Here's how much money America's 10 wealthiest people would have if the US had a moderate wealth tax

Taylor Nicole Rogers

Sep 24, 2019, 22:36 IST

Here's how much money America's 10 wealthiest people would have if the US had a moderate wealth tax

The wealthiest people in America would be substantially less rich if the United States had a wealth tax, a new study published by the Brookings Papers on Economic Activity shows.
If a moderate wealth tax had been introduced in 1982, Jeff Bezos' fortune would be half what it was in 2018. Bill Gates would be $61 billion less rich.
A federal wealth tax is one potential solution that has been touted by presidential candidates and hedge-fund billionaires alike. And the idea has support among Americans: An INSIDER poll shows that more than half of Americans support Senator Elizabeth Warren's wealth tax proposal.
A wealth tax like the one proposed by presidential candidate Sen. Elizabeth Warren would make ultra-wealthy Americans pay the federal government a small percentage of their net worth each year.
On September 23, Bernie Sanders unveiled a wealth tax plan that is even more aggressive than Warren's.
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If the United States had implemented a moderate wealth tax in 1982, Jeff Bezos' fortune would be half what it was in 2018 and Bill Gates would be $61 billion less rich, a new study published in the Brookings Papers on Economic Activity found.

The idea of using a wealth tax to solve America's inequality problem has gained traction in recent years, but proposals have been hampered by questions over the effectiveness and the constitutionality of such a tax, Business Insider previously reported.

The Brookings Study, "Progressive Wealth Taxation" by The University of California at Berkeley's Emmanuel Saez and Gabriel Zucman, concludes that "the wealth tax has great revenue and wealth equalizing potential in the US context."

How a wealth tax would work

A wealth tax would require that ultra-wealthy Americans pay the federal government a small percentage of their net worth each year.

One of the most frequently cited proposals, Elizabeth Warren's "Ultra-Millionaire Tax," calls for a 2% annual tax on households with a net worth between $50 million and $1 billion and a 3% annual tax on households with a net worth over $1 billion.

The idea has support from ultra-wealthy and ordinary Americans alike: An Insider poll shows that more than half of Americans support Warren's wealth tax proposal.

And on September 23, Bernie Sanders unveiled a wealth tax that's even more aggressive than Warren's.

Keep reading to see how rich America's billionaires would be if the country had a moderate wealth tax.

Methodology: The study published in Brookings Papers on Economic Activity examines American billionaires' net worths if a moderate wealth tax had been implemented in 1982.

10. If the US had implemented a moderate wealth tax in 1982, Micheal Bloomberg's 2018 net worth would have been reduced by more than half.

9. The net worth of Google founder Sergey Brin would have dropped by over a third.

T8., T8. Billionaire brothers Charles and David Koch would each have net worths nearly $35 billion lower than they were in 2018.

6. The net worth of Google cofounder Larry Page would be down $18.5 billion.

5. Oracle founder Larry Ellison would be 40% less rich if the United States had a moderate wealth tax.

4. If a moderate wealth tax had been implemented, Facebook's Mark Zuckerberg would have been worth approximately only 72% of what he actually was in 2018.

3. Warren Buffett's fortune would be one-third the size it is.

2. A moderate wealth tax would have made Bill Gates $61 billion less rich.

1. A moderate wealth tax would have cut Jeff Bezos' fortune in half.

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