Pomperipossa in Monismania

"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 starting on 3 March 1976 in the Stockholm evening 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, a satirical allegory about a writer of children's books in a distant country, led to a stormy tax debate and is often attributed as a decisive factor in the defeat of the Swedish Social Democratic Party - for the first time in 40 years in the elections later the same year.

References

* [http://www.astridlindgren.se/eng/omastrid/politik/possa.htm Short article about Pomperipossa in Monismania] from the Astrid Lindgren website
* [http://www.expressen.se/noje/bocker/1.924415/pomperipossa-i-monismanien Pomperipossa i Monismanien] from Expressen