4 ms·

As a former resident of France, here are the headlines I observed through the years: The wealthy abandoned France in 2000 and moved to Switzerland. They aband

by yardie 1y ago

As a former resident of France, here are the headlines I observed through the years: The wealthy abandoned France in 2000 and moved to Switzerland. They abandoned France in 2009 and moved to... Switzerland. They abandoned France in 2014 and moved to... Russia. They abandoned France in 2020 and moved to... USA. For nearly 2 decades there has been this steady rollout of the news saying the wealthy will abandon there socialist-democratic country for somewhere else. But most of them tend to stick around. A few abandon their dumb project and find their way back even.

riffraff 1y ago
Switzerland does have a wealth tax[0]. The latest destination for some rich foreigners is Italy due to the lump sum tax on foreign income (200k) for the first 10 years of moving there. But Italy also has a 2‰ wealth tax since 2013 or so. All these news are always exagerated. [0] https://thepoorswiss.com/wealth-tax/ https://thepoorswiss.com/wealth-tax/
- Leherenn 1y ago
  Although wealthy foreigners in Switzerland were (and still are I believe) negotiating their taxes directly with the cantons. Wealth tax might not have applied to them if they qualified. See: https://www.efd.admin.ch/en/lump-sum-taxation https://www.efd.admin.ch/en/lump-sum-taxation
hermitcrab 1y ago
Millionaire flight is mostly myth: https://www.forkingpaths.co/p/does-taxing-the-rich-cause-millionaires https://www.forkingpaths.co/p/does-taxing-the-rich-cause-mil... And, like 'trickle-down economics', a very convenient myth for the rich.
stego-tech 1y ago
Literally this. Studies repeatedly show this is an empty threat by the rich, because their wealth is intrinsically tied to the economy of their country of residence in most cases and therefore readily taxable while being difficult to move. This is why they bluster that they’ll leave: because they know they cannot, without forfeiting far more than they’d lose via higher taxation. It’s empty bluster.
- yardie 1y ago
  Even in the US, the wealthy threaten to leave if their favorite politician doesn’t win an election. I’m like, “exactly which $30T economy will you and your money be moving to?”
  - stego-tech 1y ago
    Exactly. It’s a scare tactic that relies on a misunderstanding of the prisoner’s dilemma and believing that they hold all the power. In reality, the wealthy consistently learn that cooperation is better than betrayal, either through cooperation against a common enemy (like WW2), or bloody violence (like the Coal Wars). It’s very much a “we’re not trapped in here with you, you’re trapped in here with us” kind of mindset, at least while we exist solely on a single planet (and even should we colonize Mars or elsewhere, it’ll take decades for such a separation to be feasible). People and governments just have to remember that we willingly abdicated that power to the wealthy in the first place, and we can take it back if desired. Good news for the wealthy, though, is that the working class generally doesn’t seek lifestyles of mega mansions and ultra yachts so much as a decent home, healthy work/life balance, and time off for hobbies and/or family, all of which is pennies to provide.

by yardie 1y ago

riffraff 1y ago

Switzerland does have a wealth tax[0]. The latest destination for some rich foreigners is Italy due to the lump sum tax on foreign income (200k) for the first 10 years of moving there. But Italy also has a 2‰ wealth tax since 2013 or so. All these news are always exagerated. [0] https://thepoorswiss.com/wealth-tax/ https://thepoorswiss.com/wealth-tax/

Leherenn 1y ago
Although wealthy foreigners in Switzerland were (and still are I believe) negotiating their taxes directly with the cantons. Wealth tax might not have applied to them if they qualified. See: https://www.efd.admin.ch/en/lump-sum-taxation https://www.efd.admin.ch/en/lump-sum-taxation

hermitcrab 1y ago

Millionaire flight is mostly myth: https://www.forkingpaths.co/p/does-taxing-the-rich-cause-millionaires https://www.forkingpaths.co/p/does-taxing-the-rich-cause-mil... And, like 'trickle-down economics', a very convenient myth for the rich.

stego-tech 1y ago

Literally this. Studies repeatedly show this is an empty threat by the rich, because their wealth is intrinsically tied to the economy of their country of residence in most cases and therefore readily taxable while being difficult to move. This is why they bluster that they’ll leave: because they know they cannot, without forfeiting far more than they’d lose via higher taxation. It’s empty bluster.

yardie 1y ago
Even in the US, the wealthy threaten to leave if their favorite politician doesn’t win an election. I’m like, “exactly which $30T economy will you and your money be moving to?”
- stego-tech 1y ago
  Exactly. It’s a scare tactic that relies on a misunderstanding of the prisoner’s dilemma and believing that they hold all the power. In reality, the wealthy consistently learn that cooperation is better than betrayal, either through cooperation against a common enemy (like WW2), or bloody violence (like the Coal Wars). It’s very much a “we’re not trapped in here with you, you’re trapped in here with us” kind of mindset, at least while we exist solely on a single planet (and even should we colonize Mars or elsewhere, it’ll take decades for such a separation to be feasible). People and governments just have to remember that we willingly abdicated that power to the wealthy in the first place, and we can take it back if desired. Good news for the wealthy, though, is that the working class generally doesn’t seek lifestyles of mega mansions and ultra yachts so much as a decent home, healthy work/life balance, and time off for hobbies and/or family, all of which is pennies to provide.