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Innovation, Regions and Employment Resilience in Sweden

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Part of the book series: Advances in Spatial Science ((ADVSPATIAL))

Abstract

Lately, the concept of regional resilience has drawn some attention in academic and policies circles. In a macroeconomic perspective, resilience is essentially conceived through recovery from recession (industrial redeployment, path dependency) or external shock (economic crisis). In this chapter, we will adopt a mix approach of resilience associating economic geography with labour capital. We define the notion of regional resilience through labour characteristics (regional net employment, job accessibility defined as commuting surplus/deficit, employment resilience and labour dynamics) of the six most innovative Swedish regions (NUTS 3 level). We observed those regions under a 10 years period between 2004 and 2014. Our descriptive approach shows the relevance to consider regional resilience from the institutions of the job market in regard of business cycle, i.e. in line with regions’ abilities to adapt to continuous changes over time.

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Notes

  1. 1.

    Across, the 1980s and 1990s, economists have been amongst the first to criticize the idea that labour flexibility was meant to reflect unemployment in times of regional restructuring.

  2. 2.

    The contraction in finance and credit on global market are acted by economic and government actors. Those adapting movements are common since Sweden’s dependence on the international market fluctuation has increased over time. For example, Swedish export represents 44.56% of GDP in 2014. Market funding, not in the form of deposits, accounts for around 60% of banks’ total balance sheets. Finance is acquired on international markets.

  3. 3.

    In contrast with the strict ability of regions to overcome shock by resuming pre-recession growth. The difference of interpretation is relative to the consideration of the length of historical cycle of regional growth.

  4. 4.

    We say “mechanical” rise of social benefit to reflect Swedish labour law (act 1997: 238). In Sweden, the welfare rules stipulate that people becoming unemployed have a right to claim 60 weeks of social benefit (1 year and 3 months) based on average salaries of your previous employment(s).

  5. 5.

    In our data, the administration includes central government, central government quasi-corporations, primary local government, county councils, other public institutions, central government corporations and organizations, local government corporations and organizations. The private institutions are joint-stock corporations not controlled by the government sector. Other corporations not controlled by the government sector. Our data do not consider “other organizations”. We have noticed the number of “other organizations” in all regions is significantly stable.

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Karlsson, C., Rouchy, P. (2018). Innovation, Regions and Employment Resilience in Sweden. In: Pinto, H., Noronha, T., Vaz, E. (eds) Resilience and Regional Dynamics. Advances in Spatial Science. Springer, Cham. https://doi.org/10.1007/978-3-319-95135-5_5

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