Wednesday, July 07, 2004

If only the politicians would listen for once

Then maybe they could lower the taxes. According to a survey made by the Swedish Tax Payers Association(Swedish only) and the survey company Demoskop, the Swedish average tax on income should be 36 percent. Compared with the actual average tax, that's 27 percentage points lower than todays 63 percent. Of course, if the public believes that the average tax are much lower than they really are, such comparisons would be quite flawed. But when asked, their opinion was that todays average tax is 59 percent, not so far from the truth.

One interesting point is that you could note some differences between left/right-voters, such as that voters to the right wanted lower taxes compared with voters from the left which is not very surprising. But the differences were not that large, the range went from 35 percent at the low end to 41 percent at the high end.

Surveys like this are troublesome and should not be taken too serious. For instance, if those who answer the survey don't make the connection between a tax reduction and cuts in the welfare system, they will probably overestimate the reduction they want. At the same time, the Swedish welfare system is flawed so they might as well want a reduction so that the taxes equals what you actually receive in return.

Summary and link to the survey(Swedish only).