Tag Archives: Iceland

Are Nordic countries succeeding with socialism like Bernie Sanders says?

Individials pay extremely high income taxes in Nordic countries
Individials pay extremely high income taxes in Nordic countries

Last week, I saw back to back studies on Nordic countries reported by the far-left UK Independent and Barron’s magazine. We’re probably going to hear more about how great socialism is from socialists, and since they seem to point to Nordic countries as proof, we should probably look at the studies and see what the truth is.

Let’s start with the report from Barron’s. You’ll have heard of Barron’s if you’re an investor.

It says:

Although there are areas—especially in taxes and labor market regulation—where socialist elements still exist in the Nordics, the region is by no means socialist today. In fact, according to the Heritage Foundation’s index of economic freedom, Sweden, Norway, Finland, Iceland, and Denmark rank among the 30 most capitalist countries in the world.

These countries used to be socialist in the 1970s and 1980s. Socialism means a huge government work force, high taxes, massive regulation of private sector businesses, and massive spending on welfare programs. You didn’t have to marry before having children, the government would give you welfare. You didn’t have to take care of yourself, the government would give you free health care. You didn’t have to save for retirement, the government would give you a pension.

The article mentions one country in particular – Sweden. And here is what socialism looked like in Sweden:

In 1960, for every 100 “market-financed” Swedes (i.e. those who derived their income predominantly from private enterprise), there were 38 who were “tax-financed” (i.e. dependent on the public sector for their income, whether as civil servants or as recipients of payments from the state). Thirty years later, that number had risen to 151—in other words, there were significantly more people living off of the state than paying into the system. This reflects Sweden’s move away from a capitalist free-market economy to a socialist model.

When people talk about socialism, they mean more people living off the state than paying into the system.

But socialism can’t last forever. Eventually, the people in the private sector realize that they are keeping less and less of what they earn, and they stop working, or just leave. The article notes that IKEA, which started out in Sweden, moved out to avoid paying the 57% corporate tax rate.

Eventually, and this is the part that Bernie Sanders is ignorant about, Sweden slashed or eliminated taxes across the board, then cut their government spending on welfare, subsidies and gv:

A major tax reform in 1990/91 slashed corporate taxes from 57% to 30%. Income from shares was exempted from taxation, while capital gains from shares were taxed at only 12.5%.

The top marginal income-tax rate was set at around 50%, a reduction by 24 to 27 percentage points for the majority of the workforce. The proportion of earners taxed at a marginal rate of over 50% dropped from over half to only 17% paying income tax to the central government.

The reforms continued over the following years: in 2004, the estate tax of up to 30% was scrapped. Today, there is no estate tax in Sweden. The abolition of the wealth tax, which had already been cut, came into effect retroactively as of 1 January 2007. The corporate tax rate continued to decline, getting cut from 30% to 26.3% in 2009 and to 22% in 2013. Property tax rates were also cut substantially.

Between 1993 and 2000, social spending dropped from 22.2% to 16.9% of GDP, economic subsidies from 8.7% to 1.8% and public-sector payroll costs from 18.2% to 15.6%.

Sweden might be a little further ahead of some of the other Nordic countries. Over in Finland, they are still climbing out of it, and the massive government spending is so hard for socialists to cut.

Here’s a story from Finland about their government-run health care system – the same kind that Bernie is always bragging about, and telling us how well it works in Finland.

Far-left Reuters reports:

Finland’s coalition government resigned on Friday a month ahead of a general election, saying it could not deliver on a healthcare reform package that is widely seen as crucial to securing long-term government finances.

Healthcare systems across much of the developed world have come under increasing stress in recent years as treatment costs soar and people live longer, meaning fewer workers are supporting more pensioners.

Nordic countries, where comprehensive welfare is the cornerstone of the social model, have been among the most affected. But reform has been controversial and, in Finland, plans to cut costs and boost efficiency have stalled for years.

The very health care systems that Bernie lectures American voters about are all in decline and failing:

Other Nordic countries have also grappled with the need to cut costs. Sweden is to gradually raise its retirement age and has opened up parts of the healthcare system to the private sector in a bid to boost efficiency.

Denmark will gradually increase the retirement age to 73 – the highest in the world – while cutting taxes and unemployment benefits to encourage people to work more.

If you learned anything from this article, I’d like you to do me a favor. Please share and/or tweet this post, or share and/or tweet the posts from Barron’s and Reuters. We have an election coming up in 2020, and right now, the people are being lied to by foolish socialist politicians who talk and talk about things they have no knowledge about. We need to correct the views of the American people with facts. We can’t make the mistake of electing Democrats who are terrible at health care, and only good at making promises to spending taxpayer money. They have no idea how economics actually works in the real world, and we need to do everything we can to keep them out of power.

 

New edition of British atlas exaggerates global warming effects by 1500%

From the radically leftist New York Times. (H/T Dennis Prager)

Excerpt:

The news release promoting the latest edition of Britain’s influential Times Comprehensive Atlas of the World hailed it as “the Greatest Book on Earth.”

Not the way climate scientists see it.

“Fiasco” was the word chosen by one scientist in an e-mail to the National Snow and Ice Data Center in Boulder, Colo., alerting his colleagues to erroneous claims made by the publishers of the atlas (whose name derives from The Times of London) about the speed at which Greenland’s glaciers are melting.

He also feared that a map in the atlas, along with news accounts repeating an error in the news release, could pull climate scientists into another vortex of damaging controversy.

The news release, echoed by the news media, claimed that Greenland had lost 15 percent of its permanent ice cover from 1999 to 2011. That translates to 125,000 cubic miles, according to a rough calculation by Etienne Berthier, a glaciologist with the University of Toulouse, enough melted ice to raise sea levels three to five feet.

The corresponding map in the atlas itself indicated that significant portions of Greenland’s coastline had become ice-free.

Glaciologists, previously bruised by an exaggerated claim about the melting of Himalayan glaciers in a 2007 United Nations report that became fodder for global warming skeptics, mobilized as a truth squad.

On blogs, on radio programs and in newspaper columns, they stated emphatically that Greenland has not lost 15 percent of its ice cover in recent years. The retreat, they said, is more like one-tenth of 1 percent. They were quick to add that nobody at the atlas had consulted them.

“It was a case where, really, the community came together really fast with both barrels blazing,” said Mark Serreze, director of the snow and ice center in Colorado. “Everyone had some real bad memories of this whole fiasco that had to do with Himalayan glaciers. No one wanted to see that again.”

The glaciers error in the 2007 report by the Intergovernmental Panel on Climate Change on Climate Change, although just a footnote, led to a torrent of criticism focused on climate scientists after it was identified early in 2010.

I blogged about the Himalayan fraud here.

I also wrote before about how Greenland used to be much less cold during the Medieval Warming Period.

How viking settlements in Greenland disprove man-made global warming

Consider this article from a professor at SUNY Suffolk, himself a believer in man-made global warming. (H/T ECM)

Excerpt:

During the years 800-1200, Iceland and Greenland were settled by the Vikings. These people, also known as the Norse, included Norwegians, Swedes, Danes, and Finns.

The warm climate during the MWP allowed this great migration to flourish. Drift ice posed the greatest hazard to sailors but reports of drift ice in old records do not appear until the thirteenth century (Bryson, 1977.)

[…]The Greenland Vikings lived mostly on dairy produce and meat, primarily from cows. The vegetable diet of Greenlanders included berries, edible grasses, and seaweed, but these were inadequate even during the best harvests. During the MWP, Greenland’s climate was so cold that cattle breeding and dairy farming could only be carried on in the sheltered fiords. The growing season in Greenland even then was very short. Frost typically occurred in August and the fiords froze in October. Before the year 1300, ships regularly sailed from Norway and other European countries to Greenland bringing with them timber, iron, corn, salt, and other needed items. Trade was by barter. Greenlanders offered butter, cheese, wool, and their frieze cloths, which were greatly sough after in Europe, as well as white and blue fox furs, polar bear skins, walrus and narwhal tusks, and walrus skins. In fact, two Greenland items in particular were prized by Europeans: white bears and the white falcon. These items were given as royal gifts. For instance, the King of Norway-Denmark sent a number of Greenland falcons as a gift to the King of Portugal, and received in return the gift of a cargo of wine (Stefansson, 1966.) Because of the shortage of adequate vegetables and cereal grains, and a shortage of timber to make ships, the trade link to Iceland and Europe was vital (Hermann, 1954.)

Here’s where the Vikings settled:

It’s all covered in ice today, though. But it was not covered in ice back then. And that’s because it was warmer in the Medieval Times than it is today.