ABSTRACT
Sweden's Social Democratic Party (SAP) constructed the "Swedish model" while in power between 1932 and 1976. Although we have various definitions of the Swedish model, each revolves around three primary policies: a universal welfare policy; a solidaristic wage policy; an active labor market policy (ALMP). Sweden operates under a neoliberal policy regime. Since the 1990s, various neoliberal reforms have been implemented in spite of government changes and business fluctuations. This chapter examines the transformation of the Swedish model since the 1990s, by which we consider the relationship between Sweden's traditional social democracy and recent worldwide neoliberal policy regime. It describes the original and individual characteristics of the Swedish model in recent theoretical frameworks of varieties of capitalism and institutional change. Then the chapter examines the validity of the theories by observing various data, and adds further consideration.
