Welfare State Changes and Outcomes – The Cases of Portugal and Denmark from a Comparative Perspective

It is well known that welfare states ensure a certain level of social protection affecting levels of well‐being and the extent of inequalities in society. Changes within crucial domains of social policy, such as education, health, or social protection, have, therefore, a major effect upon individuals' opportunities. In this article I compare the effects of these changes in two countries from the mid‐1980s to the financial crisis of 2008. Portugal that was a latecomer in welfare state development and Denmark was at the forefront of de‐commodification and universalization of social rights. The conclusion of this article is that income inequality has been steadily increasing in Danish society; while in Portugal, despite improvements in many social domains (healthcare, poverty alleviation, unemployment protection), problems of inequality remain deeply embedded in the country's social and institutional structures.     

The State and its Welfare State: How do Welfare State Changes Affect the Make‐up of the Nation State?

With respect to changes in the welfare states of OECD countries, scholars most of the time are looking for common trends; that is, they look for similar movements in different states, such as welfare state retrenchment, recalibration, etc. As we show in this article, data on welfare state spending and financing do not, however, support such stark tendencies like retrenchment. We therefore suggest looking for corridor effects rather than level effects, i.e. analysing changes in the dispersion of welfare state regimes rather than shifts in the mean values. Our analysis suggests that convergence, i.e. decreasing diversity among states in spending, financing and regulation patterns, may have been the most important pattern of welfare state change in the last three decades – a pattern easily overlooked in past and current research. Convergence of welfare state regimes also affects our views on the modern nation state itself since the varieties of welfare capitalism in the twentieth century are themselves an expression of the sovereignty and autonomy of the nation state. If nation states are forced to surrender national particularities, to mellow their characteristic differences and to move incrementally towards a one‐size‐fits‐all common model via ‘shrinking corridors’, such a blurring of welfare regimes, such a beclouding of difference, should also be regarded as a significant change taking place in the centre of the Western nation state's make‐up.     

The Politics of Welfare State Retrenchment: A Literature Review

Welfare state retrenchment is widely seen as a highly unpopular endeavour and, therefore, as politically difficult to pursue. This assumption has underpinned most of the political science research on this issue, notably Paul Pierson's seminal contributions about the ‘new politics of the welfare state’. Yet, the question remains why and under what circumstances cutbacks take place in highly developed welfare states despite these formidable political obstacles. This article reviews the literature on the politics of retrenchment, namely on the impact of socio‐economic problem pressure, political parties, political institutions, welfare state structures and ideas. Most authors agree that socio‐economic problems – particularly domestic problems – contribute to an atmosphere of ‘permanent austerity’ which inspires cutbacks. Moreover, according to most scholars, the extent of retrenchment possible depends on the specific institutional configuration of a political system and the path dependence of existing welfare state structures. The debate on the relevance of political parties and ideas, by contrast, is still far from settled. Further unresolved issues include the nature of the dependent variable in retrenchment studies. Also, the exact motives for cutbacks are theoretically still little understood, as are the political mechanisms through which they are realized. I argue that, because of the nature of these persisting issues, the pluralistic dialogue between different methods and approaches – as well as their combination – remains the most promising way forward in the study of welfare state politics.     

The Multicultural Welfare State: International Experience and North American Narratives

Contemporary debates are increasingly pessimistic about the impact of ethnic diversity on support for the welfare state. A growing number of analysts argue that greater ethnic diversity in Western democracies is weakening public support for redistribution, and that this underlying tension is exacerbated by the adoption of robust multiculturalism policies. The purpose of this essay is to summarize early findings from several studies that bear on the questions at the heart of such debates. These studies analyse the implications of immigration and multiculturalism policies for the welfare state across OECD countries, and also focus more closely on the experience of two distinctively multicultural countries, the United States and Canada. The evidence points to more complex relationships than often assumed. OECD countries with large foreign‐born populations have not had more difficulty in sustaining their welfare states than other countries. The extent of change does seem to matter, however, as countries in which immigrant communities grew rapidly between 1970 and the late 1990s did experience lower rates of growth in social spending. But despite the warnings of some critics, robust multiculturalism policies do not systematically exacerbate this tension. Moreover, the United States and Canada reflect different patterns. In the US racial diversity does weaken support for redistribution; but Canadian experience suggests that immigration, multiculturalism policies and redistribution can represent a stable political equilibrium. These contrasting narratives from North America stand as a warning against premature conclusions based on the US experience alone. There is no inevitability at work, and policy choices do seem to matter.     

The Retrenchment of the Welfare State in Latin America: The Case of Argentina

According to the conventional approving account of the transformations which have been taking place in public policy and in markets in Latin America, Argentina constitutes one of the most successful examples of wide-ranging and rapid change. Certainly the experience of Argentina offers an excellent case-study of what in the literature is termed " the retrenchment of the welfare states"; that is those institutional transformations associated with the "neoconservative revolutions" of recent years. In this paper I analyse the characteristics of Argentinian welfare state retrenchment, distinguishing between two fields of analysis: (1) "systemic retrenchment" which is linked to changes in the "referential environment" of social policy institutions, especially changes in the economic, fiscal, labour market and politico-institutional contexts: (2) "programmatic retrenchment" which refers to changes in the institutional ordering of specific social policies. Finally I draw conclusions in respect of the strategies adopted for the retrenchment of the welfare state in Argentina and discuss probable prospects for the future.     

The Welfare State and the Life Course: Examining the Interrelationship between Welfare Arrangements and Inequality Dynamics

The transformation of welfare state arrangements in European countries during the last two decades can not only be described as realizing an activating welfare state, but also as centred on specific life course transitions which are considered as critical. A number of new welfare arrangements have been set up or older ones have been modified taking into account the critical phases of the life course. These new welfare arrangements attribute new rights over resources to well‐specified groups in terms of their life course events. The article first presents a selective overview of new welfare arrangements which are (in explicit or implicit ways) linked to specific phases and transitions of the life course in the different European countries; and, second, it analyzes the consequences of these new welfare arrangements on inequality. These arrangements establish (mostly implicitly) norms, which appear to define a role of an active, responsible and ‘able’ employee and citizen for everybody. However, the general starting positions of various groups of the population (such as women) and the existing welfare provisions constitute an obstacle to providing equal starting positions and an equal opportunity for pursuing one's life course according to the established norms. Therefore, the effects of these new welfare arrangements can have significant impacts on outcomes, and can therefore transform substantially the existing picture of inequalities.     

Trust and Welfare State Reform: The Example of the NHS

This article discusses the impact of New Public Management on public trust in welfare state institutions, using the example of NHS reform. Discussion of trust in public institutions across political science, psychology and sociology indicates that it is based on both rational/objective considerations (competence and capacity to deliver the service) and affectual/subjective factors (shared values, belief that the trustee shares the trustor's interests). The New Public Management foregrounds individual responsibility and incentives for both suppliers and users of services, in the NHS example in quasi‐markets, management by target and patient choice. These accord with an individualized market rational‐actor model rather than with affective considerations. Analysis of attitude survey data on the NHS confirms that rational/objective and affectual/subjective factors contribute to public trust in this field. However, a comparison between perceptions in England, where the internal market has been vigorously pursued, and Scotland, where the purchaser/provider split was discarded after devolution, indicate that the market does not offer a royal road to perceptions of superior quality in the objective factors. Conversely, the more market‐centred system can make progress in relation to the more subjective affectual factors.     

Women and the Family in the British Welfare State: The Thatcher/Major Legacy

This paper reviews the moral agenda of Thatcherism, in terms of maintaining traditional family structures, family roles and family responsibilities for economic support and personal care of family members. It asks to what extent and in what ways this agenda was promoted during the eighteen years of Conservative rule; to what extent contradictory forces within Thatcherism and elsewhere undermined this agenda; and what have been the consequences for women in family and public life. The marketization of life, pursued under Thatcherism, contributed to undermining the family form which has traditionally underpinned the market. Deregulated labour markets and spreading owner-occupation in an unstable housing market have been important contributions to family breakdown, insecurity and women's access to—and need for—jobs. The idea of family responsibility was promulgated, but in practice family members have become less able to support each other.
Nevertheless, one consequence of these changes has been a stronger position for women as women by the end of this Conservative era. Access to paid work makes women less dependent within families and improves their access to public politics. Social policies geared to the Beveridge-type family had become increasingly threadbare and some changes—such as policies enabling lone mothers to do paid work—had been forced by the increasing mismatch between family realities and the Beveridge model. Many changes owed more to the women's movement than to Thatcherism, but Thatcherite policies played a (largely unintentional) part.     

The "Employment-first" Welfare State: Lessons from the New Deal for Young People

New Labour is constructing an “employment‐first” welfare state. It plans through Jobcentre Plus to transform the passive culture of the benefit system by creating more explicit links between individual behaviour and engagement with labour market programmes. The New Deal for Young People (NDYP) has been at the forefront of these changes. This paper reports on the findings from four case studies that explored how the NDYP has changed young people's experience of the welfare state. It establishes that NDYP offers a mixture of employment assistance and “pressure” and has made progress in developing front‐line services and helping young long‐term unemployed people into work. NDYP does not, however, work for all. In areas of high unemployment and for some disadvantaged groups intermediate labour markets could enhance the New Deal and make real the offer of “employment opportunities for all”.     

Explaining Korean Welfare State Development with New Empirical Data and Methods

Selecting Korea as one of the conceptually classified East Asian welfare states, this paper aims to empirically investigate the determinants of Korean welfare state development. Linking the research question with the lively discussion on welfare state in Korea that is taking place domestically, this paper also aims to examine whether the development of the Korean welfare state has been influenced by politics of the left or by industrialization with functionalistic perspectives. We conduct an analysis first by regression analysis and then fuzzy‐set qualitative comparative analysis (fsQCA) to examine the conditions of such development. A Korean Welfare State Dataset (KWSD) has been newly included in the Comparative Welfare State Dataset (CWSD) and we used this new dataset for our empirical analysis. Our empirical findings suggest that, at least up to the current point, factors other than economic development or industrialization are not robust enough to make a claim of a take‐off of the Korean welfare state from its developmental stage. However, we also notice the influence of the left government and suggest that it is legitimate to expect an innovative change in the path of the Korean welfare state once the power resource theory is applicable.     

Class, Attitudes and the Welfare State: Sweden in Comparative Perspective

One of the most important arenas for contemporary class politics is the welfare state. In this article, attitudes towards welfare policies among different classes in Sweden are compared with other Western countries and over time. In the first part of the article, attitudes towards state intervention among different classes are compared across four Western countries: Sweden, Germany, Britain and the USA. The data come from the 1996 survey on “The Role of Government” conducted within the International Social Survey Programme. In the second part of the article, more detailed national data sets are used in order to track developments within Sweden from the early 1980s until 2002. Attitudes towards welfare spending, financing of welfare policies and service delivery are used to track developments of class differences in attitudes over time. It is concluded (a) that class differences are particularly large in Sweden, and (b) that changes over time indicate stability in overall class differences, combined with changes in attitudes among non‐manual employees. The implications of the results for recent arguments about the restructuring of class relations and the impact of welfare policies on stratification are discussed.     

Discourse, Learning and Welfare State Change: The Case of German Labour Market Reforms

In this article we argue that Germany has significantly changed its approach to labour market policies (LMPs) during the past decade; in many instances Britain has served as a model to learn from. In a first step, we identify the core institutional arrangements of the conservative approach to LMP in Germany and contrast them with the liberal approach, using the UK as an example. Secondly, we trace the development and nature of changes in German LMP since the 1990s. We show that the policy has increasingly incorporated elements of, and to a considerable extent shifted towards, a liberal approach. Thirdly, we review competing theoretical approaches that might explain this turn in LMP and conclude that changed interpretative patterns have been crucial to understand the overall shift. Fourthly, utilizing the policy transfer framework, we show that in regards to the specific policy instruments German policy‐makers have learnt from the experiences in the UK.     

Leading Article: Community Care as an Alternative to State Welfare

This paper challenges prevailing notions of community and community care. It exposes some of the confusions associated with current thinking and offers a more realistic interpretation, drawing upon the roots of the idea of community. By this standard, genuine community care is to be regarded as an alternative to state welfare, which it might serve to replace or complement.     

From Enlightened Self‐interest to Welfare Coalitions: Overcoming Identity‐based Tensions in the Israeli Welfare State

A common argument in the social policy literature is that ethnic and identity‐based heterogeneity undermines the welfare state. In part, this happens because of difficulties in the generation of broad social solidarity in diverse societies: solidarity which is allegedly necessary for sustaining public support for the welfare state. This study explores this argument's logic in the context of welfare state politics in Israel. Israel would appear to be a near‐perfect example of how heterogeneity strains social solidarity and, in turn, undermines the welfare state. Quite differently from most studies, however, this work's emphasis is not on public attitudes or voting, but on the political interaction between economically disadvantaged identity‐based minorities – specifically Arabs on the one hand and religious Jews on the other – in the welfare field. It is argued that shared interests enable extensive co‐operation among political elites in the welfare field despite religiously‐ and nationally‐based antagonism.     

Welfare Policies and the Construction of Welfare Relations in a Residual Welfare State: The Case of Hong Kong

Each welfare system has its own welfare relations for shaping and maintaining certain types of welfare practices and welfare ideologies. Welfare relations concern the distribution of welfare responsibilities among various social institutions, the public's welfare expectations and entitlements, and the status of welfare recipients. Welfare policies, which are a legal basis of the dominant class's philosophy as well as a mechanism for policing welfare recipients' use of benefits, play an important role in shaping and constructing the welfare relations of a country. This paper discusses how welfare policies construct the required welfare relations with regard to Hong Kong's social security system. It is argued that the persistence of Hong Kong's residual welfare model is partly based on the residual welfare relations which facilitate family-centred and market-oriented welfare practices.     

The Welfare Modelling Business

The paper starts out by identifying a substantial increase in the use of welfare state typologies within comparative studies. This has developed to a degree where many authors take it for granted that the world consists of a limited number of well-defined welfare regimes. This discussion took off in 1990 and it is expected to continue as an important dimension of welfare and social policy research long into the next millennium. It is shown that the idea of ordering welfare states according to ideal-typical models dates back to the late 1950s and was elaborated substantially during the early 1970s, though rather unnoticed. The publication of Esping-Andersen's The Three Worlds of Welfare Capitalism in 1990 is identified as the starting point for what has now become a whole academic industry, here entitled the Welfare Modelling Business. Different typologies with different degrees of differentiation are discussed: should we consider welfare capitalism to come in two, three, four or more models? Though the differentiation into regimes is widely recognized, there have, of course, been many discussions about problems and shortcomings. Two major issues are elaborated: the one-sided focus on social insurance provisions and the simultaneous neglect of personal social services; and the parallel one-sided focus on state and market and the neglect of civil societal institutions such as family and networks. The paper concludes that welfare typologizing must take into account the kinds of programmes analysed: context matters.     

The Path-dependency of an Idea: Why Scandinavian Welfare States Remain Distinct

Examining reforms that have taken place in the 1990s, this article explores the hypothesis that the most distinctive characteristic of the Scandinavian model today is the “stickiness” of its reputation, rather than the institutions and policies that make up the model. Borrowing the concept of path‐dependency from institutional analysis, the article argues that because there is a strong commitment to the idea of a Scandinavian model, there is a tendency to expand conceptions of the model so that policy changes appear to be consistent with it.     

Slippery Concepts, Shifting Context: (National) States and Welfare in the Veit-Wilson/Atherton Debate

The debate between Veit‐Wilson and Atherton raises key conceptual questions for the analysis of welfare states. Veit‐Wilson, in particular, focuses on the important, but strangely neglected question of when and why a state qualifies as a welfare state. Atherton usefully draws attention to historical debates about the legitimate purposes of state welfare policies and worthy recipients of state benefits, particularly in the Anglo‐Saxon countries. His contribution may draw our attention to the shifting meaning of concepts (such as poverty) over time. In this contribution I seek to broaden the debate. First, without underestimating the importance of such criteria, rather than presenting one single (normatively based) “discriminating criterion” defining welfare statehood, I argue that other conceptions of “the welfare state” may be useful as well—so long as analysts are clear and explicit about how they are using the phrase. Second, in the current conjuncture of the perceived “transformation” perhaps even “destruction” of the welfare state, historical and comparative research grounded on clear and explicit concepts is crucial.     

Combining Work and Family in Two Welfare State Contexts: A Discourse Analytical Perspective

This paper describes and compares the way in which British and Finnish mothers of dual‐career families construct discourses on the work and family interplay. Through this comparison, the paper also considers the presence or visibility of larger welfare state frameworks at the level of the discourse of mothers. The paper argues that, despite the many structural and ideological differences between the British and the Finnish welfare states, mothers living in them often construct their daily lives by using similar discursive frameworks. These discourses are, however, contextualized and interpreted differently. This level of contextualization and interpretation of the discourses is argued to be the stage where the structures and gender constructs of welfare states step in.     

Partisan Effects on Welfare State Retrenchment: Empirical Evidence from a Measurement of Government Intentions

The effect of partisanship is disputed in the literature on welfare state retrenchment. The ‘new politics’ school argues that partisan conflicts are irrelevant to the understanding of retrenchment, but the second generation of retrenchment research concludes that such conflicts are still important. We engage in this debate by introducing a new empirical approach. Our method provides a necessary but currently missing link in the second generation of retrenchment studies which theorize on the input side of welfare state reform but conduct empirical studies on the output side. Our empirical approach entails a new type of data, compiled on the basis of content analysis of adopted laws, and we analyze the intentions pursued by incumbent governments in social policy‐making. Based on an empirical study, we find partisan effects in programmes protecting against social risks that are disproportionally distributed among social strata.