“Crowding in” or “crowding out”? An examination of the impact of the welfare state on generalized social trust

Generalized social trust is correlated with increased levels of civic engagement, lower crime rates, and greater economic growth. Many scholars believe that equality provides the conditions in which social trust can flourish. Thus, welfare programs might be one way to generate social trust. However, the relationship between social spending and trust is contested: Some argue it is negative, while others argue it is positive. This study examined the effects of total social welfare expenditures on social trust in 18 OECD countries, holding constant individual characteristics, country characteristics, and country and year effects. Fixed effects analyses indicate that every additional percent of gross domestic product spent on social expenditures 5 years prior is associated with a 4.7 percent increased likelihood that respondents of that country will endorse trusting other people. Further testing for reverse causality found no significant association between trust and later social expenditures, supporting the claim that expenditures drive trust instead of the reverse.     

Redefining “Old Age” and “Dependency” in East Asia: Is “Prospective Aging” A More Helpful Concept?

East Asian societies are currently some of the most rapidly aging in the world. Projections of the traditional old‐age dependency ratios (OADR) present a daunting future of the size of the aged population both in absolute terms and, in the context of low fertility, relative to the future workforce. Recently scholars, especially Sanderson and Scherbov, have argued that OADR is inadequate as a guide to future levels of dependency based, as it is, on past scenarios of “old age” and “dependency” rather than current and future notions. Indeed, in the context of rapidly aging settings in East Asia with developmental welfare states, the OADR has probably never been truly relevant, is profoundly unhelpful and could lead to policy paralysis. As such, Sanderson and Scherbov suggested a new method to measure aging prospectively to take into account both improved life expectancy and health across the life‐course. We introduce these new measurements as a possible new, more radical and optimistic way to think about aging in East Asia. These measurements more accurately demonstrate the “boundaries” to “dependency” and, hence, demonstrate the potential room for social policy interventions to maximize “active aging” for the population currently, perhaps incorrectly, defined as “old” and “dependent”.     

Ageing in “Poor Household” or Ageing into Poverty? Tackling the Policy Dilemma of Redistribution

The policy issue of how to target poor households rather than provide universal coverage takes the primary place in the question of redistribution where resources are limited. The Government of India's social protection programs, particularly the old age pension for the informal sector of the economy, has taken a targeting approach. In this article we show that there is a case for universal coverage since ageing households experience greater exclusion from market-based protection as well as from informal (household-based) protection. We make the argument for universal coverage on two grounds: first, a targeted approach has resulted in leakage, indicating that non-poor elderly individuals in the unorganized sector also require some sort of support. Though they are valid, we do not resort to traditional arguments against targeting, such as that it creates institutional lock-in mechanisms and stigmatizes the recipients. Second, the loss of income on age-related matters (e.g. hospitalization) or the ability of elderly individuals to gain credit is not particularly class-specific, although the targeting policy implies it is. The article is based on the secondary data source of the National Sample Survey, primary data sources, particularly those conducted by the authors in Kerala and Maharashtra and specifically designed for the ageing population, and ethnographic observations from fieldwork.     

“Risk Society”: The Cult of Theory and the Millennium?

The relation between theory and empirical data in sociology and social policy is explored through a critique of Ulrich Beck's influential book, Risk Society . Consideration is given to the extent to which a book that purports to describe contemporary societies in general is actually rooted in the unique circumstances of postwar Germany. The various arguments of Risk Society are reviewed and tested against relevant empirical reports from England. Many of the historical and contemporary generalizations made by Beck are shown to be questionable. The conclusion reflects on the popularity of the genre in which Beck is working and questions the consistent glumness of its attitude to contemporary societies—whether those of the 1890s or the 1990s. The new millennium might be a time for a new spirit and the rejection of the nostalgia and conservatism of humanities-oriented scholarship.