The global financial crisis and its socio-economic effects in Macedonia - the social-democratic response to the crisis

Abstract

The paper analyses the economic and social effects of the current crisis. The text first describes the reasons behind the global crisis and its consequences and then focuses on the effects in the Republic of Macedonia. It analyses the capability of the Macedonian socio‐economic system and its institutions to cope with the crisis. By giving a comparative overview of the crisis that the Scandinavian countries experienced in the 90ties and their recovery through the use of social-democratic policies, the paper tries to offer policy options for the Macedonian case. The authors conclude by giving recommendations for future policy actions.