Jump to ContentJump to Main Navigation
Decent Incomes for AllImproving Policies in Europe$
Users without a subscription are not able to see the full content.

Bea Cantillon, Tim Goedemé, and John Hills

Print publication date: 2019

Print ISBN-13: 9780190849696

Published to Oxford Scholarship Online: December 2018

DOI: 10.1093/oso/9780190849696.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (www.oxfordscholarship.com). (c) Copyright Oxford University Press, 2019. All Rights Reserved. Under the terms of the licence agreement, an individual user may print out a PDF of a single chapter of a monograph in OSO for personal use (for details see www.oxfordscholarship.com/page/privacy-policy).date: 19 April 2019

Social Investment at Crossroads

Social Investment at Crossroads

“The Third Way” or “The Enlightened Path” Forward?

(p.201) 9 Social Investment at Crossroads
Decent Incomes for All

Axel Cronert

Joakim Palme

Oxford University Press

The concept of social investment has gained ground among European Union policymakers as a strategy to reconcile the goals of employment, growth, and social inclusion. However, scholars have criticized the social investment approach for not achieving its intended distributional consequences and have questioned the complementarity between the goals of increasing employment and decreasing poverty. We argue that distinguishing between the “Enlightened Path”—more commonly known as the “Nordic approach”—and the “Third Way” approach to social investment is important for understanding the relationships between social investment policies, employment, and poverty. By critically examining policy developments in Sweden, we find that the recent noticeable increase in relative poverty can best be accounted for by changes in tax and transfer policies that represent a shift from the Nordic approach to the Third Way approach, whereas an “employment vs. poverty” trade-off is mitigated by the sustained presence of a compressed wage structure.

Keywords:   social investment, employment, poverty, Third Way, employment−poverty trade-off, minimum wages, Sweden

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .