When Everyone’s Taxed Too Much, Nobody Builds Anything
A Libertarian Response to the Inheritance Tax Debate
The headline reads: “Inheritance tax is the only way to stop rich kids getting richer.” It sounds righteous. It sounds fair. But it’s not.
What it really says is that envy has become policy. Rather than asking “How can we all get ahead?”, this mindset asks “How can we make sure no one gets too far ahead?”
The Psychology Behind Resentment and Entitlement
At its core, the argument for heavy inheritance taxes is rooted less in economics and more in psychology. Resentment often grows when people feel powerless — when they see others succeed and believe that success came at their expense. This feeling breeds entitlement: the idea that someone else’s work, savings, or innovation somehow belongs to everyone.
And let’s be honest — life isn’t fair. Some people are born into wealth, while others have to climb every rung of the ladder. Some inherit opportunity; others have to build it from scratch. It’s human to feel frustration when the starting lines aren’t equal. But destroying the finish line for those who succeed doesn’t bring justice — it brings collapse.
Taxing away the rewards of hard work won’t lift the poor; it simply tears down the very structures that allow people to rise. Punishing prosperity won’t make life fair — it will only make it harder for everyone to improve their own circumstances.
That’s why Libertarians believe empathy must be paired with freedom. We should care about those who struggle, but the best way to help them is through opportunity — not resentment. The author of that “rich kids” article likely feels a sense of injustice, but the policy they propose would harm us all: entrepreneurs, workers, and families alike.
When everyone is taxed too much, what happens?
- Entrepreneurs stop taking risks.
- Families stop investing in the future.
- Jobs disappear.
- Innovation slows.
The free market doesn’t thrive on resentment — it thrives on opportunity. True fairness doesn’t come from taking more; it comes from creating more. Every person should have the freedom to build wealth, keep it, and pass it on to those they love.
Libertarians believe in voluntary charity, not forced redistribution. We trust people to use their own money better than the government ever will. And we know that prosperity spreads when the burden of taxation is light and property rights are respected.
It’s time to stop treating success as a sin and start defending the right to keep what we’ve earned — and to leave a better future for those who come after us.
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