Is Denmark Socialist? | 5 Minute Video

Socialism has failed across the world – from the Soviet Union and Eastern Europe to China, Vietnam, North Korea and, most recently, Venezuela. So now the left references countries like Denmark as “proof” that socialism works. Otto Brons-Petersen explains why they’re wrong: Denmark is just as capitalist as the United States.

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Script:

I am a citizen of Denmark, the Disneyland of socialism, where everybody is happy and healthy.
Forget the Soviet Union, Cuba, Venezuela and all those power-mad Marxists who got it wrong. Denmark is the model to follow.

There’s just one problem. It’s a fantasy.

For it to be true, Denmark would have to be a socialist country. But it’s not. If it were, it would have gone “Venezuela” a long time ago. Sorry to bring all the new fans of socialism the bad news. But that’s the reality.

Yes, it’s true that Denmark has high taxes and a high level of government spending—key features of a socialist mentality. But in almost every other respect, Denmark is a full-on free market capitalist country.

And it has some of the strongest protections of individual property rights in the world.

And it’s a particularly easy place to open a business. According to the World Bank, there is less bureaucratic red tape in Denmark than in any other country, except for New Zealand and Singapore.

And the labor market is less regulated than in most countries. Here’s something you probably didn’t know: there are no minimum wage laws in Denmark.

It’s not surprising then—or maybe it is surprising, given all the misinformation out there—that Denmark ranks consistently as one of the top-ranked free market economies in the world by The Fraser Institute in Canada and The Heritage Foundation.

So, if Denmark is not a socialist country, what is it?

The answer is pretty straightforward: it’s a small capitalist country (about the size and population of Maryland) whose citizens pay oodles in taxes in exchange for oodles in benefits.

Well, what’s wrong with that? you might ask.

Only this: for the government to pay out such benefits, you need citizens to make enough money to pay the necessary taxes.

And that’s only possible through a free market economy.

Let me explain—with some Danish history.

Denmark, like its Scandinavian neighbors, Sweden and Norway, made a remarkable economic recovery after the Second World War. The combination of a highly productive work force and—get this—low taxes created a lot of wealth.

So like every other wealthy welfare state, Denmark became wealthy before it created the welfare state.

Relative to Europe, Denmark’s economic high-water mark was in the 1950s; relative to the US, it was the early ‘70s. It was then, in the late ’60s and early ’70s, that the country’s ruling elite became preoccupied with wealth redistribution. But the price paid for this social experiment was steep and swift.

The expansion of public spending led to a severe economic crisis. The national debt skyrocketed. It took decades of consolidation, structural reforms and curtailing of welfare schemes to straighten out this mess.

This is the stuff you never hear about from the “Danish model” crowd.

The sharp tax hikes and spending also sparked a widespread popular revolt and led to the emergence of the “tax protestors” party, Fremskridtspartiet. Even though the party no longer exists, the widespread desire to cut taxes remains.

[Milestonemonger]

I lived in Finland, same story. Most leftists in the America assumes it's a socialist country. It isn't.

[emilstrandell]

As i finn i am always happy to hear other nordic countries get it right. We are not socialist

[DANLAROCA-dxgk]

Leftists are always trying to justify socialism with imaginary false claims.

[Orrator]

As a Citizen of Denmark, I can tell you that Denmark is NOT a socialist country

[Kurucifjonc]

The problem with socialism is that you eventually run out of other people's money

[VenomousCompany]

In many ways Denmark is more Capitalist than America is.

[LivingfreewithSophie]

In Denmark, we have a saying "frihed under ansvar" which translate into "freedom under/with responsibility". It basically means that the price of (personal) freedom is that YOU are responsible and ccountable for what you do with that freedom. Danes are more than happy to pay that price and to live in a capitalist country with a free market 🇩🇰🇩🇰🇩🇰

[lisacanterbury]

Denmark doesn't technically have a minimum wage, but they encourage and have strong labor unions that allow for high wages effectively raising the minimum wage for most jobs.

[galahi]

No, as person who has conservetive family in Denmark i can asure it isnt socialist

[emporerpenguin]

YES! Finally the myth of my country Denmark being a socialist utopia has been deflated! Thank you PragerU!

[watchdealer]

Scandinavia is socialist the same way Taco Bell is authentic Mexican cuisine.

Scandinavia is socialist the same way The Last Airbender is a cinematic masterpiece.

...

Scandinavia is socialist the same way Logan Paul is an American hero.

[adamr.]

US = Market based economy with weak welfare system.
Denmark = Market based economy with strong welfare system.

As long as the bottom half of the population is doing well and everyone "feels" treated fairly, the country will prosper.

[oliv]

I'm from Denmark and I approve this message

[thewashh]

The first part of the video is fairly acurate.
The last half of the video leaves out a few important details:

- The crises he is refering too was caused by bad handling of the economy mainly by one left-leaning goverment. Somewhat similar to what happened in greece a few years ago. It wasn't their political views but the incompetence and overspending done by the goverment that let to the crisis. It's an important distinction cause the video leaves the impression that the system was bound to self-implode which it wasn't.

- While it is true that private run health care has been growing slightly in the later years, this is mainly due to changes forced by the goverment. Most of it is due to either cuts or increased expences related to medicin. It makes a lot of sence to have the private alternative which has always been part of our health care model in Denmark, but over 80 % of danes agrees that it should remain a supplement and do still prefer the our current system to a fully privately driven health care system. The case of private schools are very similar.

- The statement "There is a growing problem of getting students to graduate" is misleading at best. First of all, if there is a problem, it is not growing. It's declining - currently danes are finishing their studies faster than has been the case for many years. Secondly the fact that some people chooses to take a break at times while studying a 5-year master is generally viewed as a natural thing in Denmark. While it may have been possible to study forever 10 years ago very few people did it back then and it's certainly not possible today.

- Lastly while it is true that the avarage danish income after taxes is alot smaller than the average american income 2 important details are missing:
1: Since danes pay many of the monthly expences like healthcare via their taxes it doesn't nessecarily mean that the american will have more money left after paying these expenses.
2: If you exclude the richest 1% of both danes and americans the result is the opposite. So while the average american may have a 27% higher disposable income than the average dane that differense is not experienced for 99% of the population.

All in all it is still one of PragerU's more acurate videos.

[austinthesan-antonian]

phones at 1%

last video for the day.

*salutes*

[fladlaksen]

This guy’s accent is thicker than a bowl of oatmeal

[WeAreWafc]

The means of production are controlled by individuals and corporations, not the state, so it’s not socialist.

[nettles]

No Minimum wage?? Dear God, they must all be dying! Think of the children!

/sarc

[Tidushii]

Love the Danes they invented LEGO <3

[jve]

The Danish accent is seriously my most favorite accent of all. It just sounds so nice to listen to. Also, when I'm in Denmark, I feel right at home since it looks so much like my own country, the Netherlands.