Thursday, May 27, 2004

Yeah, we're so great. Part 2.

A study by this man and some other people made the news(Swedish only) in Sweden the other day. According to the study, only 4 out of 100 Swedes are interested in starting a business or have recently started one. The same number for the US are 12 and top scorer Uganda 29.

Reynolds mentions the size of the public sector, the unemployment benefit schemes and that the population share of younger people are getting lower. Now, regardless of what you think of the welfare state and the size of it (personally, I more or less side with Friedrich Hayek on that issue) the government needs a stable source of income, and if the welfare state harms the entrepreneurship you'll have to ask yourself whether or not the welfare state in the long run actually helps the poor. Tyler Cowen have written on that issue.