By Richard Rose, Rei Shiratori
A special, comparative exam of the several ways that sleek democratic societies offer welfare this present day, those essays concentrate on the welfare techniques and reviews of the united states, Japan, nice Britain, Scandinavia, Germany, and Israel. whereas the pursuits of welfare are universal to every society, each one has its personal rules in regards to the top approach for the country, the marketplace, and the family to give a contribution to the welfare combine. With the economies of many nations stressed, the query of the correct stability among family welfare spending and safeguard spending is frequently on the heart of the controversy. The essays on Japan offer new and helpful insights into how a state--not regularly thought of a "welfare state"--manages to supply a wide range of winning welfare companies.
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Extra resources for The Welfare State East and West
This inference is false, because it ignores the contribution that the market and the household make to the production of total welfare in society. Where the national product is high, then welfare in aggregate is likely to be high, whatever the distribution of provision among the state, the market, and the household. Contrasting the state, the market, and the household as competing sources of welfare is misleading; for the concept of the welfare mix emphasizes interdependencies between the three sources, which are often complementary rather than competitive.
If the market rather than the state had been selling health, education, and pensions, then the economic slowdown since 1974 would have put the brakes on demand, and forced adjustments in supply. Given the fiscalization of these programs, the structural problem facing government today is how to raise the revenue needed to finance the substantial and rising costs of welfare programs, without upsetting the bal- THE STATE'S CONTRIBUTION TO THE WELFARE MIX 29 ance of the mixed economy by cutting the take-home pay of the ordinary worker.
In fact, this is not the case. The pensions paid elderly persons are only one source of household income. A substantial proportion of the elderly can derive an income from occupational pension schemes, or savings. Japanese firms that pay large lump sums upon retirement encourage recipients to become capitalists, investing their cash retirement benefit in the market. Another example of mix is health care in the United States. Government now underwrites medical care for the elderly and indigent, but personal care for the elderly continues to be produced primarily in the home, by spouses caring for each other, and by care from children, friends, and neighbors.