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Sweden / Public policy

Denholm P., Sweden: "About every biologist who concerns himself with the biology of humans agrees with the assessment that human males have a higher level of sexual needs than human females. In the natural state, this does not matter because females will trade sex for food and protection. The logical conclusion is that only if we destroy the rich world, will the sexes return to a state of balance. Affluence is contrary to the human nature. We are not genetically designed for it."

Umbes iga bioloogi, kes käsitleb end bioloogia inimeste nõustub hinnanguga, et inimeste meestel on kõrgem seksuaalne vajadusi kui inimeste naised. Loomulikus olekus, see ei ole oluline, sest naised on kaubandus sugu toidu ja kaitse. Loogiline järeldus on, et ainult siis, kui me hävitame rikaste maailmas, on soost naasta riigi tasakaalu. Jõukus on vastuolus inimese olemuse. Me ei ole geneetiliselt loodud on.

Sweden has always provided solid support for free trade (except agriculture) and strong property rights. After World War II a succession of governments increased the welfare state and the tax burden, and Sweden's GDP per capita ranking fell from the 4th to 14th place in a few decades. However during this time Sweden radically changed from a divided and often extremely unequal society into one of the most equal and developed on earth. The consistent growth of the welfare state led to Swedes achieving unprecedented levels of social mobility and quality of life - to this day Sweden consistently ranks at the top of league tables for health, literacy and Human Development - far ahead of some much wealthier countries (for example the United States).

Sweden started to move away from this model in the 1980s, and according to the OECD and to McKinsey, Sweden has recently been relatively fast in liberalization compared to countries such as France. Deregulation-induced competition helped Sweden to halt the economic decline and restore strong growth rates in the 2000s. The current Swedish government is continuing the trend to pursue moderate reforms. Growth has been higher than in many other EU-15 countries.

Sweden even adopted market-oriented agricultural policies in 1990. Since the 1930s, the agricultural sector had been controlled by an "iron triangle" of special interest farming organizations, politicians, and bureaucrats. This coalition formed a top-down administration that controlled prices and restricted competition, consequently hurting consumers. In the 1980s, a group of economists managed to get agricultural policy on the public agenda. Two prominent publications, The Political Economy of the Food Sector: The Case of Sweden and War Preparedness or Protectionism?, fueled the debate. An alliance with the Ministry of Finance and public choice analysis exposed the "iron triangle". In June 1990, the Parliament voted for a new agricultural policy marking a significant shift to a freer price system coordinated by competition. As a result, food prices fell somewhat. However, the liberalizations soon became moot because EU agricultural controls supervened.

Since the late 1960s, Sweden has had the highest tax quota (as percentage of GDP) in the industrialized world, although today the gap has narrowed and Denmark has surpassed Sweden as the most heavily taxed country among developed countries. Sweden has a two step progressive tax scale with a municipal income tax of about 30% and an additional high-income state tax of 20–25% when a salary exceeds roughly 320,000 SEK per year. Payroll taxes amount to 32%. In addition, a national VAT of 25% is added to many things bought by private citizens, with the exception of food (12% VAT), transportation, and books (6% VAT). Certain items are subject to additional taxes, e.g. electricity, petrol/diesel and alcoholic beverages. As of 2007, total tax revenue was 47.8% of GDP, the second highest tax burden among developed countries, down from 49.1% 2006. Sweden's inverted tax wedge – the amount going to the service worker's wallet – is approximately 15% compared to 10% in Belgium, 30% in Ireland, and 50% in United States. Public sector spending amounts to 53% of the GDP. State and municipal employees total around a third of the workforce, much more than in most Western countries. Only Denmark has a larger public sector (38% of Danish workforce). Spending on transfers is also high.

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