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  1. 1 Kozgazdasagi Szemle (Economic Review)

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Global challenges and international economic adjustment. Institutionalization of economic-policy discipline in Sweden

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Gyorffy D.
Kozgazdasagi Szemle (Economic Review)
|
2006
|
vol. 53
|
issue 6
540-559
EN
The global liberalization of capital markets that began in the 1980s significantly narrowed the scope of economic policy in small, open countries with their own currency. Despite a high level of state redistribution, the case of Sweden exemplifies successful adaptation to the new challenges through institutionalization of economic-policy discipline. Taking the constraints of integrated capital markets into account, the regulation based approach to monetary and fiscal policy resembles the earlier Swedish model in serving four basic economic-policy goals: growth, high employment, social equality, and price stability. Apart from this community of goals, the two periods are linked by economic-policy consensus and social trust - a basic requirement for success under either system.
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