The Rise And Fall Of The Swedish Model

This book addresses the contemporary debate about the 'third way' in European social democracy, by analysing the exemplar case of social democracy - 'the Swedish model' - this book challenges the recent 'third way' perspective. The author argues strongly against the widely held belief that the nature of contemporary capitalist restructuring and globalisation has rendered traditional social democracy obsolete.

Sweden is well known for the success of its welfare state. Many believe that success was made possible in part by the country’s ethnic homogeneity and that the increased diversity of Sweden’s population is putting its welfare state at risk. Few, however, have suggested convincing mechanisms for explaining the precise relationship between relative ethnic homogeneity/heterogeneity and the welfare state. In this book Carly Elizabeth Schall acknowledges the important role of ethnic homogeneity in Sweden’s thriving welfare state, but she argues that it mattered primarily because political elites— especially social democrats—made it matter. Schall shows that diversity and the welfare state are related but that diversity does not undermine the welfare state in a straightforward way. Tracing the development of the Swedish welfare state from the late 1920s until the present day, she focuses on five historical periods of crisis. She argues that the story of Swedish national identity is a story of elite-driven hegemony-building and that the linking of social democracy and national identity colored the integration of immigrants in important ways. Social democracy could have withstood the challenge posed by immigration, but the faltering of social democratic hegemony opened a door for anti-immigrant sentiment. In her deft analysis of the relationship between immigration and the welfare state in Sweden, Schall makes a compelling argument that has relevance for immigration policy in the United States and elsewhere.

The present study aims to contribute to an understanding of European industrial policy by introducing an historical perspective. National policy continuities and the considerable time over which industrial performance responds to changed environments emerge with greater clarity in the long run. The chapters in this book take a broad view of industrial policy, including those policies that establish the `framework', such as competition law, as well as sector for firm specific policies.

Whatever happened to the poster child of European social democracy? For a young generation of socialists, the Swedish experience has been an obvious reference and inspiration. But what remains of the Swedish model today is, in fact, a failed project in decline. This book is the first comprehensive study of the rise and fall of one of the most influential political movements of our time. Ostberg depicts the rise of one of the 20th century's best organized labor movements and Sweden's development from one of Europe's poorest countries to one of the richest and with the most extensive welfare. During the last 90 years, Sweden had a social democratic prime minister for 72 years, including a 44 year uninterrupted span. The Swedish model culminated in the 1970s. Under the pressure of wildcat strikes and new social movements, a highly competent Social Democratic government implemented unique social reforms mainly through a decommodified public sector. Many reforms had a distinct gender equality character. The Social Democratic-led trade union movement sought to take over control of Swedish companies through wage earners’ funds. Was Sweden on its way to becoming a socialist country? Instead, Swedish Social Democracy quickly adapted to the economic and political conditions of the neoliberal counter-revolution. Today, large parts of the public sector have been privatized and social inequality has increased faster than in most other countries, despite social democratic governments in power. The Social Democratic party is being challenged by the right-wing populist Sweden Democrats as the largest labour party. Kjell Ostbjerg discusses the strength and weakness of the reformist strategy, the importance of class organizations and social mobilization and the struggle for power in the workplace, the influence of the labor bureaucracy, the role of women in the creation of the Swedish welfare society and the dependence of Social Democracy on the development of international capitalism.

This open access book examines the challenges and issues caused by a move to a marketized education system in Sweden. Observing the introduction of the school voucher system and a postmodern social constructivist view of knowledge, the move away from objective knowledge is identified as the core reason for Sweden’s current education crisis. The impact of declining education standards on the labor market is also discussed. This book highlights the issues seen in Sweden and suggests policies that can improve education in the rest of the Western world as well. It will be relevant to students and researchers interested in education and labor economics.