This paper examines the evolution of economic inequality in Sweden before, during and after the major macro … buttressed disposable income for those with low income, and despite the rise in inequality, Sweden remained one of the most …-economic recession in the early 1990s. Earnings and income inequality increased after the downturn, but government safety net programs …

before adulthood. We address the question: in Sweden, given its present constellation of social policies and institutions, to … what extent is existing income inequality due to circumstances, as opposed to 'effort'? Our results suggest that several … circumstances, importantly both parental income and own IQ, are important for long-run income inequality, but that variations in …