  We refer to an individual holding a non-negligible fraction of the country's
total wealth as an oligarch. We explain how a model due to Boghosian et al. can
be used to explore the effects of taxation on the emergence of oligarchs. The
model suggests that oligarchs will emerge when wealth taxation is below a
certain threshold, not when it is above the threshold. The underlying mechanism
is a transcritical bifurcation. The model also suggests that taxation of income
and capital gains alone cannot prevent the emergence of oligarchs. This is an
article intended for undergraduate students. We suggest several opportunities
for students to explore modifications of the model.
