Taxes, Half For Danish
The average Dane pays nearly half of their income in taxes—the third highest in the world. That seems incredible to most Americans, who pay, on average, 25.6% of their income to taxes. Even more incredible: Danes don’t seem to mind—at least, that’s what you hear in the media. After all, their college tuition is fully funded. Healthcare, too. There’s a reason the Denmark is #2 on the World Happiness Report (while the U.S. is at #19).
But we’re the media, too, so I went to talk to some small business owners in Copenhagen to learn the truth. What do they really think about the high tax rate? Do the benefits outweigh the expense?
Buried lede: Munk mentions toward the end if their business fails, they would still have money to live on provided by the State: That sounds a lot like Universal Basic Income, a concept that we’ve talked about a little on the podcast, and while it’s not getting mainstream attention here in the US, there are some proponents of it. Andrew Yang, a 2020 Candidate, is running with this as an issue
In a weird way, the Fair Tax, and Universal Basic Income are two sides of the same coin. Fair Tax talks about a rebate so that ‘basic necessities’ are tax free up to the poverty line, and you get to keep every penny of your paycheck. UBI gives every adult over 18 a fixed amount of income every month. Not enough to live on. You’re still going to have to make money some other way. To illustrate, my mortgage is $971.00 a month. That's a significant chunk of our income. Yang wants to give every adult over 18 $1000 a month, which offsets the most important bill I have to pay. I can do something else with that money. I could invest in studio equipment for ScrappyGull Media. I could Invest it into something for later in life. I could spend some money on the wife and kids. Two of those three choices puts the money into the economy, where it wouldn’t be otherwise. That’s an economic boom waiting to happen, more so than the Fair Tax.
Folks that have been convinced to vote against their own self interest and are still waiting for that money to trickle down describe this as socialism, because the morons they voted for and the news they consume tell them it’s socialism. The Government nationalizing the Health Care Industry is Socialism. The government giving you a guaranteed income so you can try to start that business or creative endeavor without so much fear? That’s the most American thing I’ve ever heard.
(My apologies if you read that Headline and caught an earworm. By ‘My Apologies”, I mean “You’re Welcome.”)