Neoliberalism and the Welfare State

Peck quotation on the reason for globalisation of neoliberal strategies

'The unprecedented economic boom in the United States has conferred a degree of legitimacy on neoliberal strategies which Bluestone and Harrison (2000), among others, insist they do not deserve' (2001)

Ferragina and Seeleib-Kaiser's on methodological flaws evident in Esping-Anderson's typology

1. A more dynamic approach would enable an appreciation of how welfare states evolve over time. 2. Need to utilise both micro- and macro-level data in order to comprehend nuances within and between regime types (2001)

Three examples of nation-specific trends in OECD social spending levels

1. Big increase in spending under Bush - lots of state subsidy programs and expansion of the federal welfare state - arguably to guarantee Bush a second term to avoid him following in the footsteps of his failed, one term president father. 2. Levels of spending fluctuate in Ireland due to macro-economic policy of boom and bust. 3. Large percentage increase in Portugal's spending levels since 1980, but starting from a very low base point. (2013)

Schrecker and Bambra on the reasons for the health supremacy of social democratic states (4 aspects)

1. De-commodification 2. Increased gender equality 3. Better public health regulation 4. Higher levels of social cohesion and integration (2015)

3 works criticising Esping-Anderson's missclassification of nations

1. Goodman and Peng, 1996 2. Castles, 1993 3. Ferrera, 1993

Examples of sugar taxes elsewhere (5)

1. Mexico's 10% tax on sugary drinks from 2014 2. Hungary saw 40% reduction in amount of sugar 3. France 4. Finland 5. Norway's recent 83% hike in long-standing 'chocolate and sugar products' tax

Jamie Oliver's response to accusations of nanny-statism (2 points linked to voluntarism and individual freedom)

1. More paternalistic intervention is necessary because voluntary schemes and leaving people to make own choices are not working 2. Need to recognise differential capabilities to make good choices (Health Committee Session, October 2015)

Jenson's summary of social investment orientation in 'Diffusing Ideas for After Neoliberalism' (3 aspects)

1. Oriented towards medium and long-term future (child-focused interventions) 2. Giving policy both economic and social objectives beyond social protection 3. Investment in human capital serves common good (2010)

John Peters - two main indicators of neoliberal covergence in North America and Western Europe

1. Private sector now provides over 40% of public goods due to privatisation and contracting out. 2. Significant public sector reform - market competition, cuts and supply-side economics. (2012)

Taylor-Gooby, Gumy and Otto on main aims of New Welfare (give 4)

1. Reducing poverty 2. Activation - more people in paid work 3. Improving human capital 4. Fairer access to opportunities 2015

Jenson's conceptualisation of stages of western welfare regimes in 'Diffusing ideas for after neoliberalism'

1. Social protectionism of post-war welfare settlements 2. Safety-net only stance of neoliberalism which attacked role of the state as illegitimate 3. Social investment perspective and developmental welfare states (2010)

Peck on precarity of success of neoliberal strategies (3 aspects)

1. Systemic financial instability 2. Entrenched inequality 3. Underinvestment in social, economic and physical infrastructures (2001)

4 strategies identified by Taylor-Gooby in 'The Divisive Welfare State' to advance long-term neoliberal project

1. Tax reforms increasing gap between rich and poor. 2. Brexit to allow for quicker progression 3. Focussing cuts on unpopular groups such as immigrants and short-term benefits claimants 4. Insulating pensioners from major cuts to retain their vital electoral support (2016)

John Peters on evidence for global neoliberalisation of public service provision in the 1990s (4 points)

1. Thatcher sold off British Rail, Airways, Gas, Steel, Electricity, Coal and Rail operations 2. Austria sold off banks, oil and gas, rail and electricity operations 3. Telecommunications and rail operations were privatised in Finland, Denmark and Sweden 4. Marketisation of service provision through P3s in all OECD countries since 2000 - 1100 projects worldwide in 2006 (2012)

Millar, The Social Policy Association on means-testing/neoliberal influence

1960s: minimal Now: mainstream Future: heavily means-tested/neoliberal, e.g. Universal Credit

Crouch, The Strange Non-Death of Neoliberalism summary

2008 financial crisis widely regarded as failure of neoliberal economics, which many expected would usher in a new era of government. However, neoliberal continues to predominate and maintains almost all of its influence. (2011)

John Peters on evidence for global neoliberal public sector reform over past two decades

8 out of 13 countries analysed saw reductions in public service employment (2012)

Pacek and Radcliffe, 'Assessing the Welfare State: The Politics of Happiness'

Analysis of data from the Eurobarometer and the World Values Survey reveals that at present, levels of subjective wellbeing vary throughout the EU due to diversity of welfare regimes in operation and the positive association between their respective generosity (decommodification, Left- dominance of government and social wage) and satisfaction with life. This is not a hopeful conclusion, given rise of neoliberalism and retreat of welfare state currently being seen everywhere. (2008)

Why does Jenson suggest that social investment statism has replaced neoliberalism in 'Diffusing ideas for after neoliberalism'?

By mid-1990s, neoliberalism had begun to reach its economic, social and political limits (2010)

Bush, The New Statesman

Consensus Tory support for neoliberal austerity agenda is shrinking (2018)

Kenworthy and Pontusson summary

Data from the Luxembourg Income Study shows that in spite of widespreas rhetoric about the decline of welfare states, cross-national diversity in the generosity of states remained prevalent in the 1980s and 90s and is likely to persist, because countries respond differently to rising market inequality. (2005)

Schrecker and Bambra on one of main reasons for huge variation in health of populations around the world

Different nations have different welfare state regimes, which results in variation in the social determinants of health (2015)

Jamie Oliver on anti-business nature of sugar tax in Health Committee Session

Doesn't have to be anti-business, but even if it is there is a civic duty to impose it

Tims on example of neoliberal convergence in EU

Evolution of EU transport policy to reflect economic rather than sustainability agenda - investment in transport is premised on its leading to economic development (2011)

EU focus within social investment convergence according to Jenson (provide 3 pieces of evidence)

Flexicurity - aimed at providing measure of income security by 'making work pay' in an economy where job security is thing of past 1. By 2003 8 of 15 EU countries had instituted some form of in-work benefit 2. France's Prime pour L'emploi (2001) 3. Working Tax Credit in UK (2001) (2010)

Taylor-Gooby, Gumy and Otto observation about New Welfare

General movement towards 'New Welfare' (variously termed social investment, the third way etc.) in European social policy debates over past two decades, gaining added impetus from 2007-8 recession and subsequent stagnation. (2015)

Luxton and Braedley on neoliberalism post-2007-8 financial crisis

Governments responded differently to crash but logic of neoliberalism has continued to haunt public policies around the globe, and remains driving force behind international business practices. (2010)

Alcock 'Why Wefare is a Common Good' evidence

In 2017 UK general election, young voters supported a Labour government promising an increased crackdown on inequality and support for public services (2018)

Summary of Taylor-Gooby's 'Public Policy Futures: A Left Trilemma?'

In the UK the Left faces a tripartite dilemma in producing policy that is adequate, acceptable and progressive. This challenge is not confronted by the Right, hence the Coalition was able to rely on a private enterprise-led recovery, neoliberal values of self-sufficiency through paid employment and the exclusion of marginalised groups from welfare. In order to overcome this, the Left should seek to advance public discourse in order to make more inclusive policies possible. (2012)

Monios on isomorphism and neoliberal convergence

Isomorphic convergence around neoliberal paradigm in recent decades minimises likelihood of states selecting or implementing disruptive policies (those that threaten economic growth), because to do so would compromise their perceived legitimacy in the eyes of organisations, the media, and the public (2017)

Sugar tax on fizzy drinks in UK timeline

Jamie Oliver health committee session October 2015 Announched by Osbourne in 2016 budget Came into effect April 2018

Contemporary example of nanny-state debate

Jamie Oliver's calls for a sugar tax and paternalistic reform of legislation surrounding food

Schrecker and Bambra on the findings of comparative research on SDOH

Liberal welfare states are the least conducive to population health (2015)

Taylor-Gooby, Gumy and Otto's example of need to change strategies if proponents of New Welfare are truly committed to both social and economic progress

Life-long learning both increases employment rates and reduces poverty, but preference is for activation policies despite evidence demonstrating their limited impact on poverty 2015

Lewis's critique of Esping-Anderson's typology of welfare regimes

Limited to work-welfare nexus, and thus fails to consider other aspects of welfare system like healthcare and education (1992)

Crouch, The Strange Non-Death of Neoliberalism on New Labour, Third Way, New Democrats etc.

Mid-1990s mutations of centre-left in attempts to recover from neoliberal defeat - evince a certain acceptance of many central neoliberal tenets whilst also trying to sustain particular Left-wing goals such as strong public and social services. (2011)

Taylor-Gooby, Gumy and Otto's critique of New Welfare

More effective at meeting economic than social goals - need to change strategies and adjust priorities if benefits and wealth are to flow more equally to all members of the labour force 2015

Jamie Oliver on balance of power in society in Health Committee Session

Need to redress the balance of power - who is running the country? The businesses profiting from increasing ill-health in children or public interests? October 2016

Magnussen

Neoliberal critiques of nanny-statism often seek to absolve the government from responsability (2015)

Milbourne and Cushman on isomorphism and governmentality in the UK

Neoliberal isomorphism and governmentality under coalition government's austerity agenda in UK have rendered voluntary sector compliance necessary to organisational survival, as inhibits independence and resistance. (2015)

What do Schrecker and Bambra identify as an alarming trend in contemporary organisations of state power?

Neoliberalisation - worrying because of correlation between neoliberal regimes and poor population health (2015)

Luxton and Braedley quote on neoliberal dominance in Neoliberalism and Everyday Life

Neoliberalism is 'a political force with which most people around the world must reckon' (2010, p.3)

Olssen and Peters quote to support neoliberal hegemony

Neoliberalism is the 'hegemonic discourse of Western nation states' (2005, p.314)

Kenworthy and Pontusson examples of differential responsiveness of states to rising market inequality

Nordic and Continental European states much more responsive to rising market inequality and willing to implement redistributive policies than US and GB (2005)

The Economist's observation

Ominous signs of a return to 'big government' that interferes with markets and economic efficiency following financial crisis of 2007-8. e.g. government spending up, bailing out of banks in US and UK, UK overseeing high street banks, governments proposing to regulate carbon emissions etc. (2010)

Alcock, 'Why Welfare is a Common Good' main idea

Potential contemporary resurgence of collectivism and associated rejection of neoliberalism due to rising (especially intergenerational) inequality and other social problems such cumulative degradation of public services. (2018)

Peck, 'Neoliberalizing states: thin policies/hard outcomes' (5 general policy prescriptions)

Public policy being devised within a restructured and increasingly neoliberalised system. Doses vary, but general prescription: 1. Purge system of obstacles to free markets 2. Restrain public expenditure 3. Activation of poor and marginalised on market's terms 4. Abolish/weaken social transfer programs 5. Curtail collective initiatives

Taylor-Gooby, 'The Divisive Welfare State' summary

Recent UK governments pursuing social policy agenda that aggravates and subsequently exploits social divisions in order to make permanent cuts to the welfare state without damaging electability. Part of a long-term neoliberal project to reduce the proportion of GDP spent on all welfare recipients in UK. (2016)

Jenson's summary of social investment perspective on role of state in 'Diffusing Ideas for After Neoliberalism'

Recognises a legitimate role for state action, but only of a certain kind. The market should remain the primary source of wellbeing for most people, but a) the market doesn't produce sufficient income for everyone b) poverty and exclusion cannot be solved solely through jobs c) opportunities and capabilities are unevenly distributed throughout society --> Some social spending is necessary (2010)

Neoliberal view on redistribution

Redistributive policies are injurious to personal liberty since they take from people what is rightfully theirs - inappropriate and illegitimate state action, view reinforced by mantras of self-sufficiency and individual responsability which lessens the imperative to transfer wealth to those in need

Who can you use to support claim that US and UK are furthest down the road to neoliberalism

Schrecker and Bambra 2015

What conclusion can be drawn from OECD spending reports

Seeing different levels and trajectories of national spending within the global economy due to continued significance of specific influences and trends. (2013)

OECD spending levels date - argument against convergence of welfare states

Significant differences in levels and trajectories of social spending between states remain, due to continued significance of nation-specific influences and trends (2013)

Lister on New Labour's reconciliation of economic and social policy

Social policy remains the handmaiden of economic policy (2003)

Main idea behind 'New Welfare' according to Taylor-Gooby, Gumy and Otto

Social policy should meet both economic and social goals (i.e. should improve employment rates and productiveness whilst also reducing poverty and inequality). 2015

OECD spending reports - general message

Social spending at historically high levels across the OECD (2013)

Luxton and Braedley's evidence for continued relevance of neoliberalism to international business and government

Statement from G20 summit, November 2008: work will be guided by shared belief in capacity of market principles to foster entrepreneurship and innovation vital to economic growth and employment. (2010)

What does Jenson term the convergence around social investment perspective across Latin America and Europe and who does this refer to?

The 'post-Washington consensus' amongst national governments, international organisations like the OECD and the European Union (2010)

Krugman, 'The Austerity Delusion' summary

The austerity fever that struck much of Europe following the global financial crisis of 2007-8 and Greek deficit debacle of 2010 is over. Most countries that implemented austerity programmes experienced depressions in their already-weak economies, and the austerian ideology has largely collapsed (e.g. chief economist of IMF admitted that the organisation massively understated its damaging impacts). As such, much of the Western world has abandoned austerity, but the UK is holding fast to its principles and practices. (2015)

Jamie Oliver quote on government in Health Committee Session

The government has done 'an incredible disservice to children' through laissez-faire policy on health (October 2016)

What do Schrecker and Bambra identify as driving the neoliberalisation of states since 1970/80s?

The international influence of the US and the UK adopting neoliberalism, as manifesting in a powerful neoliberal alliance of international financial institutions, private banks and the Thatcher-Reagan-Kohl governments (2015)

Colburn's analysis of neoliberalism and population health

The least neoliberal countries had significantly lower infant mortality rates, lower overall mortality rates and less mortality at lower ages (2004)

Pacek and Radcliffe quotation on neoliberal convergence

The neoliberal agenda is 'advancing nearly unapposed everywhere from Scandinavia to 'communist' China, leaving the world to face an ideological hegemony ("The Washington Consensus") unknown since capitalism's inception' (2008)

Schrecker and Bambra stat on US health

US has had largest economy over last 5 decades but consistently low life expectancies (2015)

Ferragina and Seeleib-Kaiser's defence of Esping-Anderson's typology (2 aspects and a suggested improvement)

Useful heuristic device and excellent starting point for empirical research (provides comparative lens and should not mistake ideal for pure types). Despite criticisms, subsequent analyses have tended to confirm the existence and consistency of three worlds. Could improve through development of a continuum of rich democracies, from the most purely social democratic to the most purely liberal. (2001)

Focus on Latin America within social investment convergence according to Jenson (+ evidence)

Widespread use of conditional cash transfers to guarantee social outcomes e.g. Opportunidades program in Mexico provides cash payments to parents in return for their compliance with social programs - regular school and health clinic attendance, nutritional education etc.