The future of the welfare state / Dennis J. Snower Snower, Dennis J

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Snower, Dennis J
Appears In
Economic Journal
Welfare state.; Welfare state -- Forecasts and trends; Economics
Academic; Trade
The future of the Welfare State which has been severely impacted by the rise in social problems is examined. Countries that have adopted the Welfare State philosophy have undermined its original intentions by taking over an array of economic activities that could be better performed by a free market. Cost of Welfare State services will rise faster than rate of inflation and place even greater financial stress on governments. Possibility of reducing Welfare State services from middle class to poor are discussed. Use of loan guarantees and wage subsidies as a way to reduce inefficiencies and inequities are described.
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