Inter-Regional Redistribution in Sweden: A Survey of the Literature and a Call for Further Enquiry
AbstractThe Swedish system for inter-regional redistribution is examined from a political economy perspective and a growth perspective. A number of recent Swedish studies of this system are examined. Political economy concerns are found to be adequately represented in academic studies of this system, while lacking, at least explicitly, in all the major relevant government reports. Growth implications of extensive inter-regional redistribution are found to be relatively neglected in both academic studies and government reports. In particular, the short-circuiting of labour mobility (and hence the impairment of long-term structural adjustment) is examined at both micro- and macroeconomic levels. It is concluded that extensive inter-regional redistribution is likely to have considerable effects on labour mobility. The author argues that this almost entirely overlooked effect is an important consideration in evaluating the costs and benefits of inter-regional redistribution, and calls for further enquiry into the matter.
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Bibliographic InfoPaper provided by The Ratio Institute in its series Ratio Working Papers with number 82.
Length: 29 pages
Date of creation: 11 Jan 2006
Date of revision:
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Postal: The Ratio Institute, P.O. Box 5095, SE-102 42 Stockholm, Sweden
Phone: 08-441 59 00
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Inter-regional redistribution; fiscal federalism; political economy; growth; labour force mobility;
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This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-01-24 (All new papers)
- NEP-GEO-2006-01-24 (Economic Geography)
- NEP-MAC-2006-01-24 (Macroeconomics)
- NEP-PBE-2006-01-24 (Public Economics)
- NEP-POL-2006-01-24 (Positive Political Economics)
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