Pomperipossa in Monismania
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"Pomperipossa in Monismania" (also called Pomperipossa In the World Of Money) is a satirical story written by the Swedish children's book author, Astrid Lindgren, in response to the 102 % marginal tax rate she incurred in 1976. It was published on March 3, 1976 in the tabloid Expressen, and created a major debate about the Swedish tax system.
The marginal tax rate above 100%, which was dubbed the "Pomperipossa effect", was due to tax legislation which required self employed individuals to pay both regular income tax and employer's fees.
The story, which is a satirical allegory about a writer of children's books in a distant country, led to a stormy tax debate, which is often attributed as a factor in the defeat of the Swedish Social Democratic Party - for the first time in 40 years - in the elections later the same year.
