In recent months we’re often told how successful the welfare state (high taxes and welfare spending) are in Europe so doing a little research, I stumbled across this little study, ‘Scandinavian success is not due to high taxes and welfare spending’…
The “report debunks the myth that positive social and economic outcomes in Scandinavia are a result of a generous welfare state and high taxes”.
“The Scandinavian experience illustrates just how harmful high taxes and an overbearing welfare state can be. Despite many seeing the region as a bastion of socialism, where a large welfare state has led to many desirable economic and social outcomes, in reality this success is a consequence of the policies that were adopted prior to the development of the social democratic welfare model. It is very clear that Scandinavia is not an exception to the general rules of economics. Culture is very important in determining economic success but the welfare state has undermined cultural norms and economic prosperity.”
Further reading from Dr. Dan Mitchell:
The World’s (or at least Denmark’s) Most Depressing PowerPoint Slide...
