ABSTRACT
During the 17th and 18th centuries, large parts of Estonia and Latvia formed part of the Swedish empire. Nevertheless, a little more than a quarter of a century after their separation from the Soviet Union, the economic policies, welfare and tax systems of the Baltic States are as far away from the Nordic welfare model as one could possibly get. The Baltic States could attempt to implement a watered-down Nordic model, if that was their wish, and thus attain something closer to the welfare systems of some of the other richer European countries, perhaps with European Union support. This could also help them keep a greater proportion of their young people within their borders. The Baltics are closer to the free-market neoliberal Anglo-Saxon model. According to the International Monetary Fund, the Baltic States are closer to the Anglo-Saxons than the Nordics as regards the structure of their private sectors.
