Financial Times columnist Jurek Martin discussed “Were You Born on the Wrong Continent” last week. I would have posted it earlier but ironically, I was away on vacation. Says Mr. Martin:
I should not overstate Mr Geoghegan’s case – his is not an unqualified paean to European social democracy, nor is it a wholescale condemnation of the American way. But it surely is relevant that, in the present crisis, the one country that has succeeded in restoring fiscal sanity without sacrificing its social democratic principles is Sweden, once held up as the profligate poster-child of the over-taxed, well-padded European social welfare state. (I have been reading Stieg Larsson, so I know whereof I speak, Salander.)
By contrast, America is already consumed by debate over whether to extend, beyond their year-end expiration, the two Bush era tax cuts tilted towards the rich. To me, it is a no-brainer that they should go, in the interests of fiscal responsibility and social equity. The deficit is too big and rich Americans should pay more in taxes.
But political reality is that they will be extended, however modified to include more of the nominal “middle class”. American politicians are scared witless of being demonised for authorising higher taxes, even if much more important issues are involved.
You can read the whole thing at ft.com. Free registration required.
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