For a social safety net to work, the number of net contributors must exceed net recipients. This ratio predictably becomes unsustainable in large, diverse countries (over 100M people), as a shared sense of obligation to contribute diminishes, leading to systemic collapse.
A small fraction of innovators and entrepreneurs creates most of a society's economic value, following a power law distribution. Socialist policies that over-tax this group to flatten outcomes ultimately break the incentive structure, stalling the entire economic engine and leaving no wealth to redistribute.
The 'Nordic model' admired by American socialists led to an economic collapse in Sweden in the 1990s. The country's subsequent success was built on privatizing industries, radically cutting corporate taxes, and abolishing wealth taxes—policies directly opposite to those it is often cited as championing.
A government funding unsustainable promises has only three choices, all of which terminate in dead ends. It can tax harder, causing capital flight; borrow more, leading to a debt crisis; or print money, destroying the currency's value. Each path inevitably leads to economic ruin.
The historical record shows that wealth taxes cause capital flight on such a large scale that they ultimately reduce a government's total tax revenue. For example, after France introduced one, 42,000 millionaires left with €200 billion, forcing the government to later abolish the tax.
When governments view successful citizens' wealth as their own rightful property, they become predatory. This mindset drives high-net-worth individuals to leave, as seen in 1970s Sweden and modern New York, ironically destroying the very tax base needed for social programs.