Posted on 09/24/2006 1:23:22 PM PDT by WesternCulture
Brisk reforms expected from Reinfeldt
Sweden's next prime minister, newly-elected Fredrik Reinfeldt, is expected to undertake brisk economic reforms he vowed to implement once in office, namely job creation, tax cuts and privatisations, analysts say.
Reinfeldt's Moderate Party and the other parties of the Alliance for Sweden made job creation the main focus of the election campaign.
"They have a very ambitious plan for opening up the labour market with several economic incentives to get people into the labour market in the short term," SEB bank chief economist Klas Eklund told AFP.
The Alliance has proposed to cut taxes for low income earners, provide subsidies to companies that hire jobless workers, and reduce generous unemployment benefits to encourage people to go to work.
Some 50,000 jobs could be created in two or three years, said Håkan Frisen, head of economic research at SEB.
"If you have these three factors together, you could actually boost the labour market quite a lot," Eklund added.
In addition, the new government plans to make it easier for small and medium-sized companies to hire people by simplifying labour legislation and cutting corporate taxes.
The fiscal incentives are intended to make it easier to hire thousands of low-skilled or unskilled people, primarily in the services sector for jobs such as household help.
The issue is important in Sweden, where the labour market is dominated by highly-skilled workers, and where manual labour black market jobs represent seven to 10 percent of the Swedish economy, Eklund said.
"It's very expensive to hire people in Sweden because they pay very high taxes and also because of lots of legislation," he said.
Reinfeldt, who at 41 has no government experience and was largely unknown on the international scene just two weeks ago, made the battle against unemployment his top priority, accusing Prime Minister Göran Persson of offering generous handouts to the unemployed during his 10 years in government instead of helping them find work.
While official statistics put unemployment at 5.7 percent in August, experts put it closer to 17 percent when people on government job creation schemes, early retirement and long-term sick leave are taken into account.
The arrival of the right-wing in the place of the Social Democrats, who had been in power since 1994, also opens the door to a wave of sell-offs of the state's holdings in a number of companies.
The future prime minister will have a plethora of companies to choose from, with the state holding minority or majority shares in 57 companies.
"The target of (the first wave of) privatisations is 100 billion kronor during the next two years," Eklund said.
The new government is expected to first sell its holdings in listed companies, before moving on to unlisted companies.
At the top of the list are the state's 45.3 percent share in telecoms operator TeliaSonera, 21.4 percent share in the airline SAS, 19.9 percent share in banking group Nordea and 6.8 percent holding in OMX.
Reinfeldt has however not committed to a timetable for the sell-offs, noted Tomas Lindberg, chief economist at Öhman Investment Bank.
"He has said they want to get the best price possible" and will wait for the best market conditions, he said.
But the time is ripe for change and the announced measures have been welcomed by the markets, economists note.
Reinfeldt takes over the country during a period of strong economic growth, in stark contrast to the last conservative government headed by Carl Bildt which took power in 1991 and immediately faced a crippling economic crisis.
Delphine Toitou - AFP
I wish the new PM luck. It's very difficult to change hearts and minds after years of socialism.
Not that the reporters covering the story are *permitted* to mention it, but this is yet another example of an anti-Iraq-war government being toppled.
Martin is gone from Canada. Schroeder is gone from Germany. Now the anti-Iraq-War government in Sweden is toppled.
Chirac in France is next.
You just aren't allowed to say the above in print or on the air.
"Operation "Liberation Sweden" begins!"
- Cheers/skål to that my friend!!
It's already too late unless the demographics change dramatically.
Do they have anything like a national system of property recordation and naturalization of persons such as corporations?
Skål! Skaal! Helan går!
When do they start deporting Muslims? That's the most important issue.
Not that the reporters covering the story are *permitted* to mention it, but this is yet another example of an anti-Iraq-war government being toppled.
"Martin is gone from Canada. Schroeder is gone from Germany. Now the anti-Iraq-War government in Sweden is toppled.
Chirac in France is next.
You just aren't allowed to say the above in print or on the air."
Very true.
Yet, we swedes have in fact worked together with the US in the WOT area. We've sent troops to Afghanistan (and swedish soldiers have been attacked AND killed) and our security service have cooperated a lot with the CIA and other US agencies. In connection to the US operations against Taliban as well as Saddam madness, the former government of Sweden has also declared officially that its standpoint is that "the US has a right to defend itself".
I'm not saying Sweden has done enough and I furthermore oppose the former social democratic-left- green government of Sweden in several areas, but I DO think it's a shame how the attack on the WTC has caused division in the WEST.
The West IS one and should act AS one, defending the open society.
He was born in August 1965 into a family of entrepreneurs. His father ran a training company and his mother worked in recruitment. Mr Reinfeldt has cited their experience of the difficulties of business life - "the petty aggressive attitude toward entrepreneurship" - as being one of the key factors which influenced his political activity.At the age of 26, only a year after graduating from Stockholm University with a degree in economics, he was first elected to the Riksdag. He became the head of the Moderate Party's youth wing in 1992.
Source: http://news.bbc.co.uk/1/hi/world/europe/5355938.stm
"When do they start deporting Muslims? That's the most important issue."
We're already deporting muslim criminals and other such people who don't belong in Europe.
However, a lot of immigrants have gained swedish citizenship far too easily IMO and these people are being treated as ordinary, native swedes by the law - regardless of what crimes they commit.
In Sweden there are ALSO a lot of "muslims" who've fled from countries like Iran, Iraq etc who simple hate islamofascism and fascism like that one of Saddam. Many of them eat pork, drink alcohol, have tried hard to learn swedish and have been successful and they also work hard and respect the law. These "muslims" can stay as far as I'm concerned.
Then there's certain other immigrants...
I think the same thing will occur now in Sweden.
"Do they have anything like a national system of property recordation and naturalization of persons such as corporations?"
I'm not quite sure what you mean, my english isn't perfect although I guess you could label it "decent".
In a thoroughly bureaucratic society like Sweden, you could rely on everything being recorded and registred. This particular aspect of the swedish society has in fact got more to do with lutheranism and civil "Prussian drill" (although we've never been a part of Prussia) than socialism. But ok, now I'm probably getting off-topic.
The right of property isn't a part of the swedish constitution. Many people feel it ought to be, but no government we've had that I know of have bothered to deal with this matter.
One reason is probably that it would be more costly to carry out major infrastructural projects (like building new highways, railroads, airports etc) if private property was deemed a constitutional right.
What the HELL! This coming from Sweden, from a Swede! I hope what ever you got is highly contagious, and it sweeps the entire country of Sweden!
"I hope what ever you got is highly contagious, and it sweeps the entire country of Sweden!"
It IS by all means highly contagious. For instance, Germany (- our southern neighbors), a country that for several years now have believed in improved standards of living without increases in productivity, national efforts and GDP growth is finally coming to senses.
In Germany, the biggest and richest (measuring by GDP) EU nation, educated people are very well aware that the scandinavian countries have all dealt successfully with the problems Germany, Italy and France face today through giving up on socialism and returning to healthy work ethics.
Europe will not slumber forever.
A united Western World can not be conquered by any force on this earth.
A new Renaissance!
When all property is available for use as collateral then capitalism moves to a second order development, which makes funding available through ownership of property as well as whatever cash a person may have in his pocket. Note that massive wealth exists in third world cities, but that the wealth is tied up and unavailable as collateral. An example in Cairo: 80% of the wealth is so tied up. Egypt should be immensely productive but it is operating on 20% of its capital potential.
The constant failure of aid programs to developing countries in Africa is linked directly to this type of situation. Zimbabwe might be a perfect example of doing it exactly wrong.
Ok, I get it.
Thank you for explaining this to me.
"Private property, properly recorded in a national system, is the basis of the American system, which extends also to naturalized persons such as corporations. While it exists in Central and South America, those two lack a national system of recordation, which gives rise to shantytown development."
Like you made clear in your last post, this phenomena exists in many parts of the world.
In Sweden however, I think it would be impossible.
Swedes, even jobless ones, disabled persons or other individuals unable to get a decent job have been very successful in their demands of a standard of housing equal to the rest of the population.
Just look at condos and houses in Sweden. Probably the best built in the world. To build in a different way is prohibited by law.
Hernado de Soto anyone?
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