Sweden’s economy is suffering
The Swedish approach to the Corona crisis cannot prevent the economy from slumping. However, the setback is less severe than in Germany.
Despite the comparatively relaxed Corona measures in Sweden, the economic performance of the Scandinavian country plummeted in the second quarter as it had not in decades. The EU country’s gross domestic product (GDP) shrank in the second quarter of 2020 by 8.6 percent compared to the previous quarter, as the Swedish statistics authority said in a preliminary estimate. The decline is below the 10.1 percent by which the German economy shrank according to an initial estimate. Other EU member states such as Spain and Italy had to cope with even larger slumps.
Sweden had gone a special way in the Corona crisis
The main reasons for the sharp decline were the Swedish statisticians; declining exports and also lower household consumption in the Corona quarter. It is the largest economic slump in a single quarter for at least 40 years – since 1980 the corresponding statistics in Sweden can be compared. Compared to the same quarter of the previous year, the decrease was 8.2 percent. In the first quarter of 2020, the decline in GDP compared to the previous quarter was only 0.3 percent.
Sweden had gone a special way in the Corona crisis and had not restricted public life as much as Germany or the rest of Scandinavia. Shops remained as open as restaurants; bars and schools. However; measures against the spread of the corona virus have also been introduced in Sweden; such as a ban on meetings with more than 50 participants and a ban on visiting nursing homes.
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