Viking economics
Tony Weekes reviews a new book by American Quaker George Lakey
The phrase ‘there is no alternative’ came into circulation in the early 1980s. It was used by Margaret Thatcher to justify the economic reforms of her government and enabled acceptance of a ‘new normal’: an economy of cruelty rather than compassion, an economics that ignores the problems and threats of these times. The truth is that there was – and still is – an alternative and a new book by the American Quaker George Lakey, Viking Economics: How the Scandinavians Got It Right – and How We Can, Too, describes it in a readable and well-informed fashion. An important question for these times is whether it is too late for it to inspire social and economic policy in these western European islands.
First, some explanation and reassurance: ‘Viking’ refers to the economic and social policies of four countries: Norway, Sweden, Denmark and Iceland – the Nordic countries. ‘Economics’, also, does not mean the dry, dismal science that puts many people off. It is about the means to create and develop a decent society. Throughout the book the author’s style is informal, and draws on his personal experiences and encounters.
The book is divided into four parts. An introduction describes the origins of the author’s personal experience of Norway and offers an overall view of Viking Economics. In a few words, these four countries have ‘…a sixty-year record of delivering increased freedom and equality’.
Part One offers a brief overview of the economic history of the Viking countries, covering their experiences in the years of globalisation, the year of the great financial crashes (2008) and the years which followed to the present time. It explains why Norway never joined the European Union, and how, after the banking crisis hit Iceland, the government resisted the IMF’s demands for an austerity-based economic system. The final chapter in this part describes how Norwegians empowered themselves to adopt the Nordic model. Note those words: ‘empowered themselves’!
Part Two is entitled ‘Design for living in the Nordic countries’. Design is an interesting word. Conventional economics runs on the vague hope that ‘the market’ will deliver what is required; design, by contrast, requires vision, thought and action.
There is much in Part Two, so I will mention a few aspects that caught my attention. The role of trade unions: strong labour movements in the Nordic countries have been a valuable part of safeguarding equality. The cooperative model has provided housing and fire insurance as well as the more familiar farming and consumer co-ops. Urban dwellers are often members of more than one co-op with benefits which (to quote the author) ‘wouldn’t be there if greed were the bottom line!’ Social welfare – another contested issue of our time – has a different emphasis. The Nordic states do not see themselves as welfare states but ‘universal services states’. The chapter on education describes how the Nordic view offers some models for these economically unstable times. There is an awareness of the need to recognise lifetime career flexibility – by means of universal health care, income support and free educational opportunities, which enable people to (as the author puts it) ‘reinvent themselves’.
The final part considers the Nordic countries’ response to two of the ongoing challenges of our time: the need to see that ethnic and other human differences are used positively for the common good and the problem of climate change. These issues, the author demonstrates, are being recognised and addressed purposefully and with compassion and foresight. The final few pages consider the relevance of the Nordic model to the United States. It leaves me thinking: can we re-inspire politics, or are we too far down the neo-liberal track in this presently rather dis-United Kingdom?
Viking Economics: How the Scandinavians Got It Right – and How We Can, Too by George Lakey is published by Melville House Publishing at £20.99. ISBN: 9781612195360.
