Should top Marginal income tax rate exceed 50%

[mileslunn]

Some economists argue having top marginal rates over 50% needs to avoided as it leads to lower growth and a brain drain.  Others argue top marginal rates can go over 50% without too much harm.  In your jurisdiction do you support the top marginal rate exceeding 50% or being less than it or does it depend on circumstances.  If you live in a jurisdiction with taxes at multiple government levels, than this is for the combined rate at all levels.  Other taxes like property, sales tax are excluded while payroll taxes are only included if they are not capped.  Using OECD data it appears at the moment when you include payroll taxes the following exceed 50%.  Note these are averages, for example in Canada, there are three provinces with top combined rates under 50% while in the US, California exceeds 50%.

Canada
Sweden
Denmark
Finland
Netherlands
Belgium
Ireland
France
Austria
Portugal
Greece
Slovenia
Israel
Japan

While below 50%

United States
Mexico
Chile
Iceland
Norway
Germany
Luxembourg
United Kingdom
Switzerland
Spain
Italy
Estonia
Latvia
Poland
Czech Republic
Slovakia
Hungary
South Korea
Australia
New Zealand

[mileslunn]

Well, if it's like 52% it's not a big deal, but the 60, 75, 90% plus rates that some of the maroon avatars like to throw around would be ineffective and counterproductive.

Even 52% is not ideal, but depending on where it kicks in and how many deductions are available it is possible to put that high without too big a damage.  I think 40-45% is probably the optimal rate but obviously well above that is a problem as opposed to a little.  Note of the OECD interestingly enough, none of them have top rates exceeding 60%, Sweden is the highest at 57%.  France tried putting it at 75% a few years ago but had to scrap it as it was a failure.