The system began to decline following the 1973 oil crisis. Tax rates and unemployment increased, thus the social domain was broken and for brief periods the country was controlled by moderate right-wing governments. Subsequently saw a recessionary crisis in the country, leading to reduced social spending in 1990. Causing social problems for several years, for example, crime increased. Eventually Sweden was the recession, but in 2000 there was a new, albeit smaller, crisis, due to the end of the dot-com bubble. Precaution measures have been deeper again a strong and growing economy.At present, although it is clear that the global economic climate is changing, with the “outsourcing” or outsourcing remains a serious challenge to the standard of living and working in Sweden, levels of education, health and abundant natural resources have enabled Sweden maintains relatively high levels of economic growth and employment: although there is debate about the actual levels (some think they are very high among the young) Sweden has recently been ranked as one of the strongest economies in Europe. According to the UN, Sweden has one of the lowest poverty levels in the world (6 ) and is among the five nations with more equal income distribution. However, its GDP is now lower than in other Nordic countries and economic growth has become a matter of concern. Politically, Sweden is praised by many as a successful example of what can be the social democratic project.Many praise the party for having managed to overcome the recession of the ’80s and ’90s, arguing that the problems facing Sweden are the result of a gradual adaptation to the global economy. Others argue that the present system depends on a level of excessive taxes and what modifications are necessary to promote economic growth. They add that the system creates a “bidragskultur” (culture of welfare) in which people, especially young people are not motivated to work. Others counter that these young people would work if they could find work. In the 2006 elections the country was divided between supporters of the left and right. But even right-wingers (who won) try to keep the essence of the welfare state, with modifications to reduce unemployment and promote economic growth.Neither party intends to dissolve Sweden over the welfare state, since such a proposal would be deeply unpopular with the population, which is generally skeptical of proposals for the extremes of both right and left. In that sense, the changes Danes, who has a similar system, and has managed to reduce unemployment by reducing job security measures (ie, making it easier to dismiss an employee) have become an object of study in Sweden. Nobody knows what will happen in the medium to long term as a result of those measures that make Denmark’s system, which is being called “flexicurity” (flexicurity) – resembles the Anglo-Saxon model (English) welfare state. Sweden is not the only country that is studying these developments. It is said that France is also interested.