The dystopian Euroweenie liberal social welfare state hellhole of Sweden is worth reviewing, and comparing to the largely unregulated anarchocapitalist vision preferred by Trumpettes.
Sweden’s “Third Way” Mixed Economy Model
Sweden is the best example of an economic system in between the extremes of free market capitalism and government-owned and controlled socialism.
The modern image of Sweden is of an egalitarian economy with a high standard of living, a high level of social welfare spending—and a correspondingly high level of taxes.
One of the primary forms of economic organization that Sweden created, and is still alive today, is the cooperative. Cooperatives share expenses, expertise, risks, and rewards of economic activity. By their very nature, they tend to even out the vagaries of the larger market. This promotes a rather egalitarian outcome in terms of income distribution.
The abolition of feudalism—serfdom and slavery were outlawed in 1335—also eliminated one of the major class divisions in society and limited how unequal income and wealth could become. Countries that have much longer histories of feudalism, such as France and Spain, tend to have much more hierarchical social structures and much more unequal distributions of income.
The most controversial aspect of Swedish government policy is the country’s extensive welfare state and income redistribution. Swedish citizens receive free health care, free education through university, high levels of unemployment benefits and pensions, and generous family leave for parents of newborns. The Swedish government also redistributes income in a more comprehensive way than any other government in the world. Sweden ranks 5th in the high-tax category; only Finland, Denmark, France, and Belgium rank ahead of Sweden.
High taxes can legitimately be said to limit freedom. The Swedish government limits the freedom of Swedish citizens to spend their own money.
However, the Swedes have decided democratically to give up some of their individual economic freedom to live in a more egalitarian and economically secure society. Swedish elections are fought over the size and comprehensiveness of their welfare state.
Source credit: Professor Edward F. Stuart, Northeastern Illinois University