The Dynamic Welfare State
How Adaptation Can Save the Swedish Economy
by Tian Feng
From Failed States, Vol. 29 (4) - Winter 2008
Print     Email article Previous 1 2 3

The government in Sweden plays the same role that cellular giant Nokia plays in neighboring Finland, dominating both the job market and the country’s GDP. Yet unlike Nokia, the government does not produce much of anything, nor does it call forth massive profits from abroad. What results is taxing of jobs created and paid for by the same government, creating a cyclical dependence on bureaucracy. To break this cycle, further privatization is a must. Reforms have already been made to privatize the pension system, but more needs to be taken out of government hands if even for the sole purpose of deflating statistics. Sweden has traditionally had a “buffet socialism,” selecting the perks the people deem necessary and abandoning harmful ideologies. This method of picking and choosing policies has helped Sweden ford the straits of the great wars, prosper despite the economic chaos that followed, and adapt to the changes of the last two decades. If Sweden’s welfare economy is to continue its surprising growth, the government must revisit some of its policies and adapt even further. Doing so may help save Sweden’s unique economy from the growing tide against socialism. 

Previous 1 2 3