Tag Archives: nordic welfare model

August 2021 in Review

Most frightening and/or depressing story: The U.S. is not prepared for megadisasters. Pandemics, just to cite one example. War and climate change tipping points, just to cite two others. Solutions or at least risk mitigation measures exist, such as getting a health care system, joining the worldwide effort to deal with carbon emissions, and as for war, how about just try to avoid it?

Most hopeful story: The Nordic welfare model works by providing excellent benefits to the middle class, which builds the public and political support to collect sufficient taxes to provide the benefits, and so on in a virtuous cycle. This is not a hopeful story for the U.S., where wealthy and powerful interests easily break the cycle with anti-tax propaganda, which ensure benefits are underfunded, inadequate, available only to the poor, and resented by middle class tax payers.

Most interesting story, that was not particularly frightening or hopeful, or perhaps was a mixture of both: Ectogenesis is an idea for colonizing other planets that involves freezing embryos and putting them on a spaceship along with robots to thaw them out and raise them. Fungi could also be very useful in space, providing food, medicine, and building materials.

the Nordic welfare model

This article explains that the Nordic welfare model succeeds by targeting the middle class, not just the poor. They provide services of high enough quality (child care, health care, education, unemployment, disability, retirement) that the private sector can’t compete. Then the middle class voters support the politicians who support the policies, and are willing to pay the taxes necessary to receive the benefits.

Seems simple, but it’s easy for anti-tax corporate and wealthy interests in the United States to prevent this feedback loop from getting established. They just spew propaganda and buy off politicians who are anti-tax and anti-deficit spending, so the government only has resources for limited programs targeting the poor, the middle class resents paying taxes and receiving little in return while having to pay for sub-par private benefits at the same time, and they continue to vote against policies to expand benefits. Breaking this loop would require a gamble on massive deficit spending (kinda sorta being tried now, legitimately during a crisis in my view) and/or constitutional changes/reinterpretation that stop the legalized propaganda and bribery (which would have to be enacted by the politicians who are being bribed, unless judges were to take the lead which seems unlikely).