Exit unlikely, and tax penalty solves

(Katherine, Arrington: Defending the Wealth Tax The Dartmouth: Dartmouth College University Wire 3-8)

Yet another claim is that if the United States were to adopt a wealth tax, it would cause the rich to simply move to another country to escape taxation. This occurred when France adopted a wealth tax. However, the U.S. is in a different position than its European counterpart. For one, France is part of the European Union, which makes it very easy to move abroad; the United States has no such allowance. Secondly, Warren has foreseen this potential issue and has planned for it. Her proposed "exit tax" claims 40% of an individual's wealth above the $50 million threshold if they renounce their American citizenship. A version of this exit tax already exists; Warren simply proposes raising it.