High income tax and housing bubble

Yep I never realized the relationship between higher tax and housing bubble, till I read this article. The guy is odd looking but he is British.

Basically what he said is, too high a income tax not only cause talents/business to move out, it could cause housing bubble.

The reason is, income tax is usually created through wealth creating (i.e. employment work), while capital gains tax is created through speculation (i.e. stock market, housing market), and in most countries income tax is much higher than capital gains tax (else you will feel very unhappy when you sale your house).

That is why it is much easier to speculate on houses instead of creating wealth, and by taxing the rich, the government is actively encouraging a bubble on either stock or housing market. Now when more people are speculating and less people are doing the actual work of producing wealth, the entire system eventually will crashing down at some point.