Sure, there are other factors. Taxes are like prices, states and countries are competing on them. If you can make up for high taxes, that's fine, but at some po

Sure, there are other factors. Taxes are like prices, states and countries are competing on them. If you can make up for high taxes, that's fine, but at some point it becomes a shitty deal, so people won't show up anymore. If you are rich, you can just retire in any country and preserve your wealth for yourself and your children. A wealth tax of 2-3% would enormous. Combined with an average capital gains tax, the incentive to get the capital out of the US becomes huge. Yet, even 2-3% doesn't bring in that much money relative to deficit spending and stimulus bills, so who is to say it's going to stop there? If you're clueless enough to go with a 2-3% wealth tax, you're clueless enough to go with 5% and more (Warren).