If you pull up a list of countries by tax rates and some quality of life index they seem to be pretty corrolated so I would not say it is an outlier, where as the outliers are those with low tax and high QOL for example UAE, Oman and Qtar, but all those have a pretty significant income in another way compared to most countries.
I think you have the causation backward. The poorer the country the less of a cut the government can take without bringing everything crashing down. These places are low tax because they cannot afford to be high tax.
If you look at local taxes and fees between US cities the same pattern emerges.
I think this is exactly right. Low tax jurisdictions are also often desperate to attract business. Mobile people are willing to pay high tax only when they get something else like stability and high quality of life
>> If you pull up a list of countries by tax rates and some quality of life index they seem to be pretty corrolated
Try correlating restrictive immigration policies and quality of life index. Should we tax people a lot and make it very hard for immigrants to become citizens? Scandinavian countries do precisely both.
Compared to the US almost every country has lax immigration policies. Specifically for Sweden, I would say that it doesn't have significantly more strict immigration policies (language, job skills that are required) than any other EU country that someone would actually want to emigrate to.
