Jump to ContentJump to Main Navigation
Reforming the Welfare StateRecovery and Beyond in Sweden$
Users without a subscription are not able to see the full content.

Richard B. Freeman, Birgitta Swedenborg, and Robert H. Topel

Print publication date: 2010

Print ISBN-13: 9780226261928

Published to Chicago Scholarship Online: February 2013

DOI: 10.7208/chicago/9780226261911.001.0001

Show Summary Details
Page of

PRINTED FROM CHICAGO SCHOLARSHIP ONLINE (www.chicago.universitypressscholarship.com). (c) Copyright University of Chicago Press, 2017. All Rights Reserved. Under the terms of the licence agreement, an individual user may print out a PDF of a single chapter of a monograph in CHSO for personal use (for details see http://www.chicago.universitypressscholarship.com/page/privacy-policy).date: 22 September 2017

Searching for Optimal Inequality/Incentives

Searching for Optimal Inequality/Incentives

Chapter:
(p.25) 1 Searching for Optimal Inequality/Incentives
Source:
Reforming the Welfare State
Author(s):

Anders Björklund

Richard B. Freeman

Publisher:
University of Chicago Press
DOI:10.7208/chicago/9780226261911.003.0002

This chapter examines the extent to which the economic crisis and recovery in Sweden affected the egalitarian goal of the welfare state. It shows that while inequality increased in the 1990s, Sweden maintained its position as one of the most egalitarian economies in the world and continued its successful conquest of poverty. Rising inequality in Sweden took the form of faster income growth for higher-income families rather than of lower real income for poorer families. The welfare state buttressed the incomes of those at the bottom. The area in which inequality increased most dramatically was in the distribution of hours worked because of a higher rate of unemployment and lower labor force participation among low-wage individuals, reflecting Sweden's failure to recover its full employment status after the crisis. The chapter highlights the fact that Sweden's narrow income distribution reflected not only a compressed wage structure, welfare state tax, and spending policy, but also reflected narrow dispersion in hours worked, as most adults had jobs and worked comparable hours.

Keywords:   Sweden, welfare state, financial crisis, economic crisis, labor force, income distribution

Chicago Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs, and if you can't find the answer there, please contact us.