Tag Archives: Denmark

The Questions Posed by the World’s 2015 Elections

  By

15 national elections I’m watching on 2015 and the questions I’m asking about them, organized in chronological order.

voting

Greece: Can modern Greek democracy survive the combined effects of years of extraordinary fiscal mismanagement, a devastating recession, and a sudden day of reckoning (austerity) stage-managed from Berlin? That’s the bigger question the world is asking when Greece heads to the polls this coming weekend, behind narrow questions of what might happen in the next six months. Newcomer “Syriza” – a party with moderate rhetoric, yet still an unknown quantity – has led the polling average since November 2013, more than a year before snap elections were called. Syriza could shake things up — for good or ill — in the country whose ancestors founded much of Western democracy. On the other hand, the ancient Greeks also formalized the concepts of “oligarchy,” “aristocracy,” and “tyranny,” so that’s not a huge comfort. Modern Greek democracy is just 40 years old, and Plato might forecast a turn to a less participatory form of The Kyklos (the cycle of governance between such forms) is about due. The rise of the neo-Nazi “Golden Dawn” as a potent force in Greek politics offers that grim path.

Nigeria: Should a young democracy re-elect a civilian president from the same party that has won every election since 1998? Should it do so despite his record of extreme incompetence in handling an insurgency that has now seized more territory than ISIS controls in Africa’s most populous nation and largest economy? What if the alternative choice is a former military dictator and perennial also-ran? These are the basic questions facing Nigerians in February’s election that will see once-accidental President Goodluck Jonathan of the People’s Democratic Party face off against Gen. Muhammadu Buhari at the head of an increasingly powerful opposition coalition and amid plunging oil prices. The legislative chambers are also up for election. Even if Jonathan is re-elected, he may face a hostile majority.

Israel: Can the Israeli left make a serious comeback in the country’s politics after Israel voters increasingly veered to the right and after significant party changes shattered the Labor Party for almost a decade? Would it make any difference to Israel’s relations with its neighbors and the world at large? Would it change the economic fortunes of average Israelis?

United Kingdom: Is the Westminster System — as it has traditionally existed in its tripartite form since the arrival of universal male suffrage — finished in Westminster itself? UKIP, the Scottish National Party, and other parties outside the Big Three make another coalition government of some kind almost a certainty – likely with huge effects for the British populace and their place within the European Union.

Mexico: Will the insulated Federal District finally be shaken out of its slumber by a growing protest movement and other reactions to the total capture of Mexican state and local government by the cartels? The Congress is up for election, but without a sea change in the foreign-focused Peña Nieto administration, few expect serious policy shifts at home, whatever the outcome of the midterms. Still, nobody expects the Spanish Inquisition any more than they expect a spontaneous mass uprising that forces just such a sea change. Could be too early to tell.
Read more

Denmark’s fast food wages

  By

Despite no minimum wage law but because of very strong unions and bargaining arrangements, Danish workers make more than twice as much money per hour working for US chains there as most of our workers make working for them here. And that’s on top of their generous government programs and universal healthcare. Curiously, the companies still make a profit (a smaller one, but it’s still there) and retain employees better, and those fast food employees don’t need to be on public assistance like half of ours are.

You’ve got to have one or the other (if not both) — a good minimum wage law or a labor union capable of negotiating against an array of vast corporate entities — to stand a chance of achieving a situation like this. Yes it means the corporate profits are slightly reduced and the prices are slightly raised, but the workers aren’t forced to live in poverty with food stamps and little to no healthcare, and instead they can pay for housing and consumer goods and move themselves and the wider economy up in the world.

Either way, we end up paying the bill somehow, whether at the point of sale or in taxation. Shouldn’t the goal, even for conservatives, be for the market to provide workers with a living wage and the dignity that comes with that, so taxes and government spending aren’t even involved?

Links to our past coverage of comparisons between US and European labor market systems are below. Read more

EU Elections, the Rising Populists, and Why Europe is Worried

  By ,

Guest post by Etienne Borocco in France: Europe went to the polls last weekend and elected a lot of fringe politicians to the EU parliament. So what does it all mean?

Traditionally, the turnout is low in the European elections: only about 40%. This year, it was 43%. The functioning of the European Union is quite complex, as depicted in the chart below:

Illustration 1: Flowchart of the European political system (Credit: 111Alleskönner - Wikipedia)

Illustration 1: Flowchart of the European political system (Credit: 111Alleskönner – Wikipedia)

Why the EU elections matter — and why the media and most voters ignore them:

The directly elected European parliament and the unelected Council of the European Union (Council of Ministers) co-decide legislation. The European Commission has the monopoly of initiative, i.e. it is the only one to initiate proposals. The European Parliament can vote on and amend proposals and has the prerogative to vote on budgets. If the Council of European Union say no to a project and the parliament yes, the project is rejected. So the parliament is often described as powerless and its work, which is often about very technical subjects, does not hold the media’s attention very much. Consequently, the European elections to vote for Members of the European Parliament (MEPs) have a low turnout – and a lot of electors use it to express concerns about national subjects.

For example in France, 37% of the registered voters answered that they would vote by first considering national issues and 34% also answered that they would vote to sanction the government. The proportional vote system (in contrast with America’s first-past-the-post Congressional elections, for example) gives an additional incentive to vote honestly according to one’s opinion, rather than strategically for a major party (or major blocs of allied parties in the case of the EU parliament).

The May 25th European election was a shock in the European Union, even after the small parties had long been expected to do well. The biggest parliamentary groups in the European parliaments lost seats, while parties that reject or contest the European Union rose dramatically.

In Denmark, in the United Kingdom, and in France, the anti-euro right wing took the first place. It was particularly striking in France because unlike the traditionally euroskeptic UK or Denmark, France was one of the founding countries of European integration and is a key member of the eurozone (while the other two are outside it). The Front National (FN), which has anti-EU and anti-immigration positions, gathered one quarter of the vote in France. Non-mainstream parties captured significant shares in other countries, although they did not finish first.

Populist/Right-wing/Anti-EU party vote share by country in the 2014 EU elections. Data via European Parliament. Map by Arsenal For Democracy.

Populist/Right-wing/Anti-EU party vote share by country in the 2014 EU elections. Data via European Parliament. Map by Arsenal For Democracy.

The new seat allocations:

Let’s look at the gains and losses. With the exception of the socialist bloc, the traditional parties lost seats — particularly in the mainstream conservative EPP and centrist ALDE blocs, which virtually collapsed. The May 25 European parliamentary elections also marked the notable appearance of new populist right-wing parties in Eastern Europe, among the newer member states. For example, two conservative libertarian parties (movements that are a bit like a European version of Ron Paul) won seats – the KNP in Poland and Svobodní in Czech Republic. Moreover, the national government ruling parties were hugely rejected in most countries, whether by populist fringe parties dominating (as in France, the UK and Denmark) or by the main national opposition parties beating the ruling parties.

2014-european-election-results-table

Among the non-aligned (NA) members elected, if we exclude the six centrists MEPs of the Spanish UPyD (Union, Progress and Democracy), the 35 MEPs remaining are from far-right parties.

Among the 60 “Others” MEPs, there are 3 MEPs of Golden Dawn in Greece and 1 MEP of the NPD in Germany, both of which are neo-Nazi parties. The NPD was able to win a seat this year because Germany abolished the 3% threshold. With 96 seats for Germany, only 1.04% of the vote is enough to get a seat. The Swedish Democrats (far right) got 2 seats. In total, 38 MEPs represent far-right parties, out of a total of 751 MEPs.

So why do observers talk about an explosion of far right?

Beyond those scattered extremists, the vote for the more organized euroskeptic, hardcore conservative, and far right parties all increased sharply. The UKIP in UK (26.77%, +10), the National Front (FN) in France (24.95%, +18), the Danish People’s Party (DPP) (26.6%,+10) and the FPÖ in Austria (19.7%,+7) rocketed from the fringe to center stage. The UKIP, the FN, and the DPP all arrived first in their countries’ respective nationwide elections, which is new.

Other parties elsewhere did not come in first but performed unexpectedly (or alarmingly, depending on the party) well this year. For example, although the Golden Dawn only won three seats from Greece, they did so by winning 9.4% of the country’s vote, even as an openly neo-Nazi party. The Swedish Democrats (9.7%, +6.43) and the Alternative For Germany (7%, new) also made a noteworthy entry in the parliament.

Their shared characteristic of all these parties, regardless of platform and country of origin, is that they are populist in some way.

True, under the word “populism,” a lot of different parties are gathered and their ideologies may vary. While most of these parties claim to be very different, we can, nonetheless, put everyone in the same basket for the purposes of this analysis, to understand why the results were so shocking. Their core point in common is that they all claim represent the people against “the elite” and “Brussels” which embodies both “evils”: the EU and the euro.

We could use the following system to classify like-minded populist parties:
Read more

Denmark: F@#$ YEAH!

  By

If you were to ask me what my favorite country in the world is (besides the US of course, ILYSM) I would definitely pick Denmark. I have visited Denmark several times and I have some Danish friends, and I have got to say it is pretty cool in lots of ways. They are masters of alternative energy, particularly wind power (the world’s biggest wind turbine company, Vestas, is Danish). They have supertrains everywhere that completely put the “T” and Amtrak to shame. The entire country is bike friendly and there are bike lanes on pretty much every road (I would know – I’ve biked across the country). The Danes are a warm, socially tolerant, friendly, and beer-loving people. (Oh, and full disclosure, my uncle was the US Ambassador to the country in the 90s). But there’s another reason why Denmark is kickass: its economy.

John Cohn at TNR explains that America isn’t turning French, its turning Danish, and why this is good. (Video no longer available. Sorry! -ed.)

Cohn also wrote a terrific piece about Denmark in TNR two years ago. It’s not on the website anymore (TNR has sucky archives), but I found it.

If you believe the conservative rhetoric on economics, this combination of high taxes, a large public sector, and lavish welfare benefits ought to be killing the Danish economy. But it’s not. In fact, Denmark’s economy has thrived. And nowhere is that more apparent than in the job market. By the time Rasmussen left office in 2001, the unemployment rate had fallen from a 1994 peak of 9.6 percent to 4.3 percent; in 2002, it fell below the U.S. rate, where it has remained ever since. For the most recent quarter of 2006, Denmark’s standardized unemployment rate was 3.6 percent, compared with 4.7 percent in the United States. Moreover, while Europe has a reputation for fostering cadres of idle youth (a reputation that, in countries like France, has at least some basis in reality), in Denmark, a mere 3 percent of its 15- to 19-year-olds are neither in school nor working–the second-best rate in the developed world. (Tiny Luxembourg is first.) In the United States, by comparison, the figure is about 7 percent.

 
Bob Kuttner also wrote about Denmark’s pwnage in Foreign Affairs (subscriber wall, sorry).

Reading Adam Smith in Copenhagen — the center of the small, open, and highly successful Danish economy — is a kind of out-of-body experience. On the one hand, the Danes are passionate free traders. They score well in the ratings constructed by pro-market organizations. The World Economic Forum’s Global Competitiveness Index ranks Denmark third, just behind the United States and Switzerland. Denmark’s financial markets are clean and transparent, its barriers to imports minimal, its labor markets the most flexible in Europe, its multinational corporations dynamic and largely unmolested by industrial policies, and its unemployment rate of 2.8 percent the second lowest in the OECD (the Organization for Economic Cooperation and Development).

On the other hand, Denmark spends about 50 percent of its GDP on public outlays and has the world’s second-highest tax rate, after Sweden; strong trade unions; and one of the world’s most equal income distributions. For the half of GDP that they pay in taxes, the Danes get not just universal health insurance but also generous child-care and family-leave arrangements, unemployment compensation that typically covers around 95 percent of lost wages, free higher education, secure pensions in old age, and the world’s most creative system of worker retraining.

 
As these quotes make clear, the key to Denmark’s success is, the combination of dynamic, free market economies, and strong social safety nets. Of course, the US and Denmark are very different countries, so we can’t adopt these policies overnight. But Denmark’s example does point the way forward for liberals and America in the future.

This post originally appeared on Starboard Broadside.