[chevas]

Anecdotal, but I have one multi-millionaire friend who left California strictly because of taxes. It takes a certain type of personality to just up and do it and he exemplifies whatever personality trait that is.

Millionaires are established, and the article goes into reasons why they don't move around. However, what potential effect does higher taxes have on people starting businesses or thinking about starting one?

[ihsw2]

I would argue that their wealth composition determines their capacity to move around -- or, more to the point, how liquid their assets are. Real-estate owners are obviously anchored to the land that their property occupies, naturally.

One potential effect is that earned income (ie: wages and salaries) would precipitously fall much faster than cost of living, resulting in the drying up of credit and causing a credit crunch/housing crisis.