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Economy of Sweden

With a modern and highly industrialized economy, enjoying a developed distribution system as well as excellent internal and external communications, Sweden economy is one of the most prosperous in the world. Based on the income and region, in 2005, the World Bank has made a classification, according to which the country has a total surface area of 390.8 thousand square kilometers, with a total forest area of 191.1 thousand square kilometers.

The natural resources include timber, hydropower, and iron ore, which all constitute the foundations of a solid economy focused on foreign trade. Among major industries, Sweden takes pride in its motor vehicles, telecommunications, pharmaceuticals and forestry. Dominating peace as well as neutrality for the most part of the 20th century, have only helped Sweden in its goal to achieve excellent standard of living, despite its system of high-tech capitalism.

However, Sweden is quite famous due to its high taxes and large public sector, as it has the second highest total tax revenue, after Denmark, as a share of the country's income. Starting with 2007, the Sweden total tax revenue was 47.8% of GDP, decreasing from 49.1%, only one year before.

The Industrial as well as the agricultural sectors both play a significant role in the high economic level and performance of the country, both contributing a lot to the country's Gross Domestic Product. The major industries in the country are iron, steel, wood pulp, paper products, and motor vehicles. The important agricultural products in the country are wheat, barley, sugar and milk.

Sweden exports cotton, tobacco, gold, ferroalloys and clothing, mainly to US, Germany, Denmark, UK and Netherlands and imports commodities in the country, such as clothing, iron, steel, as well as chemicals, from countries such as UK, Germany, Netherlands, Denmark and Finland. Over the past years Sweden has experienced a trade as well as account surplus, the current surplus as registered in 2005 is estimated at $23 billions.

Recently Sweden has had very good results in the economic scenario, and more than that both at a domestic level, as well as at an international level, the country also enjoys a progressively better stability. The country’s economy has also been targeted towards a better and more attentive control of the fear, installed nationwide by the rising price level.

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1 comments:

Surplus said...

Over the past years Sweden has experienced a trade as well as account surplus

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