Abstract
Prepared for the G20 Insights platform during the German G20 presidency, the paper argues that the world is at the start of a deep political convulsion caused by how technological change shapes the creation and distribution of wealth. Wage stagnation since the 1970s, a shrinking middle class and rising inequality amount to a breach of the social contract that feeds radical politics. The authors call for the underlying drivers to be diagnosed and addressed through bold policy responses.


