to their own benefit.

Inequality obviously has no single definition. As Stiglitz writes:There are so many different parts to America’s inequality: the extremes of income and wealth at the top, the hollowing out of the middle, the increase of poverty at the bottom. Each has its own causes, and needs its own remedies.

his preoccupation here is primarily with why the rich today are so much richer than they used to be.

the main reason people at the top are so much richer these days than they once were (and so much richer than everyone else) is not that they own so much more capital: it’s that they get paid much more for their work than they once did, while everyone else gets paid about the same, or less

while incomes at the top have risen in countries around the world, nowhere have they risen faster than in the US.

One oft-heard justification of this phenomenon is that the rich get paid so much more because they are creating so much more value than they once did

as companies have gotten bigger, the potential value that CEOs can add has increased as well, driving their pay higher.

Stiglitz will have none of this. He sees the boom in the incomes of the one percent as largely the result of what economists call “rent-seeking.”

from the perspective of the economy as a whole, rent-seeking is a waste of time and energy. As Stiglitz puts it, the economy suffers when “more efforts go into ‘rent seeking’—getting a larger slice of the country’s economic pie—than into enlarging the size of the pie.”

The work of Piketty and his colleague Emmanuel Saez has been instrumental in documenting the rise of income inequality, not just in the US but around the world. Major economic institutions, like the IMF and the OECD, have published studies arguing that inequality, far from enhancing economic growth, actually damages it. And it’s now easy to find discussions of the subject in academic journals.

. After all, while pretax inequality is a problem in its own right, what’s most destructive is soaring posttax inequality. And it’s posttax inequality that most distinguishes the US from other developed countries

All this rent-seeking, Stiglitz argues, leaves certain industries, like finance and pharmaceuticals, and certain companies within those industries, with an outsized share of the rewards

within those companies, the rewards tend to be concentrated as well, thanks to what Stiglitz calls “abuses of corporate governance that lead CEOs to take a disproportionate share of corporate profits” (another form of rent-seeking)

This isn’t just bad in some abstract sense, Stiglitz suggests. It also hurts society and the economy

It alienates people from the system. And it makes the rich, who are obviously politically influential, less likely to support government investment in public goods (like education and infrastructure) because those goods have little impact on their lives.

More interestingly (and more contentiously), Stiglitz argues that inequality does serious damage to economic growth: the more unequal a country becomes, the slower it’s likely to grow. He argues that inequality hurts demand, because rich people consume less of their incomes. It leads to excessive debt, because people feel the need to borrow to make up for their stagnant incomes and keep up with the Joneses. And it promotes financial instability, as central banks try to make up for stagnant incomes by inflating bubbles, which eventually burst

exactly why inequality is bad for growth turns out to be hard to pin down—different studies often point to different culprits. And when you look at cross-country comparisons, it turns out to be difficult to prove that there’s a direct connection between inequality and the particular negative factors that Stiglitz cites

This doesn’t mean that, as conservative economists once insisted, inequality is good for economic growth. In fact, it’s clear that US-style inequality does not help economies grow faster, and that moving toward more equality will not do any damage

Similarly, Stiglitz’s relentless focus on rent-seeking as an explanation of just why the rich have gotten so much richer makes a messy, complicated problem simpler than it is

When we talk about the one percent, we’re talking about two groups of people above all: corporate executives and what are called “financial professionals” (these include people who work for banks and the like, but also money managers, financial advisers, and so on)

The emblematic figures here are corporate CEOs, whose pay rose 876 percent between 1978 and 2012, and hedge fund managers, some of whom now routinely earn billions of dollars a year

Shareholders, meanwhile, had fewer rights and were less active. Since then, we’ve seen a host of reforms that have given shareholders more power and made boards more diverse and independent. If CEO compensation were primarily the result of bad corporate governance, these changes should have had at least some effect. They haven’t. In fact, CEO pay has continued to rise at a brisk rate

So what’s really going on? Something much simpler: asset managers are just managing much more money than they used to, because there’s much more capital in the markets than there once was

that means that an asset manager today can get paid far better than an asset manager was twenty years ago, even without doing a better job.

there’s no convincing evidence that CEOs are any better, in relative terms, than they once were, and plenty of evidence that they are paid more than they need to be, in view of their performance. Similarly, asset managers haven’t gotten better at beating the market.

More important, probably, has been the rise of ideological assumptions about the indispensability of CEOs, and changes in social norms that made it seem like executives should take whatever they could get.

It actually has important consequences for thinking about how we can best deal with inequality. Strategies for reducing inequality can be generally put into two categories: those that try to improve the pretax distribution of income (this is sometimes called, clunkily, predistribution) and those that use taxes and transfers to change the post-tax distribution of income

he has high hopes that better rules, designed to curb rent-seeking, will have a meaningful impact on the pretax distribution of income. Among other things, he wants much tighter regulation of the financial sector

t it would be surprising if these rules did all that much to shrink the income of much of the one percent, precisely because improvements in corporate governance and asset managers’ transparency are likely to have a limited effect on CEO salaries and money managers’ compensation.

Most importantly, the financial industry is now a much bigger part of the US economy than it was in the 1970s, and for Stiglitz, finance profits are, in large part, the result of what he calls “predatory rent-seeking activities,” including the exploitation of uninformed borrowers and investors, the gaming of regulatory schemes, and the taking of risks for which financial institutions don’t bear the full cost (because the government will bail them out if things go wrong).

The redistributive policies Stiglitz advocates look pretty much like what you’d expect. On the tax front, he wants to raise taxes on the highest earners and on capital gains, institute a carbon tax and a financial transactions tax, and cut corporate subsidies

It’s also about investing. As he puts it, “If we spent more on education, health, and infrastructure, we would strengthen our economy, now and in the future.” So he wants more investment in schools, infrastructure, and basic research.

The core insight of Stiglitz’s research has been that, left on their own, markets are not perfect, and that smart policy can nudge them in better directions.

Of course, the political challenge in doing any of this (let alone all of it) is immense, in part because inequality makes it harder to fix inequality. And even for progressives, the very familiarity of the tax-and-transfer agenda may make it seem less appealing.

the policies that Stiglitz is calling for are, in their essence, not much different from the policies that shaped the US in the postwar era: high marginal tax rates on the rich and meaningful investment in public infrastructure, education, and technology. Yet there’s a reason people have never stopped pushing for those policies: they worked

If we had the same income distribution in the United States that we did in 1979, the top 1 percent would have $1 trillion less today [in annual income], and the bottom 80 percent would have $1 trillion more. That works out to about $700,000 [a year for] for a family in the top 1 percent, and works out to about $11,000 a year for a family in the bottom 80 percent.

he is “all for” more schooling and job training, but as an answer to the problems of the job marketplace, “it is fundamentally an evasion.”

“The core problem,” according to Summers, is thatthere aren’t enough jobs, and if you help some people, you can help them get the jobs, but then someone else won’t get the jobs. And unless you’re doing things that are affecting the demand for jobs, you’re helping people win a race to get a finite number of jobs, and there are only so many of them.

The lion’s share of the income of the top 1 percent is concentrated in the top 0.1 percent and 0.01 percent. The average income of the top 1 percent in 2013, according to data provided by Emmanuel Saez, a Berkeley economist, was $1.2 million, for the top 0.1 percent, $5.3 million, and for the top 0.01 percent, $24.9 million.

In other words, any attempt to correct the contemporary pattern in income distribution would require large and controversial changes in tax policy, regulation of the workplace, and intervention in the economy to expand employment and to raise wages.

To counter the weak employment market, Summers called for major growth in government expenditures to fill needs that the private sector is not addressing:In our society, whether it is taking care of the young or taking care of the old, or repairing a lot that needs to be repaired, there is a huge amount of very valuable work that needs to be done. It’s much less clear, to use a modern phrase, that there’s a viable business model for getting it done. And I guess the reason why I think there is going to need to be a lot of reflection on the role of government going forward is that, if I’m right, that there’s vitally important work to be done for which there is no standard capital business model that will get it done. That suggests important roles for public policy.

the report calls for tax and regulatory policies to encourage employee ownership, the strengthening of collective bargaining rights, regulations requiring corporations to provide fringe benefits to employees working for subcontractors, a substantial increase in the minimum wage, sharper overtime pay enforcement, and a huge increase in infrastructure appropriations – for roads, bridges, ports, schools – to spur job creation and tighten the labor market.

Summers also calls for significant increases in the progressivity of the United States tax system.

He advocates aggressive steps to eliminate “rents” — profits that result from monopoly or other forms of government protection from competition. Summers favors attacking rents in the form of “exclusionary zoning practices” that bid up the price of housing, “excessively long copyright” protections, and financial regulations “providing implicit subsidies to a fortunate minority.”

Signaling that he now finds himself on common ground with stalwarts of the Democratic left like Elizabeth Warren and Joe Stiglitz, Summers adds, “Government needs to try to make sure everyone can get access to financial markets on an equal basis.”

Summers supports looking past income inequality to the distribution of wealth. During our conversation, he pointed out that “a large fraction of capital gains escapes taxation entirely” through “the stepped up basis at death.”

The idea that an economy could suffer from a persistent shortage of demand is an enormous switch for Summers or anyone who had been adhering to the economic orthodoxy in the three decades prior to the crisisin 2008. Baker goes on to argue that Summers “now recognizes that the financial system needs serious regulation.”

Many of the policies outlined by Summers — especially on trade, taxation, financial regulation and worker empowerment — are the very policies that divide the Wall-Street-corporate wing from the working-to-middle-class wing of the Democratic Party. Put another way, these policies divide the money wing from the voting wing.

Summers has forced out in the open a set of choices that Hillary Clinton has so far avoided, choices that even if she attempts to elide them will amount to a signal of where her loyalties lie.