Fighting risks with risks : Self-employment and social protection in the Nordic welfare states

Self-employment is often presented as a solution to the important issue of inclusion into the labour market for groups that find difficulties in being employed by others. Indeed, recent years have seen repeated calls by Nordic policy-makers for self-employment and entrepreneurship. However, promoting this form of employment is a delicate matter in the Nordic countries. In these countries, welfare systems have been based on the principle of lost wage income, while self-employed persons in need of protection have not been covered. This chapter explores how Nordic policy-makers through policy adaptations have tried to encourage people to enter into the risky position as self-employed. The chapter contextualizes these policy initiatives by discussing how promoting self-employment may also be regarded as a strategy for adapting labour markets to the need for flexibility imposed by the post-industrial economy.