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> So here's a smaller community where the majority is fine with high taxation

The higher taxation not come about because "people were fine with it". It was the consequence of a political and social momentum caused by the cold-war era where workers were able to extract concessions from the haves under the threat of a socialist revolution if they did not agree, in turn the result of historical proximity to the revolutionary movements in Europe in the 19th century as well as the geographical proximity to a powerful socialist state for the most part of the 20th century. This momentum is now slowly being eroded by the whole political spectrum on the right, paradoxically including what is left of the Scandinavian social democracies.

The welfare state will likely be a historical parenthesis between the laissez faire economy of the mid 18 hundreds and the new economy where the billionaires once again dictate the whole playing field. Unless a new situation arises where the haves once again willingly will agree to contribute towards funding a welfare state for some reason. I don't see it happening anytime soon however.



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