Bernie Sanders' Phony Free College Claims

Whether it's during a debate with Hillary Clinton or at a campaign appearance on the road, Bernie Sanders continues to hype his plan for tuition-free college by arguing that "countries all over the world" provide this benefit to their students.  Usually, he mentions socialist Sweden as his shining example.

The problem with Sanders' "all over the world" comment, is that only 9 countries in a world of nearly 200 have tuition-free college: Denmark, Estonia, Finland, Germany, Norway, Slovak Republic, Slovenia, Sweden and Turkey.  That is not the impression he leaves you with when he says "countries all over the world". Also understand, that when he uses the term "tuition-free" many seem to think that all the costs of going to college will be paid for; just as in Sweden.

Now here's the truth:

College graduates in Sweden enter the workforce with the highest ratio of college debt-to-income in the world, because in order to pay for all the "free stuff" they get, the worker taxation rate is about 60%.  Whereas, in the U.S. the average worker pays 31% in taxes.  And, yes, they do have college debt, which Bernie implies doesn't exist. In fact, 85% of Swedish college graduates have debt equaling $19,000; when, in the U.S., only 50% of students have any debt. When they do, it averages $24,800. Also understand, that free tuition doesn't include fees, course materials, room, board, and transportation costs; and these are typically the highest costs for those not living at home. Also, because of the high debt-to-income ratio and high costs of living and taxation, Swedish graduates take years longer to pay off that supposedly smaller debt.

Sadly, Bernie Sanders is distorting the issue of tuition-free college for pure political gain.  Once again "the grass isn't always greener on the other side".

References:

Sanders said, "Making public colleges and universities tuition free, that exists in countries all over the world, used to exist in the United States.": http://www.politifact.com/florida/statements/2016/feb/09/bernie-s/was-college-once-free-united-states-and-it-oversea/

The High Price of a Free College Education in Sweden:  http://www.theatlantic.com/international/archive/2013/05/the-high-price-of-a-free-college-education-in-sweden/276428/

Do Supporters of Bernie Sanders Really Understand Democratic Socialism?

Bernie Sanders calls himself a Democratic Socialist and half of Iowa's caucus voters, and 60% of New Hampshire's primary voters, and nearly half of Nevada's caucus goers voted for him.  But, do these people really know what a Democratic Socialist is?

Well, here's what the Democratic Socialists of America (DSA) say about that on their website:

Democratic socialists believe that both the economy and society should be run democratically—to meet public needs, not to make profits for a few. To achieve a more just society, many structures of our government and economy must be radically transformed through greater economic and social democracy so that ordinary Americans can participate in the many decisions that affect our lives. 

Their key goal, at least economically, is the above statement "to meet public needs, not to make profits for a few".  In essence, and regarding this nation's 250,000+ corporations, this, again from their website, explains it:

Democratic socialists do not want to create an all-powerful government bureaucracy. But we do not want big corporate bureaucracies to control our society either. Rather, we believe that social and economic decisions should be made by those whom they most affect.

Today, corporate executives who answer only to themselves and a few wealthy stockholders make basic economic decisions affecting millions of people. Resources are used to make money for capitalists rather than to meet human needs. We believe that the workers and consumers who are affected by economic institutions should own and control them.

Social ownership could take many forms, such as worker-owned cooperatives or publicly owned enterprises managed by workers and consumer representatives. Democratic socialists favor as much decentralization as possible. While the large concentrations of capital in industries such as energy and steel may necessitate some form of state ownership, many consumer-goods industries might be best run as cooperatives.

Thus, Democratic Socialists want to destroy the very things that make this country great: The corporate structure and free enterprise system that have created 65% of the jobs in this country in the last 20 years, with wages that are 50% higher than smaller companies. Instead, they would have them run by committee; made up of workers and consumers.  With companies being less profitable and more "needs" oriented.  Does anyone think you'd have an Apple iPhone under that kind of "needs" oriented agenda? Or, for that matter, would we have many of the things that we all enjoy today made by -- you guessed it -- profitable corporations run by corporate executives whose goals are to create new products for us and become exceptionally competitive by producing those products at a lower cost?

This is why Democratic Socialism doesn't exist anywhere in the world. Even the closest thing to it, Sweden, is on its way to dumping its socialist way of life. That's because Sweden's high taxes, like a 25% VAT tax, are taking its toll. Compared to the United States, the average home is 60% smaller and only half of all Swedes own a car, compared to over 80% of Americans. The average workers after-tax income is just 40%. And, in 2005, the number of workers was only 4.46 million in a population of 9 million.

By the way, the organization "Democratic Socialists of America" had exactly 6,204 members in 2012.  Not exactly proof that Americans are eager to embrace their philosophy.

References:

Democratic Socialists of America: http://www.dsausa.org/what_is_democratic_socialism

Wikipedia: Democratic Socialists of America: https://en.wikipedia.org/wiki/Democratic_Socialists_of_America#Membership_size

Who actually creates jobs: Start-ups, small businesses or big corporations?: https://www.washingtonpost.com/business/on-small-business/who-actually-creates-jobs-start-ups-small-businesses-or-big-corporations/2013/04/24/d373ef08-ac2b-11e2-a8b9-2a63d75b5459_story.html

Big firms pay 50 percent higher wages than small businesses, study shows: https://www.washingtonpost.com/business/on-small-business/big-firms-pay-50-percent-higher-wages-than-small-businesses-study-shows/2012/11/28/e24a1f58-3970-11e2-a263-f0ebffed2f15_story.html

The strange death of social-democratic Sweden: http://www.economist.com/node/17039151

The economy of Sweden: https://en.wikipedia.org/wiki/Economy_of_Sweden

Bernie Sander's Fascination With Scandinavian Economies

During the Democrat Debate, Bernie Sanders, the consummate socialist, remarked that we should model our economy after European countries such as Denmark, Sweden, and Norway.  Of course, the only reason he mentioned these Scandinavian countries is because they're socialist, cradle-to-grave nanny states that have shown themselves able to provide a high standard of living.  Other European socialist states like Spain, Greece, Italy, Portugal, and Ireland are struggling to survive.

But, what Sanders doesn't seem understand, is that these countries have small populations; less than 10 million people with a wealth of huge stores of natural resources -- relative to their population -- which strongly helps to support their economy.  More importantly, the Nordic race has a very strong work ethic.  As a result, the unemployment rates and poverty levels are fairly low.  A strong work ethic also means that there is very little corruption.   Thus, there is little government interference in business activities in terms of regulations; making them one of the most freely capitalist economies in the world.  Additionally, that same work ethic means that their population is better educated; and this too results in stronger businesses and the creation of new businesses.

Here's the simple fact. None of the above attributes of these Scandinavian countries are transferable to this country.  Just as the failure of socialism to work in Greece. Our highly mixed population and our economic base are totally different.  Also, understand how much those countries pay to achieve the level of socialism they have today.  For example, in Sweden, the cost to pay for their programs is equal to more than half (51.9%) of that nation's total economic output; as measured by Gross Domestic Product.  In this country, our government outlays are $3.5 trillion on an economy of $17.4 trillion; or, just 20% of our Gross Domestic Product.  In order to achieve what Sweden has achieved, we would have to have massive increases in federal taxes.  Even more, if we want the current $18+ trillion debt reduced or eliminated.  Probably a third of all workers would work for the government.

Lastly, to pay for all this socialism, these countries tax everyone in the form of a Value Added Tax.  A form of a 25% national sales tax (not applicable to food and some services that would impact tourism).  That's because simply taxing the rich -- as Bernie Sanders would suggest -- won't even come close to paying for the large increase in socialism he is proposing.

References:

Clinton, Sanders spar over capitalism, gun control at Democratic presidential debate:  http://www.amny.com/news/clinton-sanders-spar-over-capitalism-gun-control-at-democratic-presidential-debate-1.10959244

Economy and Business Environment: http://www.heritage.org/index/country/sweden

Is Sweden a False Utopia: http://www.newgeography.com/content/001543-is-sweden-a-false-utopia

Does Scandinavian Socialism Work?: http://www.frontpagemag.com/fpm/101480/does-scandinavian-socialism-work-steven-plaut