Topic: Sustainable Economic Policy
Country: Sweden
Delegate Name: Ryan Hilbert
School: Forest Hills Central High School
Topic page: background guide and all position papers All Sweden position papers GLIMUN 2015 committees
In the recent decade countries all over the world have experienced economic shortcomings due to their unstable economic policy. From the 2008 housing market crash, to the decline of the world economy, to the recent stock market failures in many countries, the need for change is greater than ever. In order to correct the largely failing world economy it is necessary to promote sustainable economic development in the afflicted countries. Sweden has one of the world’s most sustainable economies, but this has not always been the true. In the late 20th century Sweden had an economy that was riddled with inflation and overspending. This led to the implementation of several economic reforms that established budget ceilings and also created the Swedish Fiscal Policy Council to help manage the national economy.
Regarding the issue at hand, let’s take a look at Greece. In 2010 Greece was essentially bankrupt and filed for a bailout totalling several hundred billion dollars. Greece’s crisis was not the result of one or two poor economic decisions but rather years of neglect and mismanagement in regards to its economic policy. As of now, Greece is slowly recovering because of a massive bailout from the Eurozone, and Sweden recommends that Greece, as well as any other country coming out of an economic crisis, implement similar policies as to those that Sweden put in place during its recovery from the 2009 downturn. The policies put into effect by Sweden lowered the national debt, increased foreign investment by nearly 10 billion, and limited its debt-to-GDP ratio at a modest 40%.
It is in the best interest of not only Sweden but the world as a whole to inculcate and maintain economic policies that promote internal growth while increasing global trade. Sweden advises the creation of a UN committee similar to the Swedish Fiscal Policy Council that can offer expert economic advice to countries in need. As stated by Swedish prime minister Stefan Löfven, “The adoption of the new sustainable development goals and the new financial framework must not be seen as the end of a process. On the contrary, it is the starting signal for more intense, and absolutely essential, efforts to achieve increased sustainable development at global, regional and national levels.”
