Scandinavian Working Papers in Economics

Seminar Papers,
Stockholm University, Institute for International Economic Studies

No 694: CHANGING TIDES FOR THE WELFARE STATE

Assar Lindbeck ()
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Assar Lindbeck: Institute for International Economic Studies, Stockholm University, Postal: Stockholm University, S-106 69 Stockholm, Sweden

Abstract: Socioeconomic conditions and values have changed considerably since the emergence of elaborate welfare-state arrangements during the first decades after World War II. For instance, recent socioeconomic changes have created new needs (justifications) for intertemporal reallocations of income as well as for protection against new types of income risks. Some socioeconomic changes have also undermined the financial viability of a number of traditional welfare-state arrangements. This paper emphasizes developments in the labor market and changes in the structure and preferences of the family. A number of alternative welfare-state reforms are considered in the paper.

Keywords: welfare state; changes in labor market; changes in family structure

JEL-codes: H00; H40; H50

44 pages, July 27, 2001

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