mobilmeny
Home > Publications > Working Paper Series > Approaches to Social Investment and Their Implications for Poverty in Sweden and the European Union

Approaches to Social Investment and Their Implications for Poverty in Sweden and the European Union

Approaches to Social Investment and Their Implications for Poverty in Sweden and the European Union

CROP/UiB Global WORKING PAPER SERIES on Global Challenges, Issue #4. Authors: Axel Cronert & Joakim Palme

No. 4 - September 2017

This series seeks to disseminate research focused on issues such as poverty and inequality, sustainability, and other relevant global Challenges.

Open access to the full publication is available through Bergen Open Research Archive (BORA) at the University of Bergen:

Open access to FULL PAPER


ABSTRACT

The concept of social investment has gained increasing traction among European Union policymakers, as a strategy to reconcile the goals of employment, growth, and social inclusion. In recent years, however, scholars have criticized the social investment approach for not being able to achieve its intended distributional consequences and have raised doubts about whether the goals of increasing employment and decreasing poverty are reconcilable. This paper argues that distinguishing between the 'Nordic approach' and the 'Third Way approach' to social investment is key both for describing policy developments and for understanding the relationships between social investment policies, employment and poverty. Based on an exploration of recent trends in social investment policies, employment and poverty in Sweden, we propose that the recent noticeable increase in poverty can best be accounted for by changes in social insurance policy and tax policy that represent a shift from the Nordic approach to the Third Way approach, whereas an 'employment vs. poverty' trade-off is mitigated by the sustained presence of a compressed wage structure. A set of panel data analyses on 24 European countries over the last decade provide preliminary evidence that these mechanisms extend also beyond Sweden.


12.09.2017
Share:         
UiB ISSC

CROP News and Events

​Sustainability Science: A Response to Global Challenges

20 March 2018 | Bergen Resource Center for International Development

SEMINAR: Organized by CROP and UNESCO Chair at The University of Bergen.

The Democratic Developmental State: North-South Perspectives

March 2018

PUBLICATION: New CROP book published by Ibidem Verlag, Stuttgart. Edited by Chris Tapscott, Tor Halvorsen, Teresita Cruz-Del Rosario

5 Student Mobility Scholarships available for UiB Masters students

25 June - 9 July 2018 | University of KwaZulu-Natal (UKZN), Durban, South Africa

SCHOLARSHIPS available for Masters students at the University of Bergen to participate in a summer school at UKZN in June-July 2018. APPLICATION DEADLINE: 19 February 2018

News from CROPNET

Knowledge for Our Common Future

8-9 February 2018 | University of Bergen, Norway

CONFERENCE: Norwegian Universities and the Sustainable Development Goals.

World Social Science Forum 2018

25-28 September 2018 | Fukuoka, Japan

Security and Equality for Sustainable Futures

ISSC General Assembly 2017

24-26 October 2017 | Taipei

The General Assembly will take place within the context of the 32nd ICSU General Assembly, hosted by the Academy of Sciences, Taipei.

Menu