The Heterogeneity Link of the Welfare State and Redistribution by Udaya R. Waglé

Author:Udaya R. Waglé
Language: eng
Format: epub
Publisher: Springer International Publishing, Cham

Empirical Model of Welfare State Development and Change

The actual relationships are, in fact, much more complicated. A number of political and economic factors influence the way welfare state policies develop and change, with changing economic and political climates facilitating further welfare state changes. The experience and sociopolitical attitudes of people count as difficulties in the labor market, increasing longevity, and expanding elderly population pressure for wider social protection coverage. No doubt, some of the contextual variability as suggested by the power resource theory can be captured by such measurable political characteristics as trade union density, wage setting coordination, and parliamentary seats held by left parties. But some of this is also embedded in the historical settings of institutions in which societies exhibit specific sociopolitical attitudes and preferences. Following the path-dependent character of the welfare state, societies also embark on an idiosyncratic path of welfare state developments, in which existing policy provisions and practices lead to future changes, making major alterations highly unlikely. The individual country identities are also important to capture these within society idiosyncrasies as is the time factor dealing with broader temporal changes.

Any systematic analysis of the role of ethnic heterogeneity needs to pay careful attention to the fact that a comprehensive framework of policy development and change necessitates incorporation of historical, institutional, and political and economic contexts that vary both across countries and over time. The following panel data model of welfare state policies, W, attempts to mimic these realities by capturing all relevant central forces:

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