Educational marketization the Swedish way

Sweden has commonly been regarded as a striking example of a social democratic welfare-state regime (Esping-Andersen Citation1996), characterized by strong state governance and active involvement in welfare matters. In the last two decades, however, the Swedish public sector and education system have been radically and extensively transformed in a neo-liberal direction, a move that was preceded by extensive decentralization of decision-making from the state to municipalities and schools. In this article the scope, character and some of the consequences of internal and external marketization of Swedish education in the early 2000s are summarized, and the impact of competition on the internal workings of upper secondary schools is highlighted in particular. We conclude that the external marketization of education has proceeded a long way and Sweden also fully embraces new public management, i.e. ‘inner marketization’, of education in most respects. However, aspects of the older social democratic policy paradigm are still visible with regard to the assigned functions, values and governance of education.