II‑ Economic Context
•Taxes ‑ Among most highly taxed people in world
•Distribution of work force
–Highest labor force participation rates in world
–Highest female participation rates of all developed countries
•Unemployment Rate
Taxes ‑ Among most highly taxed people in world
Basic rate 34% and by $43,000 reaches 56%
Comprehensive 23% sales tax
Payroll taxes add 36% to wage bill
Total tax of GDP about 60% 2003, highest in course and similar level of spending

Highest labor force participation rates in world
   Lots of part‑time work

Unemployment Rate
   2004 5.6%
   Long-term unemployment 2004 2nd lowest in course behind only Canada