COPENHAGEN - This is what it's like to live in Denmark, a nation with a narrower wealth gap than almost anywhere else: You've been jobless for more than a year. You have no university degree, no advanced skills. You have to pay a mortgage. And your husband is nearing retirement.
You aren't worried.
If you're 51-year-old Lotte Geleff, who lost her job as an office clerk in January 2013, you know you'll receive an unemployment benefit of 10,500 kroner ($1,902) a month after taxes for up to two years. You're part of a national system of free health care and education for everyone, job training, subsidized child care, a generous pension system and fuel subsidies and rent allowances for the elderly.
And high taxes.
Denmark's sturdy social safety net helps explain why its wealth gap — the disparity between the richest citizens and everyone else — is second-smallest among the world's 34 most developed economies, according to the Organization for Economic Cooperation and Development, surpassed only by the much smaller economy of Slovenia.
Behind its slender wealth gap are factors ranging from the highest tax burden in the European Union to a system that helps laid-off workers find new jobs and re-training.
They are factors that depend on a level of government involvement — financial and otherwise — that would be politically unacceptable in some areas of the world.
Cause and effect would be impossible to prove, but Danes appear more content than people in most other industrialized nations. Eighty-nine per cent of Danes reported having more positive experiences in an average day than negative ones, according to the OECD — the highest figure among the organization's 34 countries.
"We don't have steaks on the table every night, but we're OK," says Geleff, who has a house near the city of Roskilde.