Civil servants in Finland are too smart, claims Bengt Holmström, a professor of economics at the prestigious Massachusetts Institute of Technology (MIT).
Holmström estimates that human capital is inconveniently distributed in Finland because smart people pursue what is considered an easy career in the public sector. “You don't bump into dumb officials here – maybe into lazy and unmotivated ones, but not into dumb ones,” Holmström said on Monday.
The development of the national economy will yet again be under scrutiny on Tuesday as the Government convenes for its final framework session to confirm the spending limits for the upcoming electoral term.
With the electoral term inching closer to its end, however, the framework budget will include no political decisions on public revenue and expenditure.
The Swedish People's Party has been in the Government for 36 consecutive years, roughly as long as its incumbent chairperson Carl Haglund has been alive. Haglund will celebrate his 36th birthday at the end of this month.
Yet, he insists that joining the Government is not an objective in itself for the party.
- Category: Business
- Created on 19 March 2015
The upcoming animated feature film Angry Birds is an enormous investment for the game and entertainment studio Rovio.
The budget for the film has been estimated at 80 million United States dollars, equivalent to over 75 million euros. In addition, Rovio and its partner, Sony Entertainment, will splash roughly 100 million euros in the marketing and distribution of the film.
The Left Alliance is regularly accused of a lack of understanding of economic realities. The 38-year-old chairperson of the opposition party, Paavo Arhinmäki, is determined to dispel such accusations.
“We know today that 80 per cent of the corporate tax cut has poured out in bigger dividends and only 20 per cent in investments. Unfortunately, we were right,” says Arhinmäki, who has held the reins of the Left Alliance for nearly six years.
- Category: Business
- Created on 18 March 2015
Anttila must be pulled into the 21st century and regain its relevance in the lives of modern-day Finns, envisions Markus Roschel, who as the new managing director of Anttila will seek to restore the profitability of the heavily loss-making department store chain.
Kesko on Monday sold its Anttila and Kodin1 department stores to 4K Invest for one million euros.
Pupils in class 6A of Veromäki School in Vantaa have gathered into the classroom for what appears to be an unorthodox lesson: Ann-Sofie Gussander is writing her learning diary on a tablet, Hasen Banimuslim is learning biology on a desktop computer, while Ada Niinikoski is solving maths problems on a piece of paper.
Altogether, there are 18 pupils and 23 devices in the classroom.
“Finland's national economy is in a very difficult situation. The economy has contracted for quite some time, and no immediate return to better economic development is expected,” the permanent secretaries of various ministries estimate in a memorandum published on Monday.
In the memorandum, the senior government officials examine the economic prospects of Finland and outline foreign and security policy-making to provide a basis for the next government programme.
- Category: Business
- Created on 16 March 2015
Tieto has announced its decision to shed a total of 435 positions in Finland. The provider of information technology services estimated at the launch of the consultative negotiations in January that it would have to reduce up to 500 positions.
The personnel cuts will be carried out primarily between July and September, according to Tieto.
The majority of Finns are prepared to step up defence spending in the next Parliament.
More than one in four, or 27 per cent, of respondents to a survey by Helsingin Sanomat reported that they fully agree and nearly one in three, or 32 per cent, that they partly agree on stepping up defence spending over the next four years.
Juha Sipilä, the chairperson of the Centre Party, estimates that the disorder witnessed at the Parliament over the past few days “portrays a bad image of the political decision-making system”.
The last sessions of the Parliament ended practically in chaos on Friday and Saturday as parties exacted revenge on one another by voting down bill after bill. “One of the underlying reasons is the lack of trust between the main ruling parties,” Sipilä analysed in an interview with YLE on Saturday morning.
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