Stiglitz at the Tax Symposium: “The US is no longer a democracy; ‘yes’ to a wealth tax”

Brussels – “There has been a massive rise in inequality, and this is linked to the erosion of democracy: even America has become an oligarchy.” This indictment by Nobel laureate Joseph Stiglitz opened the second day of the EU Tax Symposium 2026 in Brussels, the annual event organised jointly by the European Commission and the European Parliament, dedicated this year to the theme “The future of taxation: inequality and growth in the global economy“. Stiglitz highlighted that, over the last 25 years, more than 40 per cent of the increase in wealth has ended up in the hands of the richest 1 per cent, whilst the poorest 50 per cent received only 1 per cent. For the US economist, the solution to this situation lies in “a more progressive tax system” and in “some form of wealth tax”, citing the Danish proposal of 0.5 per cent as a concrete step towards fairness.

MEP Pasquale Tridico (M5S/The Left), Chair of the Subcommittee on Taxation and moderator of the debate, reinforced this line of argument by stating that “we can achieve greater cohesion and more sustainable development through growth without inequality.” Tridico emphasised digital transformation, explaining that artificial intelligence represents “a technological process different from the past, much faster and one that does not necessarily require humans to reproduce itself.” In this scenario, the risk is that part of the wealth created will not be taxed adequately, placing Europe at a crossroads between “international tax cooperation and strategic autonomy.”

On the sidelines of the symposium, the MEP presented a proposal aimed at “taxing the windfall profits of oil companies, which, at current price levels, are generating revenues of over €60 billion.” There is “a huge amount of revenue generated by the six major oil companies, over €60 billion at current prices”, said Tridico, pointing out that Nobel laureate Joseph Stiglitz has proposed “at least a temporary tax on the windfall profits of these companies.” A measure which, he added, “is very welcome” and which the Five Star Movement “has always supported.”

Another Nobel laureate in economics, Philippe Aghion, also spoke out on the need to avoid falling behind, sounding the alarm over the continent’s capacity for innovation: “If Europe is in decline, its values will also be in decline.” According to Aghion, the crucial challenge is “to be more innovative and at the same time more inclusive,” creating an environment in which start-ups can grow locally without having to migrate to the United States or China.