This website uses cookies to ensure you have the best experience. Learn more

The Welfare State And Government Responses To Economic Openness

1692 words - 7 pages

The Welfare State and Government Responses to Economic Openness

I. Introduction
Economic openness is the phenomenon in which individual economies from all over the world become increasingly connected and interdependent through greater liberalization of trade and the vast movement of goods, services, and capital across borders. With the rise of globalization, positive effects have resulted from economic openness. The widespread benefits of globalization have resulted in global economic growth, prosperity, and have increased the overall standard of living in the world. However, globalization has also been blamed as being the principal culprit for numerous global problems including poverty, wealth disparity, and environmental degradation. The debate over globalization has resulted in a zero-sum game between the pursuit of economic openness and the maintenance of the welfare state. This paper will argue that a conflict does exists between globalization and the welfare state; however, governments still possess critical policy tools in which they are able to minimize the negative effects of economic openness. Through the examination of welfare state and the compromise of embedded liberalism, this paper will show the challenges a government must face in attempts to protect its citizens from globalization.
II. The Zero-Sum Game and the Challenges of Globalization
The relationship between the welfare state and globalization is a zero-sum game where gains in one will lead to concessions in another. This divide between the two began with the acceptance of neoliberal economic policies. At the end of the Cold War in 1989, liberal globalization took off in an unprecedented rate through the pursuit of open and free markets, deregulation, privatization, and the reduction of the welfare state. The weakening of the welfare state became especially apparent with the increased mobility of capital and its capacity to easily enter and exit a country without penalty. “The welfare state looked doomed, with no power to counter the economic horror of the global market.” Although the welfare state was perceived to be in decline, economic openness brought significant benefits to the both the domestic and global economies. The increase of free trade through the reduction of tariff and non-tariff barriers allowed consumers to purchase foreign goods and services at cheaper prices, and foreign investors provided considerable amount of capital to the country as well as job creation and technological innovation.
With its widespread of benefits, is globalization really a threat to social stability? Has it advanced so far “that national governments are essentially powerless to regulate their economies and use their policy tools to further social ends?” Although globalization and the welfare state often diverge from another, globalization has not eroded national sovereignty and capacity nearly as much as previously thought by skeptics of globalization. National...

Find Another Essay On The Welfare State and Government Responses to Economic Openness

State Government and Economic Performance by Dr. Paul Brace

2107 words - 8 pages State Government and Economic Performance by Dr. Paul Brace In this paper we are asked to read the text by Dr. Paul Brace, "State Government & Economic Performance," from that we are to decide as if we were the governor of the state of Kansas, which economic development strategy would be best for Kansas. Out of the four choices we were given, Arizona, Texas, Michigan, New York, I have chosen to argue for the example of Michigan. Before I go

The Government and Welfare Essay

729 words - 3 pages program stayed in the hands of the U.S. government until Bill Clinton passed the Welfare Reform Act in 1996 giving the control of the welfare system to the states. This allowed each individual state to set the requirements for the type and amount of aid needed versus the previous method of having a universal set of requirements from one source. It was believed that the welfare program initiated during the Great Depression fostered dependency on

The Australian Welfare State and How to Kick it

1498 words - 6 pages therefore asking for increasing welfare dependency and an overall counterproductive and potentially problematic system. With the Centre for Independent Studies release of their TArget 30 campaign to reduce the size of Government expenditure below 30% of GDP over the next 10 years Works Cited Saunders, P 2004, The Australian Welfare State and How to Kick it, Duffy and Snellgrove, Sydney.

The U.S. Government and Welfare

2350 words - 9 pages For a long time now, since the accomplished formation of a stable government, the U.S government has had programs and passed laws that either dealt with issues of or influence family. Many of these "family" programs and laws currently in place today are frequently and commonly debated. One of the most debated and most labored over "family" programs or law is Welfare. The argument is whether or not to, and how welfare should be cut or

Responses to three issues in government: morality, conservativism and Sartre's The Wretched of the Earth

1765 words - 7 pages 1. Morality and Government"Athenians. For ourselves, we shall not trouble you with specious pretences- either of how we have a right to our empire because we overthrew the Mede, or are now attacking you because of wrong that you have done us- and make a long speech which would not be believed; and in return we hope that you, instead of thinking to influence us by saying that you did not join the Lacedaemonians, although their colonists, or that

The Welfare State and its Persistence

2462 words - 10 pages social layout of welfare states has placed a strain on the extent, nature and existence of welfare and social-economic redistribution. Welfare states are being challenged and in some ways downsized. However, due to popularity, current condition, and overwhelming necessity, there is not a likely, foreseeable end to the existence of the welfare state. This paper will explore and expand upon some specific challenges to the welfare state. These

The social welfare state

3767 words - 15 pages over.By the 1980's, the American public no longer wanted to help the poor, or Blacks, or cities, and welfare encompassed all three. Conservative-fueled public opinion was fed up with "welfare queens" and rampant welfare abuse. "These people" (poor Black single mothers) had lived off the government for long enough and it had obviously not produced the desired effect of economic self-sufficiency. Welfare was broken and begged for reform.Conservatives

The Austrian Welfare State

1516 words - 6 pages is.According to BusinessDictionary.com a welfare state is:… a political system based on the premise that the government (and not the individual, corporations, or the local community) has the responsibility for the wellbeing of its citizens, by ensuring that a minimum standard of living is within everyone's reach. This commitment is translated into provision of universal and free education, universal medical care, insurance against disability

The Modern Welfare State

2621 words - 10 pages and welfare; The welfare state has been defined by various scholars. A random Google search using the term “welfare state” will reveal multiple results. However the following three capture the essential elements across the social, economic and political schools of thoughts. They describe the welfare state as 1. A set of government program that attempt to provide economic security for populations by providing for the people when they are

The State of Welfare

1044 words - 4 pages The welfare system in the United States performs a wide variety of functions to assist people who have fallen onto hard times. Welfare programs are an evolution of the British Poor Laws whose roots lie in basic charity and the human ideology that one should aid those less fortunate. Today’s welfare system , being controlled by the state and federal governments are by no means perfect, but they do provide a more stable form of assistance so

The British Welfare State

2876 words - 12 pages national health service, and redesigned and modernized towns and cities - all the social amenities that had been lacking for the majority of people before the war. The outbreak of war brought a halt to the clamor for welfare reform for a while due to the full employment situation British men fighting for their country. In1941 the coalition Government began to map out plans for a welfare state system to implement at the end of the war the

Similar Essays

The Shrinking Welfare State: An Essay About Individuals Who Abuse Our Welfare System, And Steps The Government Should Take To Stop This

1042 words - 4 pages The Shrinking Welfare State: The New Welfare Legislation and FamiliesI think most people are split on the issue of welfare. Some see it as a handout to the poor where the recipients will not and do not want to work. Others see it as just helping the unfortunate get back on their feet. Personally, I see it as a little of both. I would love nothing more to help everyone who is willing to help there selves, but I can not see helping someone who has

Government Intervention In Economic Welfare Essay

531 words - 2 pages ” is not absolute. The market economies requires institution such as government to implement policies and making decisions to maintain market and avoid market failure like monopoly and negative externalities. Therefore, government interventions are clearly crucial in the economy to maintain the balance of price and maximizing social and economic welfare to improve market outcomes. For example here, government intervention such as decision to

The Labour Government As The Creator Of The Welfare State

1502 words - 6 pages The Labour Government as The Creator Of The Welfare State A Welfare State is a system in which the government undertakes responsibility for the well being of its population, through unemployment insurance, old age pensions and other social security measures. In order to achieve this the Labour Government of 1945-51 introduced a number of reforms, including the National Insurance Act of 1946 and the Education Act. They

The Chinese Government And The Chinese Diaspora: For State Economic Development And Global Power

2248 words - 9 pages as a means to transcend restraints that normally confine the nation-state and As a result, the government is able to increase its economic growth and global power. Likewise, Ang shares that, “currently the People’s Republic of China (PRC) is now in a new stage in its relationship with diaspora epitomized by a mainland-centred Chinese modernity that exploits the diaspora for its capitalist knowledge and mutual self-interest in pursuit of global