• @RunawayFixer
    link
    -125 days ago

    Some people are unable to learn from the past. And the last time this happened isn’t even that long ago.

    In 2012 then candidate president Hollande did a surprise announcement of a 75% tax on earners of 1m+. And it was such a surprise that even the fiscal expert on his team was surprised.

    Before Hollande was even elected, rich people started responding by changing their domicile to outside France, often also actually (part time) emigrating.

    After getting elected Hollande then tasked his government with implementing such a tax. And that whole lengthy process was a political disaster, ending with the implementation of a heavily watered down temporary tax.

    The chronology: https://www.lesechos.fr/2015/01/chronologie-de-la-taxe-a-75-sur-les-tres-hauts-revenus-avant-disparition-197994

    After implementation the tax failed to bring in the projected money, because well, people react to what they perceive as overtaxation + the overall economy wasn’t doing so great due to this and other policies of Hollande: https://taxfoundation.org/blog/france-s-75-percent-tax-rate-offers-lesson-revenue-estimating/

    Half an article with a graph of the effect on wages, the rest is behind a paywall: https://www.lemonde.fr/idees/article/2019/06/28/quand-la-taxe-a-75-a-ete-supprimee-le-nombre-de-contribuables-declarant-plus-de-1-million-d-euros-par-an-a-augmente_5482849_3232.html

    In 2017 Hollande was the most unpopular french president in history and he did not run for reelection. Not solely because of this tax, but it certainly didn’t help.

    And that was 75%. So a 90% tax on the rich is just incredibly dumb populism.

    • @RunawayFixer
      link
      024 days ago

      Currently this post sits at 5 down votes, so it’s not just that some people are unable to learn from the past, it’s people who are unwilling to learn from the past.

      If you’re presented with evidence that what you want to do, will not work and will have negative consequences and you still want it to go ahead, then I have to ask: Why?

      Why insist on doing something again which has failed in the past and which will undoubtedly fail again in the future? What is this meant to accomplish?