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Governance and degrowth: Lessons from the 2008 financial crisis in Latvia and Iceland
IVL.
Swedish National Road and Transport Research Institute, Society, environment and transport, Mobility, actors and planning processes.ORCID iD: 0000-0002-3613-7039
IVL.
Université libre de Bruxelles.
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2019 (English)In: Sustainability, ISSN 2071-1050, E-ISSN 2071-1050, Vol. 11, no 6, article id 1734Article in journal (Refereed) Published
Abstract [en]

This paper investigates the role of governance dimensions in socio-economic transitions in line with degrowth, i.e., an equitable downscaling of the economy. Our focus is on experiences from the 2008 economic crisis in Latvia and Iceland. Although these cases are not in themselves examples of degrowth, we see them as important sources of empirical learning from major socio-economical transitions; furthermore, we see crises as possible starting points for future degrowth transitions. This paper applies a governance framework to explore the vast differences in management strategies and crisis outcomes in Latvia and Iceland. In Iceland, public resistance led to a shift in policy measures such that economic inequality and the negative social consequences of the crisis decreased. In Latvia, public resistance existed but had no strong influence. The outcome in Latvia included none of the elements of equitable downscaling found in the case of Iceland. These two cases show how differences in formal institutional arrangements, political culture and societal trust affect different governance dimensions during a time of crisis. The analysis illustrates the importance of institutional and governance dimensions in major socio-economical transitions, and demonstrates how they influence the kind of transition that can be realized.

Place, publisher, year, edition, pages
MDPI AG , 2019. Vol. 11, no 6, article id 1734
Keywords [en]
Management, Sustainability, Economics, Policy, Government (national), Change
National Category
Public Administration Studies
Research subject
10 Road: Transport, society, policy and planning, 15 Road: Environment; 00 Road: General works, surveys, comprehensive works, 01 Road: Organization and administration
Identifiers
URN: urn:nbn:se:vti:diva-13732DOI: 10.3390/su11061734ISI: 000464350400002Scopus ID: 2-s2.0-85063490461OAI: oai:DiVA.org:vti-13732DiVA, id: diva2:1314732
Available from: 2019-05-09 Created: 2019-05-09 Last updated: 2019-08-09Bibliographically approved

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Isaksson, Karolina

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