In the 1980s a flood of immigrants from Asia, Africa, and Latin America sought the Swedish utopia but further taxed expensive social programs. Mounting economic problems led to cutbacks in 1991, when Sweden reassessed its social policies and elected a conservative government. The Social Democrats returned to power in 1994 with a commitment to stringent economic controls. By 1998 they were operating from a weakened power base-the lowest vote share in 78 years. Sweden joined the EU in 1995.
Inflation is low and unemployment is down.
Radioactive fallout from Chornobyl underscored Sweden's resolve to dismantle its nuclear power plants, a process which was begun in 1997. This is the country side in Sweden. Aided by peace and neutrality for the whole twentieth century, Sweden has achieved an enviable standard of living under a mixed system of high-tech capitalism and extensive welfare benefits. It has a modern distribution system, excellent internal and external communications, and a skilled labor force. Timber, hydropower, and iron ore constitute the resource base of an economy heavily oriented toward foreign trade.