Riding the Wave: Finland in the Changing Tides of Globalisation

Jyrki Ali-Yrkkö, Markku Lehmus, Petri Rouvinen and Vesa Vihriälä

No 274 in ETLA B from The Research Institute of the Finnish Economy

Abstract: The book recounts Finnish economic history during the different phases of globalisation as defined and analysed by Richard Baldwin in “The Great Convergence: Information Technology and the New Globalisation”. We demonstrate that Finland has benefited a great deal from its participation in the international division of labour and exchange, and that this is not due to exceptionally favourable endowments or a lack of disturbances and adversities. While errors in policy have not been avoided, the broad approach, i.e. the Finnish version of the so-called ‘Nordic model’, has been appropriate. It has embraced economic and political openness and sought to increase the economy’s capacity to take advantage of emerging opportunities and to strengthen its resilience. The last ten years have again been difficult and revealed the vulnerability of a small specialised economy. However, after almost a decade of stagnation, the economy has recently shown strong signs of a rebound again. We conclude that the Nordic model is also the best starting point for Finland with regard to the new challenges of technological change and global competition. Nevertheless, policies need to be sharpened, including increasing the flexibility of the labour market and further improving competences and innovation capacity.

Keywords: Globalisation; free trade; openness; convergence; Finland (search for similar items in EconPapers)
Date: Written 2017-08-24
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.etla.fi/wp-content/uploads/ETLA-B274.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rif:bbooks:274

Ordering information: This item can be ordered from
https://www.etla.fi/ ... es-of-globalisation/

The price is 24€.

Access Statistics for this book

More books in ETLA B from The Research Institute of the Finnish Economy Contact information at EDIRC.
Bibliographic data for series maintained by Kaija Hyvönen-Rajecki ().