Well, "providing universal healthcare and welfare will lead to a massive drop in motivation to work" is a scientific prediction. We can find out whether it is true by looking at countries where this already happens - taxes pay for good socialised healthcare and welfare programs - like the UK and the Nordics, and seeing if your prediction has come true.
The UK employment rate is 5.6%, the United States is 5.3%. Not a particularly big difference, nothing indicating that the UK's universal free healthcare has created some kind of horrifying utility drop because there's no motivation to work. We can take another example if you like. Healthcare in Iceland is universal, and Iceland's unemployment rate is 4.3% (it also has the highest life expectancy in Europe).
This is not an ideological dispute. This is a dispute of scientific fact. Does taxing people and providing universal healthcare and welfare lead to a massive drop in utility by destroying the motivation to work (and meaning that people don't work)? This experiment has already been performed - the UK and Iceland have universal healthcare and provide welfare to unemployed citizens - and, um, the results are kind of conclusive. The world hasn't ended over here. Everyone is still motivated to work. Unemployment rates are pretty similar to those in the US where welfare etc isn't very good and there's not universal healthcare. Your prediction didn't come true, so if you're a rationalist, you have to update now.
Scandinavia and the UK are relatively ethnically homogenous, high-trust, and productive populations. Socialized policies are going to work relatively better in these populations. Northwest European populations are not an appropriate reference class to generalize about the rest of the world, and they are often different even from other parts of Europe.
Socialized policies will have poorer results in more heterogenous populations. For example, imagine that a country has multiple tribes that don't like each other; they aren't going to like supporting each othe...
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