`Piketty theory is unsuitable for Korea,` says ex-presidential aide

French economist Thomas Piketty’s book "Capital in the Twenty-First Century," which was the talk of the global community this year, does not fit the situation in Korea, said Jo Won-dong, ChungAng University professor and former senior presidential secretary, at a forum hosted by Korea Employers Federation held in Seoul on Thursday.

Jo said there that Piketty is addressing the inequity of wealth fundamentally but when an economy is becoming difficult, the issue of inequity in wealth distribution could be distorted and give rise to double standards again. He stressed that there are issues in applying the Piketty theory to Korea without sufficient consideration.

On Piketty’s theory that savings are accumulation of wealth, Jo pointed out that it is not suitable for Korea, where investment drives growth. His saying could be interpreted that savings lead to investment in Korea.

On the issue of inequity of wealth, Jo said, "It needs more precise analysis, but rather than mindlessly attacking the rich, more attention needs to be on how to restore the middle class."