Swedish Pension Reform: Reflections and Lessons

Abstract

Sweden’s welfare system once ensured the sustained economic growth and stable social order, but as the world
economic situation changes and structural changes in Swedish society, the welfare system controlled by
government confronted with severe challenges and need to reform urgently. This paper analyzes the specific
reform measures based on the problems faced by the Swedish pension system and discusses in depth the
operating system of nominal personal account system, the transformation cost of pension reform and the impact
on labor market. Finally, according to the developments and reform effects of Swedish pension system, we
combined with China’s specific national conditions and brought forward the policy recommendations for pension
reform such as the gradual path and sustainable development.