MSNBC:
Bernie Sanders is wrong on democratic socialism in Sweden, and everywhere else
“That whole thing with democratic socialism was absolutely impossible. It just didn’t work."
In fact, when we examine Nordic politics, economy and history as exemplified by Sweden,
we find that the Northern European success story was not achieved thanks to a welfare model funded by high taxes, but perhaps despite it. It is high time Sanders stops misleading his followers on this score.
During the following century,
Sweden introduced extensive economic laissez-faire reforms deregulating the financial sector and promoting free enterprise, free competition and free trade. These reforms prompted Sweden’s transition to capitalism.
A subsequent
financial crisis in the 1990s saw the growth of the gross domestic product sink and unemployment spike, while the
government raised interest rates to a staggering 500 percent in an effort to avoid devaluing its currency. Sweden’s long-standing
social democratic Minister of Finance Kjell‐Olof Feldt concluded:
“That whole thing with democratic socialism was absolutely impossible. It just didn’t work. There was no other way to go than market reform.”
Since then, Sanders and his supporters should be aware, Sweden actually worked to revise its economic model based on lessons drawn from its recession.
State-owned companies were sold and financial markets were deregulated; public monopolies were replaced with competition.
Rather than persistently suggesting that the American Dream can be realized by expanding government or raising taxes, it is time for Sanders and his comrades to go back to school and study history.