Almost everything that happens in a market economy – skill-biased innovation, churning of firms – redistributes income in some way, and we have in place mechanisms to deal with those outcomes, such as tax systems.
3/7  BIS central bankers' speeches  Where trade may differ from these other market forces, however, is in the perception that, in Dani Rodrik’s words, it “undercuts the social bargains struck within a nation and embedded in its laws and regulations”.17 For example, increasing openness to trade and finance is perceived by some to shift the burden of taxation from footloose capital to labour, or to create pressures to reduce labour protections to boost the competitiveness of domestic producers – the “race to the bottom”.