Welfare Wean

Siamak Alian is something of a rarity in a Scandinavian welfare state -- a successful immigrant entrepreneur. Mr. Alian came to Sweden in 1989 with a degree in nuclear physics from the University of Tehran. Unable to find a job in his field, he pursued a degree in electronics and alongside his studies founded a computer equipment import company. Within six years, his firm grossed some €10 million annually.

Ryan Inzana

Mr. Alian notes that many in his surroundings initially advised against becoming an entrepreneur: "Why should one start a business?" they asked. [...]Especially for immigrants, the first signal from Swedish society is not that you ought to work, let alone become self-employed. The message is that the state will take care of you.

In the Western world, Sweden is often considered a Social Democratic paradise, the irrefutable proof that the welfare state can transform society for the better. But outsiders, and still too many Swedes, tend to overestimate the gains and underestimate the costs of social engineering.

To start with, homogenous Sweden was already an egalitarian society with few social problems before the expansion of the welfare state. It is often forgotten that in 1950 Sweden had lower taxes, fewer trade restrictions and more hours worked per working-age person than contemporary U.S. -- and yet was already blessed with essentially the same flat income and wealth distribution it has today, half a century after the expansion of the welfare state.

In the 1950s and 1960s, the integration of migrants worked quite well. The foreign-born had a 20% higher employment rate than native Swedes in 1950. Half a century later, in the mature welfare state, the picture has dramatically changed. According to the latest figures, only 48% of non-Western immigrants are gainfully employed, which is 30 percentage points below the average. For this group, originating from places such as Turkey, Chile, the former Yugoslavia, the Middle East and North Africa, welfare dependency is nine times higher than for native Swedes.

No doubt, a generous welfare system initially helps many immigrant families, cushioning the transition to a new country. However, the combination of high taxes, a regulated labor market, the world's highest union-imposed minimum wages and the lavish transfer programs effectively keeps out immigrants from the labor market.

Read the rest in The Wall Street Journal

No doubt these people wants to work and make a living on their own. It's just that we dont let them do it! We try to "integrate" them in to the society rather than assimilate them, which of course only leads to a separated and segregated society were extremism get it's foothold. We don't have a "melting pot"- we have a "salad bowl".