Globalizace a udržitelnost státu blahobytu

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Title in English Globalization and sustainability of the welfare state
Authors

FRANC Aleš

Year of publication 2005
Type Article in Proceedings
Conference Hospodářská politika nových členských zemí EU
MU Faculty or unit

Faculty of Economics and Administration

Citation
Field Economy
Keywords globalization; welfare state; tax competition
Description This article explores the empirical merits of two major contending perspectives on the effects of globalization on sustainability of welfare states. According to the efficiency hypothesis globalization has substantially decreased the autonomy of the nation-state, resulting in a ?race to the bottom? ? a dismantling of welfare states ? by governments competing for mobile economic resources. The compensation hypothesis, in contrast, emphasizes the domestic dislocations generated by globalization and the incentives for government interventions in the economy that these generate. The data presented in this article challenge the conclusion of the efficiency hypothesis about convergence towards a residual welfare-state, funded increasingly by non-mobile factors such as labour. This articles concludes that the welfare states remain rooted in the political traditions that have governed them.
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