Norway's billionaire exodus was tiny: at most 100 left after wealth tax hike
Taxing Entrepreneurial Wealth: Evidence from Norway, 2021–2025
Norway's 2021–2024 reforms raised dividend taxes and nearly doubled the effective marginal tax rate on business wealth, fueling claims of a billionaire exodus. Marius A. K. Ring finds migration effects concentrated among the top 0.1% and mostly in 2022–2023, with at most 100 individuals leaving. Startup founders and inventors barely moved, outmigrating owners' firms stayed active and invested normally, and wealth tax revenues still rose 71.5% instead of 75%.
These findings indicate that the short-run economic costs of wealth taxation, in terms of migration and firm investment, are more limited than the public debate implies.
- usernomdeguerre
I doubt there's a way to structure this perfectly given one has to start from the baseline of these taxes being introduced, but is 21-25 a reasonable benchmark?
Naively, it felt like a lot of fluctuations and rubberbanding occurred right after Covid which wouldn't necessary make representative set.
- a34729t
Norway is UAE but lutefisk and burky blonde women. And now their sovreign wealth fund is investing less in Europe cause growth...
An oil scheikhdom is not the place to draw generalizations from when compared tk advanced industrialized countries.
- tlogan
The San Francisco Bay Area has about 2 million more people than the entire country of Norway.
So, in my opinion, we cannot reasonably extrapolate from policies implemented in Norway to predict whether they would work in California or the U.S.
- robocat
Looks like a lesson in how to play zero-sum games to lose.
The USA is better at playing the zero-sum game of where to begin a business. Zero-sum because many businesses are winner-takes-all and the country that business starts-up in is the one that wins.
Business founders are greedy (almost by definition), and a country needs to think what marginally motivates a founder to keep on going (or to founding 2nd/3rd business).
Hate Meta, or even hate Zuckerberg, but the USA is winning export earnings from the rest of the world because of Meta (and likewise other billionaire companies).
On the third foot, I'm guessing Zuckerberg has other motivations than more dollars?
The game isn't equitable, and the wealth disparity is heinous, and perhaps even the products are despicable. However everyone in the USA is living off the back of that wealth coming into the country.
It is really noticable in New Zealand where top marginal rate is 39% and GST (sales tax) is 15%. Why work an hour to bring in in a dollar to NZ when you get less than 50 cents (after all the other taxes). Our left parties want to tax wealth at 50%+ (if 2% wealth tax and drawdown of 4% ). Invisible inflation makes the taxation much much higher.
A wealth tax of 1% sounds trivial, but it isn't when compared to risk-free returns after drawdowns.
Unfortunately most voters are not founders, so they don't understand marginal motivation. And voters don't understand who brings money into the country. Voters just want increasing am […]
- refurb
Seems like European would benefit more from an inherited wealth tax than an entrepreneurial wealth tax.
Europe could benefit a lot from breaking the stranglehold of old money.