Dismantling the Social Democratic Welfare Model? Has the Swedish Welfare State Lost Its Defining Characteristics?

The Swedish welfare state was often seen as the most highly developed welfare state and a model for others to follow. In the early 1990s, however, the Swedish economy was in big trouble; the state budget had enormous deficits which the government had to cover by loans in the finance market, exposing the Swedish welfare state model to the evaluation of international capital. This article describes what happened to the welfare state in the 1990s. Was it dismantled? The Swedish experience can shed some light on two competing hypotheses. Globalisation is often seen as an irresistible force that dismantles national autonomy and particularly the possibility of generous welfare arrangements. Another line of thought, however, points out that the welfare state is highly resilient to cutbacks. Cuts are very unpopular among voters and are therefore very dangerous for politicians or parties that aspire to be re‐elected. I argue that my data show that although the Swedish welfare state was reformed in many ways in the 1990s and some cutbacks were made, the welfare state has not been dismantled. Its major attributes when compared with other countries —— e.g. its generosity, universality and developed welfare services —— are almost as prominent as before the crisis. This result is in line with the thesis of the welfare state's resilience and contradicts the globalisation thesis.     

Liberalization without Retrenchment: Understanding the Consensus on Swedish Welfare State Reforms

In 1980, Sweden was a highly regulated economy with several state monopolies and low levels of economic freedom. Less than twenty years later, liberal reforms turned Sweden into one of the world's most open economies with a remarkable increase in economic freedom. While there is resilience when it comes to high levels of taxes and expenditure shares of GDP, there has been a profound restructuring of Sweden's economy in the 1980s and 1990s that previous studies have under-estimated. Furthermore, the degree of political consensus is striking, both regarding the welfare state expansions that characterized Sweden up to 1980, as well as the subsequent liberalizations. Since established theories have difficulties explaining institutional change, this article seeks to understand how the Swedish style of policy making produced this surprising political consensus on liberal reforms. It highlights the importance of three complementary factors: policy making in Sweden has always been influenced by, and intimately connected to, social science ; government commissions have functioned as 'early warning systems', pointing out future challenges and creating a common way to perceive problems; and, as a consequence, political consensus has evolved as a feature of Swedish style of policy making. The approach to policy making has been rationalistic, technocratic and pragmatic. The article concludes that the Swedish style of policy making not only explains the period of welfare state expansion – it is also applicable to the intense reform period of the 1980s and 1990s.     

State and Capital in Sweden: The Importance of Corporatist Arrangements

In what way does corporatist representation change the behaviour of participating organizations? The classical question is whether the interest organizations' representatives are captured or not. Sweden is one of the countries in which the class-based interest organizations are heavily represented in the central public administration. The importance of corporatist arrangement in this area in Sweden is due to the fact that the task of implementing government policy is largely given to semi-independent directorates. Since the early 1970s, the major business organization in Sweden has been strongly demanding cuts in public spending. As it is represented in some of the most important, and expanding, public agencies of the Swedish welfare state, it could be expected that their representatives would demand a decrease in the agencies' yearly budget proposals. During a ten-year period (1974–1983), there is no sign of such behaviour of the business organization's representatives in these corporatist institutions. On the contrary, business in Sweden can be said to have been more generous with the taxpayers' money than both Social Democratic and bourgeois governments have found possible. Assuming that both its general demand for cuts in public spending and its specific action in the corporatist institutions are rational, it is discussed how this seemingly contradictory behaviour of Swedish business can be explained. The starting point for the debate about corporatism is the organizations' increasing influence on the state. The Confederation's standpoint is that this influence has now reached such a level that there is need for a change On various occasions. representatives of other interest organizations have also emphasized the importance of keeping a clear-cut distinction between the area of political responsibility and the area of the organizations' responsibility. In political issues it is the politicians' duty to weigh up the different judgments and standpoints and to come to a common public interest. The interest organizations' task is to pursue their special interests. These interest organizations should not take part in decisions in the political sector. I f this were to happen the special interests would have too much influence on the political decisions.     

Ideology-driven opinion formation in Europe: The case of attitudes towards the third sector in Sweden

Abstract. This paper uses attitudes towards the third sector in Sweden to test general assumptions about how citizens in West European political systems apply ideological schemas as shortcuts to political preferences. Attitudes towards the third sector are found to be affected by all ideological schemas reflected in the Swedish party system (state–market, Christian traditionalism, and growth–ecology). Contrary to what is implied by findings from America, these effects are very stable across socio–economic groups (especially those of the dominant statemarket schema). Similarly, no interaction effects of political sophistication could be traced, and the relative impact of the schemas remains the same regardless of whether or not the third sector is presented as an alternative to the welfare state. The implications of these findings for the nature of public opinion formation in ideologically clear and structured political systems are discussed.     

Dismantling Swedish Housing Policy

Today it is often argued that welfare state retrenchment is more or less impossible. Even politicians who advocate radical cuts in principle do not manage to execute them in the face of the strong opposition such proposals meet. However, Swedish housing policy has experienced radical change, resulting in big savings for the state budget and dramatically increased housing costs for citizens. In comparison with changes in other parts of the welfare state, the reforms have been radical. This article argues that Swedish housing policy is very complex and technical. Reforms met little resistance because the general public did not understand their effects. Even today, when the effects are known, citizens' knowledge about the policy area is too meager to allow them to understand that the increased cost of their housing is an effect of political decisions.     

Institutional Legacies and the Role of Citizens in the Scandinavian Welfare State

In this article, I attempt to explain the different roles of Swedish and Danish citizens when they encounter the welfare state. The case chosen is primary education, the area with the greatest variation. My thesis is that the differences arc primarily explained by the different institutional legacies in the two countries, rather than the often-suggested alternatives, i.e., the different strength of the labor movements and the importance of Grundtvigian ideas in Denmark. I argue that in the first decades of the 20th century, Sweden and Denmark established two very different systems of school administration. Once established, these have shown a high, though by no means total, stability and the development has been path dependent. Due to the different institutional legacies, the same political ideas have often resulted in different decisions and measures in the two countries.     

Australian Federalism Confronts Globalisation: A New Challenge at the Centenary

Globalisation poses a special challenge for federal systems of government. Despite administrative reforms, Australia has not fully confronted crucial questions regarding the role of states and territories when international issues overlap areas of subnational government authority. This challenge emerged with controversies over environmental regulations, import quarantines and Aboriginal policies. Initial reforms focused mainly on treaty approval processes, leaving broader policy questions largely unexamined. Subnational governments sometimes react protectively when facing dislocation threats from global forces; conversely, they can carry out constituency representation and education functions in ways that promote Australia's competitiveness and counter public distrust of globalisation. Federalism's new challenge is to devise political processes that foster positive state and territorial participation in Australia's response to globalisation.     

The creation of neo-liberal corporate bias in transnational medicines control: The industrial shaping and interest dynamics of the European regulatory state

Abstract. Drawing on the political theories of corporatism, neo–liberalism and pluralism, and on comparative empirical research in Brussels, Germany, Sweden and the UK, this article conceptualises the nature of Europeanised medicines regulation. It argues that a marketisation of regulation has been established in the European Union as a result of competition between national regulatory agencies for 'regulatory business' from the pharmaceutical industry. In the pharmaceuticals sector the Europeanised regulatory state is a product of three key factors: (a) the European Commission's commitment to an 'efficiency' regime which would meet the political objectives of a single European market and the commercial agendas of transnational pharmaceutical companies, (b) the endemic corporate bias associated with medicines regulation in the most influential member states, and (c) the considerable success of neo–liberal politics across a number of major member states, including Germany, Sweden and the United Kingdom.     

Labour Market Organisations' Participation in Swedish Public Policy–Making

Unions and employers are political actors. Besides defending their interests on the labour market they act in the political arena. In order to weaken the trade unions, neoliberal parties and employers’ organisations have tried to change existing systems in Sweden and elsewhere. Hence, the general questions being asked in this article are: Do Swedish labour market organisations still participate in (i.e. try to influence) public policy–making on a large scale? Are there any substantial differences in the degree to which unions and employers’ organisations participate or in their access and strategies of participation? In this article it is argued that while participation of labour market organisations in the old institutionalised framework has decreased, it has not vanished. Labour market organisations are also very much involved in public policy–making by informally contacting politicians and public servants. The unions have extensive contacts with politicians on all levels, but especially with the Social Democratic Party, while employers’ organisations have more intense contacts with the public administration and public servants. The overall picture being presented in this article is that labour market organisations in Sweden have not at all been left out in the cold. It is clear that Sweden is far from the British situation and still remains similar to its Scandinavian neighbours.     

Housing and the Welfare State in Norway

This article discusses housing and the welfare state in Norway in 1980 and 2005 by applying Esping‐Andersen's theories of welfare state regimes to this sector. How should Norwegian housing policy be understood in light of Esping‐Andersen's conceptual framework, and what is the impact of post‐industrial change? In 1980, Norwegian housing policy was mainly characterised by social‐democratic traits such as market regulation, substantial public expenditure and universal subsidies for both renters and a large owner‐occupied housing sector. The effects of post‐industrial changes, including deregulation of the credit and housing markets, marked a major turn in housing policy and the housing market in Norway. By 2005, Norwegian housing policy was mainly characterised by traits that are typical of a liberal welfare regime: market economics, low public expenditure and subsidies for small, targeted groups, while other segments of the Norwegian welfare state remain characterised by social‐democratic traits. Esping‐Andersen's claim that the effect of post‐industrial transformation was different in different welfare regimes is thus not supported by the case of the Norwegian housing sector.     

Reforming the Swedish employment-related social security system: activation,administrative modernization and strengthening local autonomy

The Swedish system of social security has often been regarded as comprehensive and comprehensive and inclusive. During major reforms in the 1990s and 2000s, it has maintained its essential character as a popular and well-endowed provider of social security and stability. Employment-related benefits are generous in financial terms, but come with the need for recipients to remain actively engaged in the economic or educational field. However, Sweden’s geographical and demographic diversity made it necessary to increase the role of local authorities in implementing active labour market policies. This article tracks these developments since the mid-1990s, both with regard to changing the benefits system and with regard to changing local government involvement. It argues that backed by broad political support, the Swedish system has achieved the necessary modernization and adaptation to remain a viable alternative to more neo-liberal welfare retrenchment projects conducted in other European countries.     

When marketing models clash with democracy

The application of marketing models in political and public sector contexts is examined. The assumptions in marketing of positive outcomes of (i) rapid responses to consumer concerns, (ii) the extension of choice and customisation in product development, and (iii) the application of market research techniques are considered in turn. This analysis suggests that in the political context, responding rapidly to public opinion is not necessarily a sound reaction; extending choice and customisation of products may not best serve public welfare, and applying market research techniques may not provide for the best system for policy decisions. The features of liberal representative democracy, particularly the role of deliberation, informed assent and accountability, have been neglected. Speed of response has been emphasised to the cost of democratic filters and checks on public opinion; enhanced choice, enabled by mass customisation, presents problems of social fragmentation; and the application of market research is no substitute for political discourse and engagement. Copyright © 2003 Henry Stewart Publications     

Connecting social and environmental policy in Australia: Collateral gains or collateral damage?

Climate change research relating to “co‐benefits” suggests that the facilitation of social‐welfare outcomes through environmental policy offers a powerful means of incentivising climate change action. Concerns about social‐welfare, however, are often used to undermine climate change policies, typically through political claims that low‐to‐middle‐income households should not shoulder the costs of greater policy alignment between social and environmental objectives. Integrating the social into the environmental can therefore, on the one hand, lead to “co‐benefits” as each agenda promotes the other in political discourse, or alternatively to collateral damage if the policy objectives are framed as incompatible. This article explores both scenarios through two case studies of energy policy in Australia. The findings show that social‐welfare concerns can be a powerful discursive tool with the potential to facilitate political consensus, but also that this potential is not being fully realised, primarily because environmental concerns suffer when attempts are made to integrate the two areas discursively.     

Political Partisanship and Welfare Service Privatization: Ideological Attitudes among Local Politicians in Sweden

This article ties in with a growing international literature examining the link between party politics and welfare service privatization in modern welfare states. In recent decades, a central aspect of policy change in Sweden is that private actors have come to produce publicly financed welfare services on a more regular basis. This overall privatization trend is furthermore characterized by substantial geographical variation across Sweden's 290 municipalities. The ideological attitudes of local politicians have been recognized as particularly important for understanding this development. This article examines the extent to which local politicians’ ideological attitudes regarding welfare service privatization are best explained with a partisan approach emphasizing between‐party polarization as opposed to a critical perspective that points to the proclaimed significance of ideological consensus between left and right parties in certain municipal contexts. Using multilevel modelling and survey data collected from elected politicians in municipal governments, the empirical findings show substantial differences in attitudes between Conservatives and Social Democrats, irrespective of municipal characteristics – most notably the degree of welfare service privatization. Hence, the results strongly indicate that the partisan approach is much more fruitful compared to the consensus approach as a general explanation for local politicians’ attitudes towards welfare service privatization in Sweden. Accordingly, a conclusion is that comparisons at the subnational level within countries are important as a complement to country‐comparative studies when attempting to understand the link between political partisanship and welfare service privatization in modern welfare states.     

Dynamics of Regulatory Policymaking in Sweden: The Role of Media Advocacy and Public Opinion

While extensive literatures study the responsiveness of policy to public opinion and the influence of interest groups, few studies look at both factors simultaneously. This article offers an analysis of the influence of media advocacy and public opinion on political attention and policy change for four regulatory issues over a relatively long period of time in Sweden. The data pools together measures of public support for specific policies with new data on attention to the policy issues in the Swedish parliament, policy developments over time and detailed coding of the claims of interest advocates in two major Swedish newspapers. Analyzing this data, a complex picture without a general tendency for either public opinion or media advocacy to act as dominant forces in producing policy change is revealed, although some evidence is found that the public is successful in stimulating political attention when it supports policy proposals aimed at changing the status quo.     

‘Then we offer them a new project’—the production of projects in social work conducted by civil society in Sweden

In some areas in Europe and Sweden, it is possible to find institutional deficits, that is, areas wherein the welfare state has more or less withdrawn its institutions. In parallel with this development, greater interest has shifted towards social work already being conducted by volunteers and non-profit organizations. How this social work could take on more responsibility for the social well-being of society is a key question. By applying the theory of ‘production of projects’, this article examines 13 projects conducted by civil society organizations in Sweden and how they could relate to the civil sector becoming a complement or even an alternative to the state welfare sector. In terms of competition for funding, the projects need to be able to package their ideas well and manage relationships with the beneficiaries. The lack of long-term alternatives and the demand for innovative ideas influence the civil sector’s ability to take more responsibility for the social well-being of society and make political influence more difficult.     

Empowering local government or just passing the austerity buck? The changing balance of central and local government in welfare provision in England 2008–2015

This paper asks two questions: first, how did the balance of decision-making between central and local government in welfare policy in England change between 2010 and 2015? Second, to what extent has that led to divergence in the extent and manner of such provision? It finds significant areas of policy where local flexibility has been increased (such as council tax benefit, crisis loans, and funding for specialist housing), either through a change in the tier of government responsible, or ‘unringfencing’ of grants allowing local authorities greater discretion in whether to deliver particular services, although in other important areas decisions on welfare remain firmly centralized. It also concludes that in areas where responsibility has been localized, divergence has been immediate and substantial. Localization may well reduce entitlements where local authorities enjoy a financial reward for so doing and political costs are low.     

Inequality,marketisation and the left: Schools policy in England and Sweden

It is argued in this article that the marketisation of schools policy has a tendency to produce twin effects: an increase in educational inequality, and an increase in general satisfaction with the schooling system. However, the effect on educational inequality is very much stronger where prevailing societal inequality is higher. The result is that cross‐party political agreement on the desirability of such reforms is much more likely where societal inequality is lower (as the inequality effects are also lower). Counterintuitively, then, countries that are more egalitarian – and so typically thought of as being more left‐wing – will have a higher likelihood of adopting marketisation than more unequal countries. Evidence is drawn from a paired comparison of English and Swedish schools policies from the 1980s to the present. Both the policy history and elite interviews lend considerable support for the theory in terms of both outcomes and mechanisms.     

Still the Politics of Compromise? Agenda Setting Strategy in Sweden

A host of literature describes Sweden as the epitome of a consensual policy style country founded on rational and anticipatory behavior. However, recent research holds that consensus has yielded to a more conflict-ridden climate. Earlier research saw a consensual atmosphere as logically connected to anticipatory behavior, whereas conflict was connected to reaction. This article questions these linkages and claims that the present usage of the concept of anticipation does not fully acknowledge the strategic implications of policy style. The point is that policy style may be studied by examining how politicians set the political agenda. Designing a typology for measuring agenda setting in the Swedish Parliament's standing committee system gives us a research tool for studying the development of Swedish policy style from 1973–1991. The results show that the trend towards less consensus and more reactive political behavior in the Swedish society does not automatically amount to a less anticipatory policy style. On the contrary, real and open political antagonisms about the agenda give the parties strong incentives to use strategic anticipation to set the future agenda. Seen in this light, anticipation is not necessarily opposed to reaction. Growing conflictual reaction has not eroded anticipation in Sweden. Instead, both trends exist alongside each other. The parties do indeed make vivid use of their anticipatory means which may even strengthen democratic legitimacy in Sweden.     

Housing as a Social Right: Implications for Welfare State Theory

The article contributes to two central and interrelated discourses in welfare state theory and housing policy. One concerns the meaning of a 'right to housing' , and the other concerns the meaning of the dichotomy 'universal'–'selective' in housing policy . The right to housing is best seen as a political 'marker of concern' pointing out housing as an area for welfare state policy. The more precise meaning of the idea is always defined socially, in a specific national context of relations between state, citizen, and markets in housing provision. Two alternative interpretations of a right to housing are suggested, each related to a certain logic of housing provision. In a selective housing policy, the state provides a 'protected' complement to the general housing market, and the right to housing implies some legalistic minimum rights for households of lesser means. In a universal housing policy, the state provides correctives to the general housing market in order to make housing available to all types of households, and the right to housing is best seen as a social right in Marshall's meaning of an obligation of the state towards society as a whole. The concepts of 'universal' and 'selective' may be applied to either the political discourse or the social outcome of policies. Furthermore, they may refer to different political levels (e.g. welfare state level, sector level, and policy instrument level). If the dichotomy is not specified in those two respects, the distinction between a universal and a selective policy will always be seriously blurred.