1 comment:

Gringo said...

Bernie fans: "But Bernie didn't mean Socialism in Venezuela, he meant Socialism in Scandinavia." There are several problems here. First, Scandinavia doesn't consider itself Socialist. At least the Prime Minister of Denmark doesn't. Second, Bernie has praised Venezuela.

Denmark's prime minister says Bernie Sanders is wrong to call his country socialist Bernie Sanders has long referred to himself as a socialist rather than a member of the Democratic Party, which has naturally led to a lot of questions about what socialism means to him. He consistently references the social models of the Nordic states — especially Denmark — as his idea of what democratic socialism is all about. But in a speech Friday evening at Harvard's Kennedy School of Government, Danish Prime Minister Lars Løkke Rasmussen said that while he's flattered to see Denmark discussed in a widely watched US presidential debate he doesn't think the socialist shoe fits.
"I know that some people in the US associate the Nordic model with some sort of socialism," he said. "Therefore, I would like to make one thing clear. Denmark is far from a socialist planned economy. Denmark is a market economy."
In Rasmussen's view, "The Nordic model is an expanded welfare state which provides a high level of security to its citizens, but it is also a successful market economy with much freedom to pursue your dreams and live your life as you wish."

Bernie as a fan of Chavista Venezuela, in 2011.Close The Gaps: Disparities That Threaten America These days, the American dream is more apt to be realized in South America, in places such as Ecuador, Venezuela and Argentina, where incomes are actually more equal today than they are in the land of Horatio Alger. Who's the banana republic now?

From GINI World Bank data, it appears that Bernie's claim about income inequality was never right about Ecuador or Argentina, as the US has lower GINI, thus more equality. I leave Venezuela out of the argument, as a country where per capita income has fallen 50% in 6 years is much more the Banana Republic than Bernie thinks it is. (And anyone who knew Venezuela back in 2011 knew that the Chavista claims about its accomplishments were smoke and mirrors, even with $100 oil.)

GINI Argentina
2004 48.3
2005 47.7
2006 46.6
2007 46.3
2008 44.5
2009 43.9
2010 43
2011 42.3
2012 41.2
2013 41
2014 41.4
2016 42.4

Gini Ecuador
2004 53.9
2005 53.1
2006 52.2
2007 53.3
2008 49.7
2009 48.4
2010 48.7
2011 45.9
2012 46.1
2013 46.9
2014 45
2015 46
2016 45

Gini USA
2004 40.5
2007 41.1
2010 40.4
2013 41
2016 41.5

Which would indicate that Bernie's claim about higher income equality in Ecuador and Argentina, compared to the US, was not correct.

Wikipedia has several inequality sources. Ironically, the CIA is the source which gives the US a high GINI of 47 or so circa 2007- which would support Bernie's claim. As the Fed lists GINI for the US as being in the 40-41 range for the last 15 years, I will dismiss the CIA data.