Why does your Swedish sister prefer life in the US? I would be interested to know, since a lot of arguments in favour of the “European model” are made in terms of quality of life rather than GDP per capita.[/quote]
She has long complained of the tax rate there. It is very difficult for her to save any money to do other things, such as travel outside of a few locations in Europe. She is a nurse who specializes in the treatment of patients who have suffered severe burns. Her ex-hubby was a janitor at the same hospital. They made nearly the same amount of money, after taxes. She spent her time in training and treating patients. He mowed the lawn and played ping pong.
[quote=“imyourbiggestfan”]Also, it strikes me that using “output per worker per hour” to measure relative levels of productivity may be somewhat misleading.
Let’s assume that because of artificially high costs (meaning government intervention in the labour market), Europe has a high unemployment rate. Surely, this will mean that Europe will employ only those workers who are productive enough to be employed profitably given the artificially high costs. Thus, the market does not clear. In the US, however, with a lower unemployment rate, many more of the less productive workers are employed.
So, you are comparing Europe’s most productive workers against a US sample which includes some of its least productive workers.[/quote]
Well, I’m not making the comparison… I just provided the article for your reference. I am somewhat of an idiot when it comes to this subject matter. I try not to discuss matters in which I am not well informed or knowledgable.