The labor market in Finland, 2000–2018
Kyyrä, Tomi; Pesola, Hanna (2020)
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IZA Institute of Labor Economics
Finland's population is aging rapidly by international comparison. The shrinking working-age population means that the burden of increasing pension and health care expenditures is placed on a smaller group of employed workers, while the scope for economic growth through increased labor input diminishes. Fiscal sustainability of the welfare state calls for a high employment rate among people of working age. Recent increases in employment contribute favorably to public finances, but high overall unemployment and a large share of the long-term unemployed are serious concerns.
real earnings, unemployment, Finland