Finns Warned World's Best-Funded Welfare State Collapsing Under Virus-Triggered Mass Unemployment

[wvwvw]

Finns Warned World's Best-Funded Welfare State Collapsing Under Virus-Triggered Mass Unemployment
Sat, 04/04/2020

On March 30, Finland said it would extend its countrywide shutdown until May 13 from April 13. It appears strict social distancing and quarantines are working, but it comes at a massive economic cost. Now we're beginning to learn that the country's welfare system is cracking and cannot handle the influx of unemployed.

Finland has recorded 1,615 confirmed COVID-19 cases and 19 deaths, by far, some of the lowest numbers when compared to the rest of Europe.

There are signs that restrictions on civilian movement are working, Mika Salminen, the director of health security at the Finnish Institute for Health and Welfare (THL), told reporters at a government press conference on April 1.

The opportunity cost of flattening the pandemic curve has come at a tremendous economic cost, resulting in a downturn and high unemployment. Bloomberg notes that Finland has the best welfare system in the world, which is now starting to crack as the surge in unemployment applications is overwhelming the system.

And just like that, in a matter of weeks, 300,000 Finns lost their jobs because of quarantines. The tradeoff is preserving the nation in the long run while dealing with short term economic pain.

Managing Director Sanna Alamaki said on April 1 that funding the welfare system isn't the current issue: It's "that the benefit applications can't be processed and, consequently, money can't be paid out quickly enough."

Even if General Unemployment Fund YTK were to triple staff to increase application output, there still would be a three-month wait for out-of-work Finns to receive their benefits. YTK expects that 100,000 more applications could "flood" in this month (April) due in part to the extended shutdowns.

The problem developing, like in many other countries, is that Finland is becoming overwhelmed by the virus. Though each country is different, it's Finland's generous welfare system, one of the best-funded in the world, cannot process applications in time that could lead to prolonged suffering by households that have seen incomes dry up in the last month.

Finns who cannot receive benefits in time will lose faith in the government, and that could be the moment when social unrest follows.

https://www.zerohedge.com/markets/fi...triggered-mass

[Oneeye]

I thought Finns were already socially isolated

[Finnish Swede]

Finns Warned World's Best-Funded Welfare State Collapsing Under Virus-Triggered Mass Unemployment
Sat, 04/04/2020

On March 30, Finland said it would extend its countrywide shutdown until May 13 from April 13. It appears strict social distancing and quarantines are working, but it comes at a massive economic cost. Now we're beginning to learn that the country's welfare system is cracking and cannot handle the influx of unemployed.

Finland has recorded 1,615 confirmed COVID-19 cases and 19 deaths, by far, some of the lowest numbers when compared to the rest of Europe.

Finland like all countries will pay high price for this corona. Nothing special/unexpected here

Finland's system knows term ''suspended without paid'' for some periods. All of those people are not fired directly. Goverment also changed the laws (because of corona) ... so people who faces that will get compesations from nation quicker than in normal time. Goverments target is to safe as much healthy firms, business and companies as possible ... over this epidemic. To safe people jobs. Of course what longer epidemic will take, the much harder that will become. Finland is taking loan (money) to handle that now. So no matter what ... people are paying (via their taxes) years for this now...

Right now in Sweden 6500 cases and 373 deaths and in Finland 1900 cases and 25 deaths. Time will tell which was better policy. Still how to measure price of life?

[Finnish Swede]

Finland like all countries will pay high price for this corona. Nothing special/unexpected here

Finland's system knows term ''suspended without paid'' for some periods. All of those people are not fired directly. Goverment also changed the laws (because of corona) ... so people who faces that will get compesations from nation quicker than in normal time. Goverments target is to safe as much healthy firms, business and companies as possible ... over this epidemic. To safe people jobs. Of course what longer epidemic will take, the much harder that will become. Finland is taking loan (money) to handle that now. So no matter what ... people are paying (via their taxes) years for this now...

Right now in Sweden 6500 cases and 373 deaths and in Finland 1900 cases and 25 deaths. Time will tell which was better policy. Still how to measure price of life?

Two photos below tells a lot. Two neighboring countries have achieved opposite policies. Sweden very soft one (limitations to everyday life have been very light). Finland opposite has followed very tight line (even in Europe level). Hits to society (economical) are harder in Finland as many places are ''closed''.


Confirmed cases
(logaritmic scale)
(log scale .... countries will not have same amount of case).

Sweden = Black line
Finland = Red line








Deaths
(linear scale)

Sweden = Black line
Finland = Red line




Finland:
Average age of death people is 84 years old. The oldest one have been 101years old and youngest one 56years old.

[Finnish Swede]

Needs to add this:

https://www.nytimes.com/2020/04/05/w...and-masks.html