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The Nordic Development and Growth Models: The Riddle is Still There but We May be a Little Bit Wiser

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  • Juhana Vartiainen
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    Abstract

    The Nordic countries are often bundled together, as representatives of a ‘model’ which combines high living standards and an open market economy with social insurance and ambitious public services. Yet, the economic and political development of Denmark, Finland, Norway and Sweden towards this model has taken quite different roads. Sweden’s economic development from the late nineteenth century onwards can be seen as a rather spontaneous industrial breakthrough, whereas the state has in both Norway and Finland assumed a more active and interventionist role in mobilizing resources and managing natural endowments. However, the four countries are quite similar in their acceptance of the market economy, technical progress and economic openness, coupled with a pursuit of equality and a state that has alleviated resistance to change by signalling a will to share the gains and losses due to structural change.

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    File URL: http://www.wider.unu.edu/stc/repec/pdfs/wp2010/wp2010-116.pdf
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    Bibliographic Info

    Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number wp2010-116.

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    Length: 8 pages
    Date of creation: 2010
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    Handle: RePEc:unu:wpaper:wp2010-116

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    Keywords: Nordic economic development;

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    1. Lundvall, Bengt-Ake, 2009. "The Danish Model and the Globalizing Learning Economy: Lessons for Developing Countries," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
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