Caution in growth leads to maldistribution: Piketty-Kaldor paradox explained
The Piketty-Kaldor paradox of growth shows that lower growth rates can lead to higher saving rates, similar to how lower saving rates can lead to higher investment in the Keynesian paradox of thrift. This means that being too cautious with spending can cause a recession, while being too cautious with growth can lead to unequal distribution of wealth.