Sweden's Economy Embraces Globalization

Leif Pagrotsky, a politician in Sweden, explains how his country maintains its welfare state and strong economy, despite the pressures of globalization.

As a small country, Sweden has been forced to keep its borders open and engage in extensive world trade, according to Mr. Pagrotsky, who is interviewed on the website, Big Think (video available above). In his view, by implementing Keynesian economic programs, the government has successfully supported strong employment, rising real wages and growing services.

"We're members of the European Union and we use our membership to promote open borders and free trade, whereas sometime there are strong protectionist pressures," Mr. Pagrotsky says.

Mr. Pagrotsky has held posts in his government's Central Bank and Ministry of Finance. He has also been Sweden's Minister for Industry and Trade, a tenure marked by his public attempts to promote Swedish popular music -- an effort critics viewed as self-promotion due to his exhibitions with bands like the Cardigans and the Hives, at least according to his public biography on Wikipedia.