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Emerging from crisis: Sweden’s active labour market policy and vulnerable groups

Author

Listed:
  • Marcela Kantová

    (HaskoningDHV Czech Republic, Czech Republic)

  • Markéta Arltová

    (University of Economics in Prague, Czech Republic)

Abstract

Sweden has adopted an Active Labour Market Policy as a means of transitioning out of the economic crisis created by the 2020 COVID-19 pandemic. The approach is to a significant extent reminiscent of that adopted following the 2008 Global Financial Crisis (GFC). The article examines the effectiveness of active labour market policy in Sweden over the period 2007–2012. By analysing these earlier policy outcomes, the aim is to assess the success of active labour market policy more broadly. The hypothesis that greater labour market flexibility allows the labour market policy to be more efficient is evaluated. With a focus on the labour supply, possible reasons for the reduced efficiency of state interventions are outlined using regression models. Conclusions derived from the models point to the failure of earlier Swedish active labour market policy towards the vulnerable groups of the unemployed, unemployed women and men aged 15–19 years and the long-term unemployed. JEL Codes: J08, J21, J64

Suggested Citation

  • Marcela Kantová & Markéta Arltová, 2020. "Emerging from crisis: Sweden’s active labour market policy and vulnerable groups," The Economic and Labour Relations Review, , vol. 31(4), pages 543-564, December.
    • Handle: RePEc:sae:ecolab:v:31:y:2020:i:4:p:543-564
    DOI: 10.1177/1035304620959704
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    References listed on IDEAS

    as
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    Cited by:

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    More about this item

    Keywords

    Active labour market policy; flexicurity; matching effectiveness; Sweden; unemployment;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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