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The Causes of Welfare State Expansion

Deindustrialization or Globalization

Bibliographic Data

ID6410731
AuthorsTrine Iversen (0000-0002-6652-5147), Torben Iversen, Thomas R Cusack (Harvard University Press)
Year2000
Volume52
Issue3
Pages313-349
Publication date2000-04-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueWorld Politics (JOURNAL)
Journal identifiersISSN: 0043-8871 • E-ISSN: 1086-3338
PublisherProject MUSE (PUBLISHER • US)
DOI10.1017/s0043887100016567
OpenAlexW2118869813
LanguageEN
Citations received348
References cited53

An influential line of argument holds that globalization causes economic uncertainty and spurs popular demands for compensatory welfare state spending. This article argues that the relationship between globalization and welfare state expansion is spurious and that the engine of welfare state expansion since the 1960s has been deindustrialization. Based on cross-sectional-time-series data for fifteen OECD countries, the authors show that there is no relationship between globalization and the level of labor-market risks (in terms of employment and wages), whereas the uncertainty and dislocations caused by deindustrialization have spurred electoral demands for welfare state compensation and risk sharing. Yet, while differential rates of deindustri-alization explain differences in the overall size of the welfare state, its particular character—in terms of the share of direct government provision and the equality of transfer payments—is shaped by government partisanship. The argument has implications for the study and the future of the welfare state that are very different from those suggested in the globalization literature

Argument (complex analysis · Deindustrialization · Development economics · Economic system · Economics · Economy · Globalization · Government (linguistics · Labour economics · Market economy · Political science · State (computer science · Transfer payment · Welfare · Welfare state · Housing, Finance, and Neoliberalism · Political and Economic history of UK and US · Social Policy and Reform Studies

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Unique citing works348
Citations per year13,92
Citation span2001 - 2026 (26)
Citation velocitycurrent
Highly citedYes
Citation typesNeutral: 347

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