As a social democratic welfare state, Denmark has offered universal and generous benefits promoting equality and diminishing stigmatisation; provision is almost entirely taxfinanced and public services play an important role. Consequently, welfare state spending has been traditionally high....

Denmark is a welfare state whose income tax burden is larger than the total tax burden of the United States or Japan. Given recent political science accounts of the links between tax mixes and the welfare state, Denmark seems to be a puzzling anomaly. These accounts see income taxation as...