20 outubro 2009

obrigado por ouvirem

Growth fell off. Unemployment rose. The quality of welfare declined. What, then, were the factors that made the Swedish model stop working?
The economic downturn that followed the two oil crises in the 1970s of course had a negative impact on Sweden. Also, the financial crises and macroeconomic shocks of the early 1990s had substantial consequences for the Swedish economy.
But these shocks also affected other industrial countries. And it is difficult to argue that Sweden was particularly vulnerable to the international business cycle.
This alone cannot explain why Sweden fell from fourth place in the OECD's ranking of member countries by GDP per capita around 1970, to eighteenth place in 1997.
Instead, I would argue that the explanation lies in other factors.
The vital balance between the institutions in the model disappeared and socialism swept over Swedish society.
We saw budget deficits and high inflation undermine macroeconomic stability. In many respects this was the result of irresponsible and short-sighted political actions.
We saw a sharp rise in taxes, especially on labour, together with an expansion of benefit systems that undermined the work-first principle and made it less worthwhile to work.
The education system was distorted and Swedish schools focused less on knowledge.
Changes in international competition were met with subsidies rather than reforms. Free enterprise was not encouraged; instead it was questioned.
We saw a rise in unemployment and the percentage of working-age people supported by various social benefits and subsidies rose from 10 per cent in 1970 to about 20 per cent in the present decade.
What took a hundred years to build was nearly dismantled in twenty five years.


PS: Penso que podemos dizer o mesmo sobre Portugal. O que demorou 8 séculos a construir, o socialismo quase destruiu em 35 anos.
Leia o resto da intervenção do primeiro-ministro sueco aqui.

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