Oddbean

Important context is that this policy only applies to individuals with over $100 million in net worth. A lot of ignoramuses point at that figure and say “no one needs that much money, therefore we should take it from them”. What would happen if this policy were implemented? Anyone with over $100 million in wealth would either: 1. Watch their capital in excess of $100 million be destroyed over the next several years. 2. Leave the country People don’t realize that capital seized by the state rarely is redistributed in an effective manner. It is best approximated that that capital is destroyed.

Why do you think that the bar won’t be quickly lowered? It will be sweet pilled by a very low percentage for people with net worth of say $1.5 million, $700k, pick a range. The minimum worth will keep dropping and the percentage will creep up. Just like it did with income tax which was also initially touted as a tax only on the super rich. And who is the arbiter of value on unsold assets? IRS: Sure is a nice looking $750k house you got there. Don’t worry, your net worth isn’t too high, and we’re only requiring you pay 7% each year to keep it. You: it’s only worth $400k at best! IRS: you’re under arrest.