On the other hand, "excessive inequality is not conducive to sustainable growth" either, as Christine Lagarde rightly stated.1 Excessive inequality can harm growth because it dampens the prospect for a significant part of the population of ever participating in the country’s prosperity.
And so it is a matter of course that in most countries, the public sector shares in individuals’ income to a certain degree by imposing taxes, with the majority of these countries imposing progressive taxes. This enables the public sector to supply public goods.