Scandinavian Working Papers in Economics
Lund Papers in Economic History,
Lund University, Department of Economic History
No 222: Social Democracy and the Decline of Strikes
Jakob Molinder, Tobias Karlsson and Kerstin Enflo ()
Additional contact information
Jakob Molinder: Department of Economic History, Lund University, Postal: Department of Economic History, Lund University, Box 7083, S-220 07 Lund, Sweden
Tobias Karlsson: Department of Economic History, Lund University, Postal: Department of Economic History, Lund University, Box 7083, S-220 07 Lund, Sweden
Kerstin Enflo: Department of Economic History, Lund University, Postal: Department of Economic History, Lund University, Box 7083, S-220 07 Lund, Sweden
Abstract: This paper tests if a strong labor movement leads to fewer industrial conflicts. The focus is on Sweden between the first general election in 1919 and the famous Saltsjöbaden Agreement in 1938, a formative period when the country transitioned from fierce labor conflicts to a state of industrial peace. Using panel data techniques to analyze more than 2,000 strikes in 103 Swedish towns, we find that a shift of municipal political majority towards the Social Democrats led to a significant decline in local strike activity, but only in towns where union presence was strong. The strike-reducing mechanism is related to corporatist explanations rather than increased social spending in municipal budgets.
Keywords: power resource theory; industrial conflicts; strikes; labor markets; local politics
35 pages, May 21, 2021
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