Global Economics

France Overtakes Denmark for Top Spot in Most Taxes as Percent of GDP

Congratulations are in order. France just topped Denmark as the most taxed nation.

The OECD reports Tax Revenues Rise.

The 2018 edition of the OECD’s annual Revenue Statistics publication shows that the OECD average tax-to-GDP ratio rose slightly in 2017, to 34.2%, compared to 34.0% in 2016. The OECD average is now higher than at any previous point, including its earlier peaks of 33.8% in 2000 and 33.6% in 2007.

France Overtakes Denmark

The tax collection blue ribbon now goes to France. Congratulations!

Vs the OECD average of 34.2%, French taxes amount to 46.2% of GDP. Denmark, Sweden, Italy, and Greece round out the top five.

In addition to the blue ribbon, what else does France get?

Riots

Amusingly, it was a promise delivered: Macron Promised a Revolution, He Got One, Against Himself

In response, I offer this bit of political advice: Politicians Beware: It's Best Not to Deliver What You Actually Promise.

How Did This All Start?

Good question.

Macron raised diesel taxes to pay for the global warming reduction effort that he campaigned for.

Where Are We Now?

That's another good question.

In response to the riots, please note: France Suspends Diesel Tax Hike.

Musical Tribute

I am certain readers would like a fitting musical tribute to these events. I posted this before but who can resist another Beatles tribute?

Comment of the Day

You say you want a revolution. Well, you know. We all want to change the world.

Mike "Mish" Shedlock

23 Responses

  • thimk

    Dec 6, 2018

    congrats to the french people- hopefully it will be the "shot heard around the world" . as a complimentary tribute to this event : https://www.youtube.com/watch?v=y8OgkjcW0g4

  • 2banana

    Dec 6, 2018

    At what point, between 1% and 100% taxation, does a person become a slave?

  • Schaap60

    Dec 6, 2018

    On charts of taxes as a percentage go GDP like the one in this post, does the US percentage include state and local taxes or only Federal taxes? Thanks.

  • gregggg

    Dec 6, 2018

    "shot heard around the world" https://www.youtube.com/watch?v=SHhrZgojY1Q

  • Sechel

    Dec 6, 2018

    The issue is what French cost of living. Taxes are only part of the equation. In France the cost of education and health care are low, while in other countries people take that debt on personally. I'd be more interested in hearing how France compares to other countries when looking at the totality. In the U.S. the cost of an education and getting access to health care is quite expensive.

  • Bill7718

    Dec 6, 2018

    Are there also equivalent figures for public spending as % of GDP?

  • TSPsmart.com

    Dec 6, 2018

    Don't tell the supply-sider extremist, but since 1990 France's GDP outgrew lower-taxed Germany, and Germany's GDP outgrew lower-taxed Japan.

  • KidHorn

    Dec 6, 2018

    My wife has relatives in France. One sisters family had a single wage earner who retired after 20 years. Apparently in France, it's normal to retire after working for 20 years and citizens think it's their right to retire after 20 years. Their son came to the US to go to college because he couldn't get into a french college. I had to help pay for his college since his dad was retired, After graduation, he had to go back to France because surprisingly it's near impossible to find a good job in the US if you majored in something worthless and no one can understand your English. Another sister got a free 3 bedroom apartment and was paid to take care of her mother. Taking care of a parent is a job in France and the government will pay you a salary to do so and give you a free place to live. Her mom passed and the government decided that a 3 BD apartment was too big for one person so they tried to move her to a smaller apartment. Which was also free. She refused to move. I'm not sure what happened. All her relatives call us after 9 PM EST, which is after 3 AM in France. I guess if you don't have to wake up and go to work, you can make phone calls at 3 AM.

  • Webej

    Dec 6, 2018

    If you add in what what middle class Americans pay for health care insurance and college education, you will have better comparable figures. Of course it is impossible to really generate comparable figures (think of Montreal where they spend a lot on snow removal, or Miami, where they have to pump out the sea water, etc.), but without taking into account what you get in return, comparisons are silly propaganda. Private or public insurance, garbage removal, home care, etcetc? Of course Americans get back the glory of their national security wars and intel community subversion of democracy and the "free" press.

  • ridderbos

    Dec 8, 2018

    I agree. The data is meaningless. To equalize US you would have to add health care burden on GDP born by private individuals, probably 12% of GDP, then all non tax "fees" that we bear such as tolls, surcharges, auto registration charges and on and on. Then you would have to compare government benefits that get returned to the private sector and US would come off much worse there. Then you have to compare the value of how dollars are spent. US wastes massive amount on military that could go to something constructive. So fuck these kinds of worthless comparisons.

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