The myth of a Social-Democratic America - it won't work*

* Rafael Castro, 24 September 2020

In recent years liberal America has spread the narrative that America would be a more just and better society if it jettisoned rugged individualism and adopted a Scandinavian-style welfare system. This narrative has been countered by conservatives with criticism of the Scandinavian model. The high taxes Scandinavians pay are routinely cited by conservative pundits as the main reason a Scandinavian tax code should not be introduced into America.

This conservative line of argument is flawed and profoundly unconservative. Scandinavian societies, with their traditional egalitarianism and affluence are not the product of a tax code. The Scandinavian tax code mirrors values and priorities deeply grounded in Scandinavian culture and history. The Scandinavian welfare state was a natural development for extremely homogeneous societies forced to fend off a harsh and unforgiving climate together.

In other words, the Scandinavian welfare state mirrors the unique historical, sociological and geographical conditions of Northern Europe.

To believe that America would mirror Scandinavia if it adopted the Scandinavian taxation code, shows utter disregard for the absence in America of the collectivist ethos which undergirds the Scandinavian model. In Sweden, Norway and Denmark people are ready to pay high taxes because they traditionally believed a generous welfare state made everyone better off. This attitude was buttressed by a very strong civic spirit deterring people from taking advantage of society.

Without this collectivist culture and strong civic spirit, a welfare state easily degenerates into a factory of welfare exploiters. These are exactly the dynamics visible in Scandinavia today. In recent decades the welfare state was curbed in Scandinavia not just due to the burden it imposed on business competitiveness. There were two other ominous reasons the welfare state was retrenched:

Firstly, younger generations of Scandinavians, pampered by a generous welfare state, gradually realised it was easier to coast through life by studying and working little, instead of working hard and being taxed at exorbitant rates.

Secondly, immigrants realised that a visa to Scandinavia paved the way to a carefree existence that in other societies demands decades of hard work. As a result, whereas entrepreneurial immigrants moved to America or Australia, less industrious ones flooded the Nordic nations.

The consequences are ugly. The Scandinavian welfare state has become a mechanism that increasingly transfers wealth from natives to immigrants and their children. As a result, many hitherto liberal and cosmopolitan Scandinavians now support xenophobic parties. These parties argue that the welfare state, far from being a vehicle for social mobility, perpetuates cultural handicaps and deters the absorption of the Scandinavian work ethic. As a result, even moderate Scandinavians are no longer willing to support the generous welfare state that once provided citizens with a carefree existence.

These dynamics are instructive, because they are a microcosm of dynamics that a welfare state might unleash in America.

An American welfare state would not be a natural stage in the evolution of a small, homogeneous and traditionally agrarian society. Instead, it would run counter to virtually every cultural and psychological instinct of America. In the absence of the collectivist values and the civic-mindedness of Scandinavia, an American welfare state would quickly degenerate into a free-for-all rush to secure individual advantages. American individualism, which laissez-faire economics channel into entrepreneurship, self-help and self-reliance, would now push people to exploit taxpayers.

Given the multiracial and multiethnic character of America, the end-result of a Scandinavian model in America would be toxic. Whites and Asians would soon realise that the welfare state is a mechanism to transfer wealth on a massive scale to underperforming minorities, as they are already demanding.

As a result, the welfare state would aggravate racial strife and resentment in America far more than laissez-faire capitalism has ever done.

Those who believe that a Scandinavian-style welfare state would eradicate the misery of American inner-cities, might want to visit the periphery of Malmö and other Scandinavian cities, where a ghetto mentality has festered thanks to – rather than despite – a generous welfare state.

The allure of a welfare state should be particularly resisted by American Jews. The United States has been the Goldene Medina precisely because the American consensus always was that the state should never be a Robin Hood. Once a welfare state accustoms Americans to the principle that society has the right to take away wealth on a massive scale, it will not be long before affluent American Jews are targeted by demagogues and hate-mongering politicians.

An American model needs to be reformed in order to strengthen the meritocracy and opportunities offered by capitalism to ambitious and hard-working citizens. Importing a foreign model that evolved under very different historical, cultural and social conditions is bound to be a ruinous experiment.

True historical insight and political wisdom involves blending the best of the American experience with the best of the Scandinavian model.

The love for freedom and self-reliance which made America great should be blended with the equality of opportunities which makes Scandinavian societies just.

Small-government egalitarianism, by combining low taxation rates with progressive taxation, is faithful to the best of both models and the finest Jewish ethical traditions.

Cross-posted with permission from Arutz7

Picture credits:

Dean Cornwell - This image is available from the United States Library of Congress's Prints and Photographs division under the digital ID highsm.24474. This tag does not indicate the copyright status of the attached work. A normal copyright tag is still required. See Commons:Licensing., Public Domain, https://commons.wikimedia.org/w/index.php?curid=51065406

Warner Bros. - This image can be obtained from Warner Bros. Pictures., Fair use, https://en.wikipedia.org/w/index.php?curid=75102642

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Comments:

On 21 August 2024 at 10:26, Ben Dor A. wrote:

Dear Anjuli Pandavar

Very interesting article by Rafael Castro.

May I add several points why I think that the US has already sunk into the same status as Scandinavia.

Just take a look at the following statistics:

USDA ERS - Food Security and Nutrition Assistance

Participation in SNAP varies across States, reflecting differences in need and program policies. In fiscal year 2023, the Supplemental Nutrition Assistance Program (SNAP) served an average of 42.1 million people per month, or 12.6 percent of U.S. residents. 22 Jul 2024.

https://www.ers.usda.gov/data-products/ag-and-food-statistics-charting-the-essentials/food-security-and-nutrition-assistance/?topicId

Illegal Immigration
The United States is a nation formed on the rule of law. Each year, however, hundreds of thousands of aliens deliberately violate our nation's laws by unlawfully crossing U.S. borders. Today, there are an estimated 17 million illegal immigrants currently residing in the United States.

https://lamborn.house.gov/issues/illegal-immigration

How does one State deal with this phenomenon?

Texas Transports Over 100,000 Migrants To Sanctuary Cities

Governor Greg Abbott, the Texas Department of Public Safety (DPS), and the Texas National Guard continue to work together to secure the border; stop the smuggling of drugs, weapons, and people into Texas; and prevent, detect, and interdict transnational criminal activity between ports of entry.

Since the launch of Operation Lone Star, the multi-agency effort has led to over 495,400 illegal immigrant apprehensions and more than 38,300 criminal arrests, with more than 34,700 felony charges. In the fight against the fentanyl crisis, Texas law enforcement has seized over 453 million lethal doses of fentanyl during this border mission.

https://gov.texas.gov/news/post/texas-transports-over-100000-migrants-to-sanctuary-cities

So how does NYC deal with this crisis?

Data prove that NYC migrant crisis crushes poorest

Yet again, hard data proves that progressive madness is smashing New York’s most vulnerable: Three of the five NYC zip codes with the city’s highest concentration of migrant shelters are among its poorest areas.

Zip codes covering places like Jamaica, Queens, and East New York, Brooklyn — with median incomes below $37,300 — are getting slammed as migrant inflows climb to more than 200,000 since the start of the crisis.

https://nypost.com/2024/07/08/opinion/data-prove-that-nyc-migrant-crisis-crushes-poorest-citizens/

Now let's see how the Democrats deal with these issues that they created?

Best Regards
Ben Dor A