The Scandinavian Model – Prospects and Challenges
AbstractScandinavian countries are often portrayed in policy debates as model examples having shown how to square concerns for efficiency and equity. The core principle of the Scandinavian welfare model is an individual entitlement to public sector provisions combined with collective financing via taxes. However, a high employment rate is needed to ensure financial viability of this model. The Scandinavian model faces several challenges which affect the possibilities of maintaining a high employment ratio, namely, demographic changes, a growth dilemma and globalization. This paper discusses how these challenges affect the need and scope for reforms of the Scandinavian welfare model.
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Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1903.
Date of creation: 2007
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fiscal sustainability; welfare state; demographics; globalization;
Find related papers by JEL classification:
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
- H10 - Public Economics - - Structure and Scope of Government - - - General
- P10 - Economic Systems - - Capitalist Systems - - - General
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