OECD Economics Department Working Papers

1815-1973 (online)
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Working papers from the Economics Department of the OECD that cover the full range of the Department’s work including the economic situation, policy analysis and projections; fiscal policy, public expenditure and taxation; and structural issues including ageing, growth and productivity, migration, environment, human capital, housing, trade and investment, labour markets, regulatory reform, competition, health, and other issues.

The views expressed in these papers are those of the author(s) and do not necessarily reflect those of the OECD or of the governments of its member countries.


Limiting Long-Term Unemployment and Non-Participation in Sweden You or your institution have access to this content

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Niels-Jakob Harbo Hansen
09 Feb 2011
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After the onset of the crisis, unemployment in Sweden increased markedly, though much less than expected and than during the early 1990s, even as participation in the labour market held up well. The challenge going forward is to ensure that high unemployment does not become entrenched or leads to withdrawals from the labour force. The government has taken measures to mitigate this risk, particularly in the areas of job-search incentives and enrolment in education. Nevertheless, additional reforms are needed to ensure a sustained job-rich expansion. Such reforms should focus on increasing the flexibility of the labour market and strengthening job-search incentives further. This Working Paper relates to the 2011 OECD Economic Survey of Sweden (www.oecd.org/eco/surveys/Sweden).
public employment services, employment protection legislation, Sweden, labour market dualism, minimum wage, labour costs
JEL Classification:
  • H20: Public Economics / Taxation, Subsidies, and Revenue / General
  • J08: Labor and Demographic Economics / General / Labor Economics Policies
  • J30: Labor and Demographic Economics / Wages, Compensation, and Labor Costs / General
  • J60: Labor and Demographic Economics / Mobility, Unemployment, Vacancies, and Immigrant Workers / General
  • K31: Law and Economics / Other Substantive Areas of Law / Labor Law
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