Whether it is the natural resources, industrialisation or gender equality that made Scandinavian countries so rich, there are some things that are common to all these nations. It is not enough to just be a good worker – a good worker will also be good at managing their money, as well as being good at interacting with people. These are the things that will help you succeed in your job.
Industrialisation was based on natural resources
Historically, Scandinavian countries had a storied history in terms of raw material dependency. The heyday of the industrial revolution was an era of immense prosperity for the Scandinavians. The Scandinavian countries were awash with natural resources and were among the wealthiest countries in the world. But the economic and social development of these countries wasn’t uniform. There were ebbs and flows, and the economic performance of Norway was distinctly different from Sweden, which was a close ally of the Danish empire in the 18th century.
One of the defining characteristics of Norway was its egalitarianism. It was a relatively wealthy country by 1870, and was linked to Sweden in a loose royal union. Nonetheless, the Norwegian economy was plagued by a series of deflationary monetary policies, protectionism from the United Kingdom, and an international recession after the Napoleonic wars. In spite of these problems, Norway remained one of the wealthiest nations on the planet.
One of the most interesting aspects of Norway’s history is that the country was able to make the most of its natural resources. The oil and gas sector fueled some of the country’s highest growth rates in the twentieth century. In fact, the petroleum sector has been ranked among the top three GDP per capita countries of the world. Its heyday is also when Norway was at the top of the world’s GDP per capita list.
The Nordic countries are far from alone when it comes to implementing a natural resource based industrialisation program. Indeed, several regional governments have done the same. For example, in Denmark, a series of natural resource based industrialization programs were introduced, as was one in Sweden. In Norway, a series of government-led schemes to stimulate the manufacturing sector were launched, as were numerous regional initiatives to encourage regional cooperation in the natural resource sector. These schemes paved the way for Norway’s economic renaissance, and its economic success continues to this day.
Nevertheless, the main purpose of these programs is to improve the competitiveness of the country’s mainstay industries. In particular, the petroleum sector has helped Norway become one of the wealthiest countries on Earth.
Income inequality has been on the rise
Despite their low inequality rates, income inequality has been on the rise in Scandinavian countries. This is a result of a number of factors, such as policy changes, structural factors, and change agents. It is also a result of increasing inequality across the world.
The US, Britain, and other advanced economies have seen a sharp increase in income inequality since the 1970s. While these trends have decreased in recent years, they have been subtly rising again. This trend may have implications for consumption levels, but researchers have found that it is less clear whether workplace dynamics play a role.
In addition to the increase in income inequality, Scandinavian countries have seen an increase in wealth inequality. Several studies have shown that the richest 10% of the population in Sweden now own more than 60% of the country’s wealth. This is also true in other Nordic countries, such as Denmark, Norway, and Iceland.
One of the most important factors is increased economic growth. This has created major winners and losers. Educated and experienced workers are the most obvious winners, but there are also high skilled workers who are potentially losers. Increasing investment in education, health, and other areas can help lower the persistence of income inequality across generations.
In addition to these structural factors, societal divisions can also destabilize growth. Consequently, the most important question is whether inequality has risen too far. If it has, then there may be a reduced ability to invest in education and other areas that would benefit everyone. Ultimately, this may also reduce consumption levels.
The road to affluence in social democratic countries is not a carefully planned and executed development program. Rather, it is a combination of increasing democratic ownership, positive discrimination campaigns, and increased spending on education and health.
The Nordic countries are often regarded as models of low inequality. They also rank well on major development indicators. They also show that a substantial welfare state is possible in a capitalist country. However, some economists argue that a homogeneous society does not necessarily represent a dynamism.
Gender equality is a hallmark trait of the Scandinavian culture
During the twentieth century, the Nordic countries developed a unique blend of equality norms and welfare state structures. They also emphasized social reform and active citizen participation. Their welfare states offered a high degree of social and economic security.
The Nordics’ political culture emphasized integration of women in civil society. This reflected a belief that women should be allowed to participate in political decision-making. The Norwegian nationalism emphasized egalitarian values and learning. In Finland, nationalism emphasized education and literature.
Education was considered to be the main tool to address class differences. Higher education was free in the Nordic countries. The number of Norwegians who graduated from high school increased from 3 percent in 1930 to 10 percent in 1960.
The gender gap in education was eliminated in the Nordic countries early on. In the 1960s, support was introduced for single mothers and disabled people. This encouraged girls to enter the work force.
Until the Second World War, Norwegians did not have a general draft. The country was occupied by Germany for five years. During this period, Norway did not require women to work in factories.
The Norwegian family model was based on a male earner/female carer family. This policy continued in Scandinavian countries after the war. However, industrial capitalism led to a change in the bourgeois family model. Housework became professionalized.
The welfare state in the Nordic countries is characterized by almost full employment and redistribution of general taxes. They also have a low salary gap between genders.
The Nordic countries have long been a role model for gender equality. Iceland was the first country to close the gender gap in health and education. It has been the world’s most gender-equal country for the last decade.
In addition to education, the Nordic countries introduced progressive childcare policies in the 1950s. This encouraged a high percentage of women to enter the workforce.
Since the 1970s, state feminism has evolved into a variety of groups. This movement grew out of a unified women’s movement and a desire to break down gender barriers.
Sweden’s behavior when it reached the top was the opposite of what had got it there
During the 1970s, Sweden was one of the richest countries in the world, and its economy was one of the fastest growing in Western Europe. But then, as it reached the top, Sweden’s behavior was the complete opposite of what had made it there.
After its reforms, Sweden became one of the world’s most open economies. Its GDP per capita grew by two percent a year between 1870 and 1913, faster than the rest of Western Europe. The economy was also very open to foreign competition. Businesses kept restructuring and innovating. The Swedish government reduced its size by one-third during this period.
In the 1970s, Sweden’s economy was still growing fast, but the economy started lagging behind other industrialized economies. The country’s public spending was not more than ten percent of its GDP. The economy began to suffer from debt and inflation. The boom ended in 1990. As a result, unemployment soared.
In the 1990s, inflation ate almost all of the wage increases. The economy continued to grow, but it was not growing fast enough to keep up with inflation. As a result, unemployment was at its highest level in Sweden’s history. In addition, the Swedish government’s deficit reached 11 percent of GDP by 1992. The Central Bank tried to protect the Swedish currency with a 500 percent interest rate.
The Swedish government was able to keep its taxes low, but it squeezed the poor. It also sat out two world wars. The government derives more than a quarter of its income from taxes on consumption. The government also has a surplus target for its public finances.
Sweden’s economy has been liberalized more than most other countries, but it has not returned to its classical liberal past. The country is still too dependent on the rich. Many Swedes say that it is acceptable to lie to get public benefits.
During the SARS-CoV-2 pandemic, mandatory legislation was rarely used. The Public Health Agency labelled advice from national scientists as “extreme positions.” It also lost its scientific expertise. In the end, Sweden’s pandemic strategy seemed targeted at avoiding a societal shutdown.