Editing Plutocracy (section)

==Causation==
Reasons why a plutocracy develops are complex.{{citation needed|date=June 2024}} In a nation that is experiencing rapid economic growth, [[income inequality]] will tend to increase as the rate of return on innovation increases.<ref>{{Cite book|last=Piketty|first=Thomas|title=Capital in the Twenty-First Century|publisher=Harvard University Press|year=2013|isbn=9781491534649}}</ref> In other scenarios, plutocracy may develop when [[state collapse|a country is collapsing]] due to [[resource depletion]] as the elites attempt to hoard the diminishing wealth or expand debts to maintain stability, which will tend to enrich [[creditors]] and [[financiers]]. Economists have also suggested that free market economies tend to drift into monopolies and oligopolies because of the greater efficiency of larger businesses (see [[economies of scale]]).

Other nations may become plutocratic through [[kleptocracy]] or [[rent-seeking]].{{citation needed|date=February 2024}}