Home

A recent study has quantified the correlation of increased wealth with increased tax avoidance. The general population avoids about 2% of the taxes they owe. The richest 0.01% avoid about 30% of their taxes. They also control about 50% of the wealth. As wealth and income inequality increase, so does the potential for tax avoidance, and therefore the potential for governments to be underfunded. Because governments can only operate at a deficit for a finite time, the inequality necessarily increases governmental and societal instability to dangerous levels.

Advertisements

One thought on “More Wealth More Hiding

  1. Pingback: Data That Matters June 2017 | Pretending Not To Panic

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s