To aid, insure, transfer, or control : what drives the welfare state?

The paper uses panel data on OECD countries to assess four theories about the forces that generate social spending. The four theories are: Aid: the Welfare State is about helping the poor. Insure: the Welfare State insures the consumption of middle-class voters. Transfer: the Welfare State transfers money to politically-powerful entitled groups. Control: the Welfare State is about controlling the behavior of the underclass. The data give the following grades: Aid D-, Insure C+, Transfer A-, Control D. This assessment is made by regressing the share of social spending in GDP on a vector of country characteristics. The methods involve simultaneous equation fixed-effects models, and they take advantage of some recent innovations in the growth literature involving the treatment of country-level panel data

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Year of publication:	2002
Authors:	Castronova, Edward
Publisher:	Berlin : Deutsches Institut für Wirtschaftsforschung (DIW)
Subject:	Sozialstaat \| Öffentliche Sozialausgaben \| Public Choice \| Schätzung \| Industriestaaten

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Series:	DIW Discussion Papers ; 281
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	848958993 [GVK] hdl:10419/18265 [Handle] RePEc:diw:diwwpp:dp281 [RePEc]
Classification:	H5 - National Government Expenditures and Related Policies ; I3 - Welfare and Poverty
Source:	EconStor

Persistent link: https://www.econbiz.de/10010260790