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The low unemployment was artificial - we payed for that with high unemployment later during the 90's crisis.

Now you are loosing me. It appears a step is missing in your argumentation.

So the low unemployment was artificial, but people also wanted to work - despite generous benefits - because ...?

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by A swedish kind of death on Wed Oct 8th, 2008 at 12:26:49 PM EST
[ Parent ]
Well, there are two different arguments here.

On one hand about incentives to work, an on the other about the Swedish crash 15 years ago, and the runup to it.

Peak oil is not an energy crisis. It is a liquid fuel crisis.

by Starvid on Wed Oct 8th, 2008 at 12:30:40 PM EST
[ Parent ]
For a short description of what caused the Swedish crash, see this (in Swedish): http://www.jonung.se/files/pdf/KronfalletSomSkakadeSverige.pdf

Then we can continue the discussion about incentives and stuff. :)

Peak oil is not an energy crisis. It is a liquid fuel crisis.

by Starvid on Wed Oct 8th, 2008 at 12:34:52 PM EST
[ Parent ]
Yes, and I am arguing that the pre-crash conditions - low unemployment, good benefits - invalidates your theory that those two can not be combined.

I understand that you are arguing that the pre-crash conditions caused the crashed, and well, that much is obvious. Still the 80ies combination of low unemployment, good benefits existed. So I am trying to understand how you relate those conditions to your theory.

Sweden's finest (and perhaps only) collaborative, leftist e-newspaper Synapze.se

by A swedish kind of death on Wed Oct 8th, 2008 at 12:39:12 PM EST
[ Parent ]
I don't really see what you are getting at?

Peak oil is not an energy crisis. It is a liquid fuel crisis.
by Starvid on Wed Oct 8th, 2008 at 12:45:18 PM EST
[ Parent ]
If, as you claim

If you pay people a lot not to work, they won't work.

people would have stayed home and enjoyed their benefits in the 80ies.

Sweden's finest (and perhaps only) collaborative, leftist e-newspaper Synapze.se

by A swedish kind of death on Wed Oct 8th, 2008 at 12:54:32 PM EST
[ Parent ]
At the time the economy was overheated and we had wage inflation IIRC, so the incentives to work were large, in spite of a very generous system that payed people not to work.

The important thing is the difference between working and not working.

And then you have the moral protestant thing. People who work detest paying for people who can work but won't. They have no trouble supporting people who can't work (sick etc) or people who are trying to find new jobs. In this way a basic state funded wage starts undermining the credibility of the ordinary welfare state in the mind of the voters.

While you have the right to be supported, you also have the duty to contribute and not be a burden, as much as you can.

Peak oil is not an energy crisis. It is a liquid fuel crisis.

by Starvid on Wed Oct 8th, 2008 at 05:02:42 PM EST
[ Parent ]

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