The Swedish government is contemplating a significant shift in its fiscal policy by potentially abandoning its long-standing budget surplus rule, which was established following the economic crisis of the early 1990s [5976d4cf]. This consideration comes as a response to the ongoing recession and the pressing need for increased public investment to stimulate economic growth [5976d4cf]. A majority of political parties in Sweden are reportedly in favor of replacing the surplus rule with a balanced budget principle, reflecting a growing consensus on the need for a more flexible fiscal approach [5976d4cf].
In conjunction with these developments, the government has submitted the 2024 spring fiscal policy bill and spring amending budget, which highlights the weak growth and rising unemployment in the country [5b054108]. Minister for Financial Markets Niklas Wykman visited Stockholm University to present the budget, where he discussed the ongoing Swedish recession, which is expected to continue until 2025 [5b054108]. The government anticipates an improved economy for households in 2024, with lower inflation and rising wages, but interest expenditure is expected to remain high throughout the year [5b054108]. Concerns regarding the housing market were raised during the presentation, prompting Wykman to suggest a review of regulations governing housing and financing [5b054108].
In other news, four researchers at the Department of Economics, Stockholm University, have received 7.4 million Swedish kronor in research grants from the Jan Wallander and Tom Hedelius Foundation and the Tore Browaldh Foundation [5ced8852]. The grants aim to support social science research in business administration, economics, and economic history [5ced8852]. The researchers awarded grants in the spring of 2024 are Per Lidbom Pettersson, David Strömberg, and Ferenc Szucs [5ced8852].
Additionally, the Department of Economics at Stockholm University will be participating in Järvaveckan, an event where the university is represented by student ambassadors and advisors from eight departments [9ab58058]. The event will take place on Saturday, June 1st, from 12 to 3 at Järvaveckan, Spånga IP, Tensta [9ab58058]. This participation is part of the university's initiative to engage with the community and provide information about studying economics at Stockholm University. Late applications for studying economics in the autumn will open on July 16th [9ab58058].
Meanwhile, Helsinki University Hospital (HUS) in Finland has announced a hiring freeze as part of cost-saving measures [44a18e46]. Risto Rautava, the chair of HUS' executive board, stated that the hospital needs to save 24 million euros this year and must adjust its finances by at least 225 million euros between 2025 and 2027 [44a18e46]. The hiring freeze means that special permission will be required to replace a retiring worker [44a18e46]. HUS, Finland's largest specialized healthcare provider, employs over 27,000 people and cares for nearly 700,000 patients annually [44a18e46]. The details of the new cost-saving measures will be outlined at a board meeting next week [44a18e46].
