The Political Orphanage Sweden Tried Socialism So You Don’t Have To
Aug 28, 2025
Join Johan Norberg, a Swedish author and senior fellow at the Cato Institute, as he dives into the myths and truths behind Sweden's social safety net. He discusses what works, what doesn’t, and lessons for the U.S. from Sweden's unique governance and tax system. From the historical lessons of Sweden's economic struggles to the role of social trust in effective governance, Norberg uncovers how Sweden navigated socialism and emerged with a distinct social democracy. Plus, enjoy a whimsical mention of his trip to the ABBA Museum!
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Consensus Roots In Nonfeudal History
- Sweden's political culture grew from small landowning farmers, not feudal serfs, shaping trust in government.
- That created a preference for consensus and local representation over adversarial politics.
Unions Focus On Competitiveness
- Swedish trade unions often act collaboratively with employers to preserve long-term competitiveness.
- High union participation encourages wage restraint tied to productivity rather than adversarial wage hikes.
Broad Taxes Finance The Welfare State
- Sweden funds its welfare state broadly through consumption and middle-income taxes rather than heavily taxing the rich alone.
- High VAT and broad taxation spread costs to avoid driving entrepreneurs and capital away.
