Allison Schrager is a Bloomberg Opinion columnist covering economics. A senior fellow at the Manhattan Institute, she is author of “An Economist Walks Into a Brothel: And Other Unexpected Places to ...

Faced with the collapse of their argument that income inequality has risen dramatically in recent decades, Sen. Elizabeth Warren’s favorite economists have come back with an even more audacious claim.

Growing economic inequality is either “a major issue of our time” or “a defining challenge of our time,” depending on your taste for hyperbole. Given America’s recent experience, however, I would like ...