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Why was the Great Depression not so great in the Nordic countries? : economic policy and unemployment

Grytten, Ola Honningdal
Working paper
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dp2006-24.pdf (97.54Kb)
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http://hdl.handle.net/11250/163304
Utgivelsesdato
2006-08
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  • Discussion papers (SAM) [638]
Sammendrag
The present paper seeks to examine why the Nordic countries performed better than most

other Western countries during the 1930s, when they at the same time experienced high

unemployment levels. The conclusions drawn here are that the early abandonment of

gold and the adoption of a more inflationary monetary policy serve as the key explanation

to the relatively mild Nordic depression and the rapid recovery. However, the paradox of

persistently high unemployment remains. By international comparisons the paper shows

that these rather can be explained by a positive shift in labour supply than the scale of the

depression. The analysis in the paper also reveals that Sweden performed more like continental Europe in respect of both the depression and the labour market.
Utgiver
Norwegian School of Economics and Business Administration. Department of Economics
Serie
Discussion paper
2006:24

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