Well, my knowledge of US tax rates clearly is inadequate. I will apologize for that. I did not know that you had to pay the 3,8% NIIT and CA 13.3% on top of the long-term capital gains rate. Yes, in Denmark the dividend tax rate = capital gains tax rate = 42%. Here I am absolutely certain, so the following is a fact – not an opinion. You always pay the corporate tax rate. A tech entrepreneur selling a company that has never earned a dime will still pay the corporate tax rate. The corporate tax rate will be paid indirectly in the form of a lower selling price reflecting the fact that the buyer, in determining the price they are willing to pay, discounts future cash flows after corporate tax on future earnings. I admit, US tax rates in – using your wording – non shit hole locations differ less from Danish tax rates than I expected. Consequently, I agree with you that there might be other reasons beside tax rates that explain why Denmark does not host any major tech success. I also will agree with you that there are many other factors than tax rates to consider when you decide where to start a company. However, I have noted that many successful Danish entrepreneurs move to Switzerland where the capital gains rate is zero. When they start companies in Denmark and elsewhere their willingness to run risk seems much higher than entrepreneurs in Denmark. I believe that makes sense – that your willingness to run risk is higher when your tax rate is 42% lower. A basic premise taught in standard courses in economics/finance is that the level of risk we are willing to take depends on the expected return after tax. I believe that to be true. But you may be right that the difference in tax rates between non shit hole US states and Denmark is too small for it to be a critical factor.