• Does not follow the revenues growth
• The middle class take jobs
• The industry requires a higher education
• Financial crisis hits the poor
• Insurance Scheme laggards
• Difficult to equalize the differences
Scientist believe more in Norway will be affected by the international recession and to tighten livreima.
More and more Norwegians seeking social assistance.
Read: Such are the differences of Norway
- Middle class promoted from, while those at the bottom can not keep up with the growth in income. Thus, we get more poor, says Axel West Pedersen, researcher at the Institute for Social Research.
One explanation could be that good labor market in recent years, he said.
-One would have thought that the poor would also increase their chances on the labor market when times are good – and they do enough to some extent – but the labor supply increases still mostly more affluent families.
For example, several part-time working women in toinntektsfamilier increase their part-time percentage. This increases income quickly for those families who are in the middle of the income distribution. Those on the bottom can not make use of the same effect, says West Pedersen.
Social security payments that do not increase in line with inflation could be another possible reason for the differences increase.
• Also read so are the differences Norway.
Increasing globalization and technological change are the main explanations for the increased income inequality, think Kjell G. Salvanes, professor of economics at the Norwegian School of Economics (NHH).
It’s been a huge increase in trade between the two countries over the last decade. Goods produced abroad and imported to Norway, can be produced by people without much education. In Norway, however, produces goods that increasingly require higher education. This means that the demand for highly educated labor increases – and thus driven wages up, says NHH professor.
Although more and more Norwegians are in higher education, globalization and technological changes are so powerful that the demand for highly educated labor exceeds supply, says Salvanes.
- Must tighten
Recession in Europe will lead to lower revenues and particularly affect the poorest in the next few years, says researcher Axel West Pedersen.
- We already have more unemployed while searching for assistance have increased sharply over the past year – for the first time in ten years. We have a policy to maximize people at work, but even if employment is high, they are not coming into work hanging more and more. The coalition government has not been able to change that, he said.
But the middle class is the golden era over, says West Pedersen. -People can expect to have to tighten up ahead because the economic times get tougher in this country. The dramatic tightening in Europe will probably spill over, he said.
Hard to even out
There is no blueprint on how to even out class differences, mean Salvanes.
-Work is a lot on the topic, but yet there are no easy answers on how to reduce differences in income. It is therefore difficult to say what kind of policies that work, he says.
The major educational reforms in the decades following the war has probably had some influence, says Salvanes, and emphasizes that we have a high degree of equality in income in Norway compared to other countries.
-Our own research shows that the transition from seven-year to nine years of compulsory schooling has had some effect, but there is no question of any violent dimensions.
-Since the 1850s we have seen a steady trend toward greater income equality in Norway, and this is probably driven by both policy and technical advances first to a transfer of labor from agriculture and fisheries to industrial ag later services. The development of the welfare state after the Second World War has probably been important in uneven social differences, but we know very little about, he says.
27. july 2010