The paper by Ostry, Berg, and Tsangarides explores the relationship between inequality, redistribution, and growth. It highlights that more unequal societies tend to engage in more redistribution, and lower net inequality is associated with faster and more durable growth. The authors use a recently compiled cross-country dataset that distinguishes market inequality from net inequality and calculates redistributive transfers for a large number of country-year observations. Their findings suggest that redistribution generally has a pro-growth effect, even though it may have direct negative effects in extreme cases. The paper also examines the duration of growth spells, finding that lower net inequality is linked to longer and more sustained growth. Overall, the evidence does not support the notion that there is a significant trade-off between redistribution and growth.The paper by Ostry, Berg, and Tsangarides explores the relationship between inequality, redistribution, and growth. It highlights that more unequal societies tend to engage in more redistribution, and lower net inequality is associated with faster and more durable growth. The authors use a recently compiled cross-country dataset that distinguishes market inequality from net inequality and calculates redistributive transfers for a large number of country-year observations. Their findings suggest that redistribution generally has a pro-growth effect, even though it may have direct negative effects in extreme cases. The paper also examines the duration of growth spells, finding that lower net inequality is linked to longer and more sustained growth. Overall, the evidence does not support the notion that there is a significant trade-off between redistribution and growth.