A Social Innovation or a Product of Its Time? The Rehn-Meidner Model’s Relation to Contemporary Economics and the Stockholm School

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A Social Innovation or a Product of Its Time? The Rehn-Meidner Model’s Relation to Contemporary Economics and the Stockholm School

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Erixon, Lennart () (Dept. of Economics, Stockholm University)

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Lennart Erixon

Abstract

A wage and economic policy programme for full employment, price stability, growth and equity was developed by two Swedish trade-union economists in the early post-war period. A restrictive macroeconomic policy, a wages policy of solidarity and an active labour market policy are the cornerstones of the Rehn-Meidner model. The model was influenced by Hans Singer’s analysis of the fallacies of incomes policy under full employment conditions. However it is difficult to find equivalences in contemporary economics to the model’s composition of means and goals, functional relationships or to its emphasis on the role of actual profits in wage formation.

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Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number 2008:8.

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Length: 40 pages
Date of creation: 16 Sep 2008
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Handle: RePEc:hhs:sunrpe:2008_0008

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Find related papers by JEL classification:
B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
B29 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Other
E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
E64 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Incomes Policy; Price Policy
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

This paper has been announced in the following NEP Reports:

NEP-ALL-2008-10-07 (All new papers)
NEP-LAB-2008-10-07 (Labour Economics)
NEP-MAC-2008-10-07 (Macroeconomics)
NEP-PKE-2008-10-07 (Post Keynesian Economics)

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This page was last updated on 2009-11-19.

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