Wealth tax would be deadly for French economy, says Europe's richest man

Wealth tax as a “knob,” not a switch

• One line of argument: treat wealth tax like a controllable parameter—raise slowly, observe effects, adjust.
• Objection: if “bad effects” mean ultra-wealthy flight, that’s hard to reverse once assets and people have moved.
• Counter‑objection: many ask whether rich leaving is inherently “bad,” especially if it reduces political capture and rent‑seeking.

Will the rich actually leave?

• Longtime observers of France note repeated media cycles claiming the rich are fleeing, yet most stay or return.
• Examples raised: France’s past wealth tax, and wealthy migration stories to Switzerland, Russia, the US, Italy.
• Some links and anecdotes claim “millionaire flight” is largely a myth; the rich are often tied to domestic assets and markets.
• Others cite France’s prior wealth tax as having reduced investment and revenue, arguing this drove its repeal.

Effects on investment and the “need” for ultra-wealthy

• One side: if an economy is based on producing real value, losing ultra‑rich asset managers is fine or beneficial.
• Other side: substantial capital is needed for machinery, startups, etc., and most large funding channels (VC, banks, funds) ultimately trace back to wealthy capital.
• Counterpoint: data shared that much US startup capital comes from institutions (e.g., pension funds), not directly from ultra‑rich individuals.

Inequality, zero‑sum views, and what to tax

• Many see growing wealth/income inequality as requiring action; some favor wealth taxes, others higher income, capital gains, inheritance, and land‑value taxes.
• Debate over whether the economy is zero‑sum: some argue many resources (land, attention, time, food, water) are finite, making large fortunes socially costly.
• Others emphasize that even a small recurring wealth tax can be equivalent to a very high effective capital‑gains rate and may push capital abroad.

Normative and ethical stances

• Some commenters openly welcome a “wealth exodus,” suggesting sanctions or asset‑based measures for those who built fortunes domestically then flee.
• Others frame such approaches as outright theft and insist inequality per se isn’t the issue; the problem is too low a floor for the worst‑off.
• Several stress that extreme inequality distorts democracy and that “the economy” is often just shorthand for one’s own interests.

Alternative redistribution ideas

• A proposal to give every newborn shares in major firms (vesting over time) draws criticism as continuous dilution/inflation and likely to revert via poor selling to rich.
• Follow‑up discussion contrasts one‑off redistributions with ongoing mechanisms (e.g., sovereign wealth funds, basic income) to counter re‑concentration of wealth.