In this paper, we review the role of political economy in inclusive growth. We find that forces on demand and supply side have weakened redistribution over time contributed to a new wave populism. document growing support for rethink social contract make growth more discuss some its broad elements.

The authors propose measures to prevent a clash between the interests of the middle classes that are in decline in the mature economies and the rising ones in emerging markets. The aim is to stop de-globalization trends, avoid protectionism, foster inclusive technological innovation, compensate the losers of globalization in developed economies and reassure the winners in emerging economies. It...