Look closer at Norway’s Socialism

A recent letter used Norway as an example of Socialism’s success: free education, free health care, “happy” people.

I had firsthand experiences of this, as I lived in Norway for two years.

Norway is one of the wealthiest countries in the world but the cost of living is also very high.

Food prices are outrageous. Each slice of bacon cost me the equivalent of $1 U.S., and a tiny, whole chicken cost about $7.

Housing and utilities are also high, and gasoline cost the equivalent of about $12 for a gallon. Of course, Norway’s oil company (Statoil) is state-owned and operated. In fact, the state drives nearly all the economy, since it is the controlling shareholder in eight of Norway’s top 10 employers (e.g., Statoil, DNB, NorskHydro).

The government will freeze wages and prices to control inflation. This happened while I was living there. No pay increases and stores could not increase prices despite higher costs for imported products.

Norway is also one of the most heavily taxed countries in the world. The high taxes needed to support Norway’s Socialism limit hopes of achievement. There is no cultural drive to work hard and get promoted. Higher wages vanish with health care and income taxes.

Norway’s universal access to health care results in the highest costs per person in the world. Medical treatment is free for those younger than 16, but others must pay a deductible each year before becoming eligible for an exemption card. A doctor’s prescription is needed for all medicines, even aspirin. Those needing testing or special care travel great distances, as only one facility in the country has the necessary equipment/personnel. There is no medical liability, since a government-sponsored system cannot survive malpractice lawsuits.

Health care is covered by the Norwegian National Insurance Scheme. Residents pay this tax from their first working day. In 2017, this tax was 8.2% of gross income.

Personal Income Tax is expected to be 38.52% by the end of this quarter. This was the record low in 2017. The all-time high was 47.5% in 2000.

A health care tax rate of 8.2%, plus this quarter’s income tax rate of 38.52% reduces one’s pay by almost half (46.72%). Would you be willing to take home half your salary while Uncle Sam takes the rest?

Norway’s sales tax is 25%, so a car selling for $20,000 would cost $5,000 more for this tax. Sales tax is 6% in Pennsylvania.

Are Americans ready to accept Socialism and its culture?

JoAnn Paslawsky

Tamaqua