Kerby Anderson

If you are on any social media, you have probably seen the many memes people have produced about Denmark. Some claim that Denmark has free healthcare and free college. All of them remind us that Denmark is the happiest country in the world. All sorts of articles and blog post challenge many of these claims. In fact, I feel sorry for people from Denmark because some of criticisms are very harsh. Let me say that if you live in Demark or plan to move there, go ahead. It is a nice country, but be aware of the economic facts behind these claims. First, Denmark has one of the highest if not the highest taxes in the world. And we are not only talking about high income taxes but also high sales tax. Once you understand that, you can see that free healthcare and free education come at a very significant economic cost. Second, free healthcare works well for people with minor ailments and minor injuries. But if you have a more significant medical condition, you likely with find yourself on a “waiting list.” As one commentator put it, “you get in line and await your turn to get the health care you’ve already paid for.” Of course, if you are rich you can go to a private hospital or clinic and pay for healthcare you already paid for with your taxes. Third, free education may not be as good for society as you might think. On the one hand, students graduate from college without the debt load many in the U.S. face. However, one article in the Business Insider explains that: “Too many [students] pursue fulfillment and too few the science and engineering degrees needed in well-paid growth sectors critical for the nation’s future.” And again, if you have money, you probably will put your kids in private school rather than public school. All of these claims sound good until you begin to investigate them. All of this free stuff actually costs lots of money, but that never shows up in any of the memes about Denmark.