Sweden Finland Austria

CHAPTER 4
CHAPTER 4
Special studies with 1997 up-date, Finland
Approach for Sweden
A 'time series' of APW-calculations has been established for Sweden, based upon 'correct'
data and covering the period since the start of 'Elements' in 1991, cf. chapter 3. The
purposes were two. One was to assess the stability of the calculations when the projected
APW income levels used in 'Elements' were more or less off the mark. Another purpose
was to follow the impact of the changes in the Swedish tax/benefit system in that period as
accurately as possible. Other errors than projection errors were also corrected for in this
process. These errors were, however, not very significant.
Parallel approach for Finland
A similar attempt has been made for Finland, which was included in 'Elements' from 1994.
The reasons for the 'time series' construction for Finland are the same as for Sweden, but
the 'other errors' for Finland were more serious than for Sweden. A separate purpose is
therefore also to get more correct basic calculations for Finland than was obtained in the
first place. This is in particular important, when the development is followed over time.
4.1.
APW-calculations based upon projected and 'correct' data
The APW-calculations for the single fully employed person based upon 'Elements' and
'correct' data are contained in table 4.1, and the impact calculations in table 4.2.
Table 4.1.
Finland, single APW.
FIM
Used in:
1994
1995
1996
’Elements’
Gross wage
119,788
126,782
137,600
Tax and soc. contribution
44,171
47,364
51,823
Disp. income
75,617
79,418
85,777
’Correct’ data
Gross wage
121,916
132,533
137,046
Tax and soc. contribution.
45,338
50,419
51,495
Disp. income
76,578
82,114
85,551
Source: 1995 edition of 
The Tax/Benefit Position of Production Workers' and 1996 and 1997 editions of 
The
Tax/Benefit Position of Employees', OECD.

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96
Table 4.2.
Finland. Relative change in disposable income, per cent.
1994
1995
1996
Elements
’Correct’
Elements
’Correct’
Elements
’Correct’
data
data
data
Ill, 1 week
-1.4
-1.4
-1.4
-1.5
-1.5
-1.5
Unemployed 3 months, 
insured
-8.1
- 8.3
- 8.6
- 8.8
-9.3
-9.2
Unemployed 12 months,
insured
- 34.7
- 36.0
- 36.2
- 36.3
- 37.9
- 37.4
Unemployed 3 months, 
non-insured
-14.3
-14.3
-14.5
-14.6
-14.9
-14.9
Unemployed 12 months, 
non-insured
- 68.1
- 68.5
- 68.8
- 69.8
-71.0
-70.9
Wife unemployed
12 months, insured
-9.1
- 9.7
- 9.9
-10.2
-10.6
-10.5
Injuries work, 
100 % loss
- 8.2
-8.2
- 7.3
-7.4
-7.6
-7.6
Injuries work, 
33 1/3 % loss
- 9.6
-2.3
- 9.4
- 2.2
-2.3
- 2.3
Pensioner, 
full working history
- 33.4
- 31.2
- 33.2
- 30.4
- 33.1
- 33.1
Pensioner, 
no working history
- 62.3
- 62.8
- 63.5
- 64.7
- 66.1
- 66.0
Pensioner couple, 
full working history
- 27.9
- 26.5
- 30.6
- 26.8
- 28.9
- 28.9
Family 
1 child
+ 5.7
+ 5.6
+ 5.4
+ 5.2
+ 4.7
+ 4.7
2 children
+ 12.9
+ 12.8
+12.3
+ 11.9
+10.5
+ 10.5
3 children
+ 22.1
+ 21.8
+ 21.0
+ 20.3
+ 17.4
+17.4
Maternity 
Max. period
- 5.5
- 6.1
- 6.2
- 6.2
- 7.4
- 7.4
Common period
- 1.6
- 1.8
- 1.7
- 1.6
- 1.9
- 1.9
To be continued...

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