Government Intervention, Real Gdp, And National Debt From An Economic Perspective

1330 Words6 Pages
Sweden: The Ultimate “Elsewhere” John Malkovich once, jokingly, stated that “utopia means elsewhere”. Sandwiched in between Norway and Finland is that idealized “elsewhere”, Sweden, with a strong government and thriving economy. It is not only solidly constructed but stunning to look at, with beautiful plant life and architecture to match. Sweden is sparsely populated with roughly 9.6 million people living comparatively good lives (with low crime rates, 18 month long parental leaves, and a high standard of living). It is famous for its neutral foreign policy and high taxes. In short, Sweden is the ideal… if not to live in then definitely to visit at least once. In this paper I will analyze Sweden, examining factors of supply and demand, government intervention, real GDP, and national debt from an economic perspective. The first factor that I will evaluate is how the Swedish power market has seen a rightward shift in its supply curve over the last forty years. The Oil Crisis of the 1970s - sparked extensive research into alternative energy sources that would result in a 53.5 percent decrease in oil dependency between 1970 and 2012 (Energy Use in Sweden). This transition from a finite resource to its renewable counterpart opened the market for competition in Sweden and, combined with the inelastic demand for power in a modern nation, increased the quantity available to consumers and decreased the price. As of right now, “green” energy cannot be exported very far because it is
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