The Finnish economy exhibits greater fluctuations than many other countries, which can be attributed, in part, to its relatively small size. However, this does not fully explain why Finland’s economy is more volatile than those of most other small countries. Firms have the capacity to influence their crisis resilience through actions, such as maintaining solvency and a strong capacity to pay interest. Additionally, engaging in innovation activities is closely linked to a firm’s ability to maintain operations during challenging times.
