This book is an original study of why and how Nordic countries by the turn of the century rated at the top on many socio-economic performance indexes. Why did they adapt to globalization and the knowledge economy in a comparative successful way? The introductory chapter argues that the Nordic countries have been able to create new forms of economic organization because welfare institutions made it possible to work in novel ways. The chapters on Finland, Denmark, Norway, and Sweden reveal the dynamics and transformations of their national business systems, and the emerging new patterns of inter ... More

This book is an original study of why and how Nordic countries by the turn of the century rated at the top on many socio-economic performance indexes. Why did they adapt to globalization and the knowledge economy in a comparative successful way? The introductory chapter argues that the Nordic countries have been able to create new forms of economic organization because welfare institutions made it possible to work in novel ways. The chapters on Finland, Denmark, Norway, and Sweden reveal the dynamics and transformations of their national business systems, and the emerging new patterns of interaction between firms, labour markets, and institutions. Focus is on how firms operate globally, how they organize internally, and how they interact with local and national institutions to tap into open innovation networks in highly surprising ways. These case studies show significant differences among the countries but also great similarities concerning how they are able to construct and de-construct complementarities. The concluding chapter interprets comparative findings and suggests how an experimentalist economy backed by enabling and risk-sharing welfare institutions might be further elaborated. The book crosses the usual boundaries between studies of welfare regimes, varieties of capitalisms, and national innovations systems. It also speaks directly to current high-profile policy debates within and beyond the European Union.