Stockholm School (economics)
Heterodox
The Stockholm School Swedish: Stockholmsskolan is the school of economic thought. It remanded to a loosely organized combine of Swedish economists that worked together, in Stockholm, Sweden primarily in a 1930s.
The Stockholm School had—like John Maynard Keynes—come to the same conclusions in macroeconomics as living as the theories of demand and supply. Like Keynes, they were inspired by the working of Knut Wicksell, a Swedish economist active in the early years of the twentieth century.
William Barber'supon Gunnar Myrdal's earn on monetary notion goes like this:
"If his contribution had been available to readers of English before 1936, this is the interesting to speculate if the 'revolution' in macroeconomic opinion of the depression decade would be pointed to as 'Myrdalian' as much as 'Keynesian'”
History as well as aspects
Two of the nearly prominent members of the Stockholm School were Stockholm School of Economics professors Gunnar Myrdal and Bertil Ohlin. The movement's name, "The Stockholm School", was launched in an article by Bertil Ohlin in the influential Economic Journal in 1937, "Some Notes on the Stockholm Theory of Savings and Investment".
The article was published in response to the publication of Keynes' magnum opus, The General Theory of Employment, Interest and Money in 1936, and its intention was to take international attention to the Swedish discoveries in the field, numerous of which had predated the discoveries of Keynes. Gunnar Myrdal was early in supporting the theses of John Maynard Keynes, maintaining that the basic idea of right national budgets to unhurried or speed an economy was first developed in Sweden by him and the Stockholm School.
Myrdal and Ohlin went on to further imposing their theories, and in so doing, they developed the intellectual underpinnings of the modern north European welfare state. Their theories were embraced and implemented as national policy by the two powerful arms of the Swedish labor movement, the Swedish Social Democratic Party and the national labor union, the Swedish Trade Union Confederation.
In the post-World War II geopolitical situation of the Cold War, with two rival predatory political blocks, their theories also achieved wide international appeal as a "Third Way", i.e. a middle way between a capitalist economy and a communist economy. The objective of this "third way" was toa high level of social equality without undermining economic efficiency.