”The Interdependence of the Financial and the Real Sector” (in Swedish), report to the 1995 Long Term Outlook by the Swedish Ministry of Finance. ("Samspelet mellan den finansiella och den reala ekonomin”, bilaga 12, Långtidsutredningen 1995, Finansdepartementet, Stockholm 1994.)
The above report reviews research on the interdependence of the financial and the real sector of the economy, relevant for understanding the financial crisis in Sweden in the early 1990s. Going forward, the report emphasizes the role of equity capital to counter the risks of moral hazard in the financial system, and advocates policies aimed at redirecting aggregate savings in banks, insured by the government, to alternative forms of savings for which risks are privately born.
The analysis and recommendations are echoed in chapter 2 of the following think tank report.
”Environment, labor and capital – time for new social contracts” (in Swedish) with co-authors Anders Vredin, Runar Brännlund, Per Strömberg and Arvid Wallgren, report of the SNS Economic Policy Group 2011. (Konjunkturrådets rapport 2011, ”Miljö, arbete och kapital – dags för nya samhällskontrakt”, SNS förlag, 2011.)
Primarily responsible for chapter 3 on labor market policy in the above think tank report, where the central recommendation is the creation of social work as a way to activate the long-term unemployed, which had earlier been analyzed in publications [13] and [27]. (See folder Publications.)
This policy was also advocated in the following op-ed article in the newspaper Dagens Nyheter.
Op-ed article advocating ‘social work’ as a way to activate the long-term unemployed in Sweden, co-authored with Thomas J. Sargent, October 7, 2012, Dagens Nyheter (Sweden's largest morning newspaper):