Denmark, Finland and Sweden all spend a lot more than Canada on social programs (around 30% of their GDP compared to 20% for Canada). But they also manage to consistently rank very high in terms of competitiveness. Strong social programs AND economic growth? How so?

In this interview with Laval University Professor of Economics Stephen Gordon we discuss the pros of the Nordic taxation model: high taxes on income and consumption, but low corporate taxes.

Professor Gordon blogs on Canadian economics at the Worthwhile Canadian Initiative.