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Case for a 90% Wealth Tax on Billionaires Over $1B (Reduces Inequality Without Mass Exodus)

Revenue boost and fairness: Such a tax could generate massive funds for public goods (e.g., infrastructure, education) while addressing skyrocketing inequality—billionaires’ effective tax rates are often below those of average workers.43fda1 Studies show high taxes on the wealthy consistently increase revenue, not lose it to migration.81fd4a

fightinequality.org

fiscalpolicy.org

Migration myth busted: Billionaire “flight” is rare and overstated; most stay due to family, networks, and business ties.da434dc8e6cc8e104f Even in cases like Denmark or Spain, responses are marginal (e.g., 2% drop in wealthy taxpayers per 1% tax hike), with little impact on the tax base.24f20ef22a1e

forbes.com

youtube.com

time.com

nber.org

asanet.org

Innovation not killed: Historical high-tax eras (e.g., post-WWII U.S.) saw booming growth; effects on entrepreneurship are often negligible, and lower taxes just inflate executive pay without broader benefits.e70c30

sociology.cornell.edu

Case Against It (Stifles Growth and Sparks Flight)

Capital flight risk: While not mass exodus, some billionaires do relocate (e.g., to low-tax states like Florida/Texas), taking investments and jobs—California’s proposed wealth tax has already prompted exits, costing billions in potential revenue.b031ed14d61f European repeals of wealth taxes cite avoidance and migration as factors.e9807d

massopportunity.org

pulj.org

taxfoundation.org

Kills innovation and growth: High wealth taxes disincentivize risk-taking, entrepreneurship, and long-term investment, reducing wages and jobs.e8ae4e Studies show wealth taxes hit accumulation harder than income taxes, potentially slowing economic progress.82dbcd

taxfoundation.org

tax.kenaninstitute.unc.edu

Unintended consequences: Could widen inequality via wage adjustments (rich earn more pre-tax to offset) or push avoidance schemes, not real reform.110338

cristobalyoung.com

My take: A 90% rate is extreme and likely counterproductive—evidence suggests moderate wealth taxes (e.g., 2-3%) raise revenue without significant harm, but 90% risks real flight and innovation drag.400872 Better: Global coordination to curb havens. What do you think—fair shot or economic suicide? 😏

heraldnet.com