Saez and Zucman (2019) argue that rising wealth inequality in the United States reflects structural weaknesses in the tax system, particularly its focus on income rather than wealth.

They show that wealth has become increasingly concentrated, with the top 0.1% holding a rapidly growing share, while tax progressivity has declined.

The authors contend that existing taxes—income, corporate, and estate—fail to effectively tax the ultra-rich, allowing them to minimize their tax burden.

They propose a progressive wealth tax as a more direct and powerful tool, capable of both raising substantial revenue and restoring fairness by targeting accumulated wealth rather than realized

Wealth Inequality Has Sharply Increased

The U.S. Tax System Is No Longer Truly Progressive

Existing Taxes Fail to Capture the Ultra-Rich

Wealth Is the Correct Tax Base for the Modern Economy

A Wealth Tax Is More Powerful Than Existing Taxes

Past Wealth Taxes Failed Due to Design Flaws, Not the Idea Itself

A Modern Wealth Tax Can Work with Proper Design and Enforcement

Wealth Taxation Can Reduce Inequality Without Major Economic Harm

Wealth Concentration Threatens Democracy

⭐ Star Facts

• ⭐ The U.S. tax system today functions close to a flat tax (~28%), with rates dropping to ~23% for the richest 400 Americans.
• ⭐ The top 0.1% owns ~20% of total wealth, roughly double its share in 1980.
• ⭐ Total U.S. wealth ≈ $90 trillion, about 5× national income.
• ⭐ Wealth above the top 0.1% ≈ $12 trillion, showing massive taxable potential.
• ⭐ Estate taxes now raise only ~0.13% of top wealth, showing weak enforcement.
• ⭐ Corporate tax share has fallen from ~50% (mid-20th century) to ~16% today.