Since we have been talking about different markets in class, I read an article that discusses a few countries that are doing well using their private sectors as well as government intervention. The Nordic countries, especially Norway, are currently in an economic boom with satisfied citizens. They have found many ways to improve their society. Their taxes have been lowered, corporate income tax is only at 22%, but they have been able to employ and spend enough government money to keep their economy growing. While the US struggles with a deficit that is about 7% of our GDP, Norway only has a 0.3% deficit. Their government is not having to deal with the financial burden that we are here. At the end, the article declares that these countries are not perfect but that they are models that can be studied since it's actually reality and not just theory.
The Next Supermodel
1 comment:
I think the two major things non-Scandinavian Europe, the United States and other developed economies can learn from Europe are the reforms its made to the public sector and the transparency it has in its government. Although we've discussed how the United States prefers efficiency over equity, it seems that the Nordics have an even higher preference for efficiency as they allow the public and the private sector to compete freely as long as everything works. Transparency is also an important aspect to achieve in the government, but in this regard, it may be much more difficult to attain.
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