Kannustaminen ja moraali : Kannustamisen idea suomalaisessa yhteiskuntapolitiikassa 1990-luvulta alkaen

Even though the concept of incentive has become very popular in Finnish welfare politics since the economic crisis of the 1990s, the content of this concept is not clear. Fundamentally, it is a matter of controlling the behaviour of individuals to accord with the authorities' objectives and interests in gaining cooperative benefits. As early as in Plato's Republic, citizens were encouraged to use their abilities and skills in a way most beneficial to the society. Similarly, in today's welfare society citizens are urged to produce common goods and distribute welfare to enable a better life for all through cooperation. The fundamental question is to what extent society can shape individuals' preferences with incentives, and encourage them without external coercion to choose actions beneficial for both the society and the individuals themselves. The objective of the incentive institution is to gain cooperative benefits, but there are different views on how it should be implemented. For example, the incentive system in the Finnish welfare society includes several economic and social conceptions which adjust the distribution of welfare. From an economic perspective, the objective of the incentive system is economic efficiency, while from a social perspective it is the securing of social rights and citizens' equality. The market mechanism, for example, can at best lead to economically efficient activity, but it might sacrifice fairness and equality. In this research, the idea of activation policy expands to cover normative and social incentives, in addition to the economic factors affecting human choice and social actions. Desirable co-living and meaningful cooperation have some prerequisites. We need the expanded idea of activation to study them, and to maintain them in society. The themes discussed in all the ten chapters aim at evaluating the preconditions of a just society. This study provides tools to examine the changes in the welfare state, also from the viewpoint of normative ethics. This offers a morally and conceptually wider perspective than a normative viewpoint of economics alone. In terms of the values of our welfare society, it makes a difference how the relationship between the legalities of economics and citizens' well-being is understood. The research asks whether economic benefits to the society should be allowed to supersede the principles of human dignity Key words:incentives, activation policy, morality, social philosophy, social justice, policy paradigm

Essays on Russia's Economic Transition

This study comprises an introductory section and three essays analysing Russia's economic transition from the early 1990s up to the present. The papers present a combination of both theoretical and empirical analysis on some of the key issues Russia has faced during its somewhat troublesome transformation from state-controlled command economy to market-based economy. The first essay analyses fiscal competition for mobile capital between identical regions in a transition country. A standard tax competition framework is extended to account for two features of a transition economy: the presence of two sectors, old and new, which differ in productivity; and a non-benevolent regional decision-maker. It is shown that in very early phase of transition, when the old sector clearly dominates, consumers in a transition economy may be better off in a competitive equilibrium. Decision-makers, on the other hand, will prefer to coordinate their fiscal policies. The second essay uses annual data for 1992-2003 to examine income dispersion and convergence across 76 Russian regions. Wide disparities in income levels have indeed emerged during the transition period. Dispersion has increased most among the initially better-off regions, whereas for the initially poorer regions no clear trend of divergence or convergence could be established. Further, some - albeit not highly robust - evidence was found of both unconditional and conditional convergence, especially among the initially richer regions. Finally, it is observed that there is much less evidence of convergence after the economic crisis of 1998. The third essay analyses industrial firms' engagement in provision of infrastructure services, such as heating, electricity and road maintenance. Using a unique dataset of 404 large and medium-sized industrial enterprises in 40 regions of Russia, the essay examines public infrastructure provision by Russian industrial enterprises. It is found that to a large degree engagement in infrastructure provision, as proxied by district heating production, is a Soviet legacy. Secondly, firms providing district heating to users outside their plant area are more likely to have close and multidimensional relations with the local public sector.

Appropriate Institutions and Economic Growth - one size fits no-one

Modern-day economics is increasingly biased towards believing that institutions matter for growth, an argument that has been further enforced by the recent economic crisis. There is also a wide consensus on what these growth-promoting institutions should look like, and countries are periodically ranked depending on how their institutional structure compares with the best-practice institutions, mostly in place in the developing world. In this paper, it is argued that ”non-desirable” or “second-best” institutions can be beneficial for fostering investment and thus providing a starting point for sustained growth, and that what matters is the appropriateness of institutions to the economy’s distance to the frontier or current phase of development. Anecdotal evidence from Japan and South-Korea is used as a motivation for studying the subject and a model is presented to describe this phenomenon. In the model, the rigidity or non-rigidity of the institutions is described by entrepreneurial selection. It is assumed that entrepreneurs are the ones taking part in the imitation and innovation of technologies, and that decisions on whether or not their projects are refinanced comes from capitalists. The capitalists in turn have no entrepreneurial skills and act merely as financers of projects. The model has two periods, and two kinds of entrepreneurs: those with high skills and those with low skills. The society’s choice of whether an imitation or innovation – based strategy is chosen is modeled as the trade-off between refinancing a low-skill entrepreneur or investing in the selection of the entrepreneurs resulting in a larger fraction of high-skill entrepreneurs with the ability to innovate but less total investment. Finally, a real-world example from India is presented as an initial attempt to test the theory. The data from the example is not included in this paper. It is noted that the model may be lacking explanatory power due to difficulties in testing the predictions, but that this should not be seen as a reason to disregard the theory – the solution might lie in developing better tools, not better just better theories. The conclusion presented is that institutions do matter. There is no one-size-fits-all-solution when it comes to institutional arrangements in different countries, and developing countries should be given space to develop their own institutional structures that cater to their specific needs.

Development of foreign direct investment in Finland

During 1990 to 2009, Foreign Direct Investment (FDI henceforth) in Finland has fluctuated greatly. This paper focused on analyzing the overall development and basic characteristics of Foreign Direct Investment in Finland, covering the period from 1990 to present. By comparing FDI in Finland with FDI in other countries, the picture of Finland’s FDI position in the world market is clearer. A lot of statistical data, tables and figures are used to describe the trend of Foreign Direct Investment in Finland. All the data used in this study were obtained from Statistics Finland, UNCTAD, OECD, World Bank and International Labor Office, Investment map website and etc. It is also found that there is a big, long-lasting and increasing imbalance of the inward FDI and outward FDI in Finland, the performance of outward FDI is stronger than the inward FDI in Finland. Finland’s position of FDI in the world is rather modest. And based on existing theories, I tried to analyze the factors that might determine the size of the inflows of FDI in Finland. The econometric model of my thesis is based on time series data ranging from 1990 to 2007. A Log linear regression model is adopted to analyze the impact of each variable. The regression results showed that Labor Cost and Investment in Education have a negative influence on the FDI inflows into Finland. Too high labor cost is the main impediment of FDI in Finland, explaining the relative small size of FDI inflows into Finland. GDP and Economy openness have a significant positive impact on the inflows of FDI into Finland; other variables do not emerge as significant factor in affecting the size of FDI inflows in Finland as expected. Meanwhile, the impacts of the most recent financial and economic crisis on FDI in the world and in Finland are discussed as well. FDI inflows worldwide and in Finland have suffered from a big setback from the 2008 global crisis. The economic crisis has undoubtedly significant negative influence on the FDI flows in the world and in Finland. Nevertheless, apart from the negative impact, the crisis itself also brings in chances for policymakers to implement more efficient policies in order to create a pro-business and pro-investment climate for the recovery of FDI inflows. . The correspondent policies and measures aiming to accelerate the recovery of the falling FDI were discussed correspondently.

Arvojen markkinat : Oikeuttavat arvomaailmat suomalaisten suuryritysten yritysvastuupuheessa

The research in this thesis addresses the question of corporate legitimation and values. It studies moral speech in Finnish companies' social responsibility reports and annual reports. The managerial rhetoric has been examined as a means of building and maintaining legitimacy. The companies studyed are the ten biggest companies that repordted on social responsibility in 2004, and the analysed data consists of the companie's reporting from 1998 to 2008. The theoretical and analytical framework is provided by Luc Boltanski's and Laurent Thévenot's theory of justification. The theory is focused on systems of moral thinking and argumentation, so called "orders of worth". The study shows how these moral schemes were used in the legitimation process. Special attention is paid on the ways that compromises are made between different orders of worth, such as the market, civic and green order. The study shows that the focus of legitimation has shifted towards societal and environmental themes. The values of market and industry, profits and efficiency, however, remain the strongest basis for organizational legitimation in Finnish companies. The economic crisis of 2008 had a visible impact on the moral rhetoric, especially in the Finnish forestry sector. Large layoffs questionned the companies' traditional role and made companies adopt a more market-centered and project-based moral rhetoric. New inspirational and project-centered moral speech emerged as the companies were less able to present themselves as nation-based, traditional actors in the Finnish society.

Historiebruk kring Nådendal : och den kommemorativa anatomin av klostrets minnesplats

This thesis examines the ruins of the medieval Bridgettine (Birgittan) monastery of Naantali (Vallis Gratiae, f. 1443) in Finland and the transformation of the site into a national heritage and a memory landscape. It was archaeologically surveyed in the 19th century by Professor Sven Gabriel Elmgren (1817 1897). His work was followed by Dr. Reinhold Hausen (1850 1942), who excavated the site in the 1870s. During this time the memories of Saint Bridget (Birgitta) in Sweden were also invented as heritage. Hausen published his results in 1922 thus forming the connection with the next generation of actors involved with the Naantali site: the magnate Amos Anderson (1878 1961), the teacher Julius Finnberg (1877 1955) and the archaeologist Juhani Rinne (1872 1950). They erected commemorative monuments etc. on the Naantali site, thus creating a memory landscape there. For them, the site represented the good homeland in connection with a western-oriented view of the history of Finland. The network of actors was connected to the Swedish researchers and so-called Birgitta Friends, such as state antiquarian Sigurd Curman (1879 1966), but also to the members of the Societas Sanctae Birgittae and the Society for the Embellishment of Pirita, among others. Historical jubilees as manifestations of the use of history were also arranged in Naantali in 1943, 1993 and 2003. It seems as if Naantali is needed in Finnish history from time to time after a period of crisis, i.e. after the Crimean War in the 1850s, the civil war of 1918, during World War II and also after the economic crisis of the early 1990s. In 2003, there was a stronger focus on the international Saint Bridget Jubilee in Sweden and all over Europe. Methodologically, the thesis belongs to the history of ideas, but also to research on the use of history, invented traditions and lieux de mémoire. The material for the work consists of public articles and scholarly texts in books or newspapers and letters produced by the actors and kept in archives in Finland, Sweden and Estonia, in addition to pictures and erected commemorative monuments in situ in the Western Finnish region. Keywords: Nådendal, Naantali monastery, Bridgettines, St. Bridget, use of history, lieux de mémoire, invented traditions, commemorative anatomy, memory landscape, Saint Bridget jubilees , S. G. Elmgren, R. Hausen, A. Anderson, J. Finnberg, J. Rinne, S. Curman, High Church Movement, Pirita, Vadstena.

"Köyhyydestä ei puhuttu, sitä vaan elettiin." : Köyhyyden kokemus ja selviytyminen 1930-luvun pulan oloissa Suomen maaseudulla

On the material level of poverty, the work shows how the Great Depression forced rural women and children to enhance their work input and find new ways of coping. The most serious impact of the Depression was poor nutrition, as well as scarcity of food and clothes. Women's and men's ways to make a living started to resemble each other; men had also to consent to wages in form of foodstuff. The research also focuses on immaterial poverty by means of exploring experiences of otherness: shame, hatred and expressions of protest. Substantial humiliation was induced by poor relief and begging. A clear gap prevailed between the poor and the better off people in school, work and at leisure. The economic crisis deepened this gap even further. The dissertation specifies the poor people s every day experiences by taking into account the different worlds of men and women. The analysis of four different memory-based sources is the core in the micro-historical research design. The narrators of the research were survivors, unlike many others, who experienced the Great Depression. Moralization and humiliation of the poor have not ceased in contemporary society. Therefore, the historical perspective of both the material and the immaterial side of poverty could increase the understanding of the multifaceted phenomenon of today s poverty.

Neighborhood Shopkeepers in Contemporary South Korea: Household, Work, and Locality

This is an ethnographic study of the lived worlds of the keepers of small shops in a residential neighborhood in Seoul, South Korea. It outlines, discusses, and analyses the categories and conceptualizations of South Korean capitalism at the level of households, neighborhoods, and Korean society. These cultural categories were investigated through the neighborhood shopkeepers practices of work and reciprocal interaction as well as through the shopkeepers articulations of their lived experience. In South Korea, the keepers of small businesses have continued to be a large occupational category despite of societal and economic changes, occupying approximately one fourth of the population in active work force. In spite of that, these people, their livelihoods and their cultural and social worlds have rarely been in the focus of social science inquiry. The ethnographic field research for this study was conducted during a 14-month period between November 1998 and December 1999 and in three subsequent short visits to Korea and to the research neighborhood. The fieldwork was conducted during the aftermath of the Asian currency crisis, colloquially termed at the time as the IMF crisis, which highlighted the social and cultural circumstances of small businesskeeper in a specific way. The livelihoods of small-scale entrepreneurs became even more precarious than before; self-employment became an involuntary choice for many middle-class salaried employees who were laid off; and the cultural categories and concepts of society and economy South Korean capitalism were articulated more sharply than before. This study begins with an overview of the contemporary setting, the Korean society under the socially and economically painful outcomes of the economic crisis, and continues with an overview of relevant literature. After introducing the research area and the informants, I discuss the Korean notion of neighborhood, which incorporates both the notions of culturally valued Koreanness and deficiency in the sense of modernity and development. This study further analyses the ways in which the businesskeepers appropriate and reproduce the Korean ideas of men s and women s gender roles and spheres of work. As the appropriation of children s labor is conditional to intergenerational family trajectories which aim not to reproduce parents occupational status but to gain entry to salaried occupations via educational credentials, the work of a married couple is the most common organization of work in small businesses, to which the Korean ideas of family and kin continuity are not applied. While the lack of generational businesskeeping succession suggests that the proprietors mainly subscribe to the notions of familial status that emanate from the practices of the white-collar middle class, the cases of certain women shopkeepers show that their proprietorship and the ensuing economic standing in the family prompts and invites inversed interpretations and uses of common cultural notions of gender. After discussing and analyzing the concept of money and the cultural categorization of leisure and work, topics that emerged as very significant in the lived world of the shopkeepers, this study charts and analyses the categories of identification which the shopkeepers employ for their cultural and social locations and identities. Particular attention is paid to the idea of ordinary people (seomin), which shopkeepers are commonly considered to be most representative of, and which also sums up the ambivalence of neighborhood shopkeepers as a social category: they are not committed to familial reproduction and continuity of the business but aspire non-entrepreneurial careers for their children, while they occupy a significant position in the elaborations of culturally valued notions and ideologies defining Koreanness such as warmheartedness and sociability.

Empirical Studies on Labor Market Matching (summary section only)

This thesis analyzes how matching takes place at the Finnish labor market from three different angles. The Finnish labor market has undergone severe structural changes following the economic crisis in the early 1990s. The labor market has had problems adjusting from these changes and hence a high and persistent unemployment has followed. In this thesis I analyze if matching problems, and in particular if changes in matching, can explain some of this persistence. The thesis consists of three essays. In the first essay Finnish Evidence of Changes in the Labor Market Matching Process the matching process at the Finnish labor market is analyzed. The key finding is that the matching process has changed thoroughly between the booming 1980s and the post-crisis period. The importance of the number of unemployed, and in particular long-term unemployed, for the matching process has vanished. More unemployed do not increase matching as theory predicts but rather the opposite. In the second essay, The Aggregate Matching Function and Directed Search -Finnish Evidence, stock-flow matching as a potential micro foundation of the aggregate matching function is studied. In the essay I show that newly unemployed match mainly with the stock of vacancies while longer term unemployed match with the inflow of vacancies. When aggregating I still find evidence of the traditional aggregate matching function. This could explain the huge support the aggregate matching function has received despite its odd randomness assumption. The third essay, How do Registered Job Seekers really match? -Finnish occupational level Evidence, studies matching for nine occupational groups and finds that very different matching problems exist for different occupations. In this essay also misspecification stemming from non-corresponding variables is dealt with through the introduction of a completely new set of variables. The new outflow measure used is vacancies filled with registered job seekers and it is matched by the supply side measure registered job seekers.

Ühis- ning erijooni Soome ja Eesti Kaitseliitude puhkpillimuusikas aastatel 1925-1934.

This study focuses on the similarities and differences between the Estonian Defence League and the Finnish Civil Guard brass bands during the period 1925-1934. By 1934 this paramilitary volunteer state defence organisation had reached stability in its development, such that social, cultural and patriotic education of the people - with the help of brass band music among other means- had acquired a significant role, in addition to prioritised military and sports activities. The study begins with introductory paragraphs I and II, which describes the founding of the organisations, their participation in the Wars of Independence and their subsequent peace time activities as well as their representation in the media at the time. The thesis also briefly introduces military music in Finland and Estonia, as well as describes the influence of military music on the Defence League brass bands. The period under review includes the global economic crisis, which undoubtedly concerned the Defence League/Civil Guard and the Lapua and War of Independence movements, which greatly affected the apolitical principles of the organisations. The main emphasis of the thesis is the Defence League/Civil Guard brass band`s musical activities in two counties - Etelä-Pohjanmaa and Pärnumaa, while also including a general overview of the Estonian Defence League brass bands´ activities. One of the most important benefits of the thesis is its introduction of the brass band repertoire in use at the time, which was played by both professional and as well as amateur orchestras the latter of which also included the brass bands of the Defence League/Civil Guard and the Fire Services. Brass band music held a secondary, yet significant position in the Defence League/Civil Guard, where the orchestra as a musical grouping was obliged to perform not only at inner-organisational and national celebrations but also at any event requiring brass band music, such as song festivals, singing days, and other local cultural events. The professional preparation of the band conductors at the beginning of the period under review was not well specialised, but the training of the Defence League/Civil Defence brass band conductors was carried out regularly in both republic according to the opportunities and dedicated training programmes available. The musicians of the Defence League/Civil Defence brass bands were at the same time members of the military organisations as well as amateur musicians, which placed upon them extra demands - they were under close public supervision in all situations. Based on the principle of chronology it appeared that both Finnish and Estonian respective organisations´ brass bands used the gradually improving economic situation for purchasing musical instruments, obtaining repertoire and training musicians/conductors. Despite the fact that brass band music in the Defence League/Civil Guard was considered an amateur activity and a hobby, the more far-reaching objective of the organisation was to resemble the Defence Forces´ orchestras as closely as possible in all aspects. The Defence League/Civil Guard brass band music definitely had a significant influence on forming, developing and enriching music life in both republics. The reviewed nine-year period introduced the musical activities of the Defence League/Civil Guard against the background of the everyday life of the organisation and the need for brass band music and its continuity in the voluntary state defence institutions of both republics.