Question after question was posed at the OECD conference "Embracing Globalisation in the 21st Century: a Dialogue about the Nordic Approach". Although questions may have outweighed answers by the end, several of the participants did present proposals for how the Nordic model – albeit reformed versions of it – could be used to face up to the challenges of globalisation.

"The Nordic countries don't have a single model. They have a number of approaches in common," said OECD Secretary-General Angel Gurría, who went on to cite as examples labour markets with relatively thin safety nets for employees and relatively secure safety nets for the unemployed; major tax-financed investments in education, research and development; an openness to free trade, competition and high taxes.

"One reason for the success of the model is the 'bureaucracy light' approach, along with the relatively small size of the countries and their openness," said Gunnar Haraldsson of the University of Iceland.

Most speakers agreed that the Nordic model exists in some form or other but that the demands of an ever more globalised world are putting it under a strain. Globalisation and demographic challenges, e.g. an ageing population and fewer people in work, were identified as the most important challenges on which Nordic politicians need to focus. Trade, immigration and the high level of service to which people are used were also discussed at the conference.

The conference was organised against the background of the debate generated by the book ”The Nordic Model: Embracing Globalisation and sharing risks” by six Nordic professors. At the conference, the authors tried to put paid to some of the myths that they think flourish in their countries about solutions to the challenges of globalisation. For example, they think that the financial dilemma faced by the welfare state cannot be solved by increased growth, higher taxes, higher birth rates or increased immigration.

They envisage a way forward that includes reform of the labour market to make it more flexible, with people starting work earlier, working longer and being less dependent on social security.

The book by the six professors of economics was discussed in detail and several speakers commented on it.

"We have been poor at dealing with immigrants with a low standard of education in our countries – especially Denmark and Sweden which are also the two Nordic countries with the largest immigrant populations," said Jørgen Elmeskov, chief legal officer at the OECD, who also thought that the conference should discuss Ireland as a good example and not just the Nordic model.

Susanne Ackum from Sweden wondered how people will react as their economic situations improve but they are still told that they will have to work more.

The Nordic Council of Ministers' representative, Karsten Ankjær Jensen, underlined how much work the formal Nordic bodies have put in over the last three years. The Prime Ministers have taken the lead and the first globalisation forum, "A Competitive Nordic Region in a Globalised World" was held in April this year.