This paper looks at the competing theses of polarising convergence and policy-related divergence in the study of socioeconomic segregation. Using data from Oslo, Norway, it is shown that the level of segregation has remained fairly stable, or has even declined, in spite of increasing income inequality. This spatial stabilisation is causally related to a more flexible design in city planning and policy. It is, however, not a development in accordance with the welfare state approach proposed by Chris Hamnett and some other scholars. Rather, we observe a 'perverse' effect where social democracy has been helped by opposition policies. In consequence, the paper suggests the use of models of action and the identification of 'closed' and 'open' processes of change.
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