An analysis of the welfare state from a political economy perspective that examines the effects of aging populations, migration, and globalization on industrialized economies. In The Decline of the Welfare State, Assaf Razin and Efraim Sadka use a political economy framework to analyze the effects of aging populations, migration, and globalization on the deteriorating system of financing welfare state benefits as we know them. Their timely analysis, supported by a unified theoretical framework and empirical findings, demonstrates how the combined forces of demographic change and globalization will make it impossible for the welfare state to maintain itself on its present scale. In much of the developed world, the proportion of the population aged 60 and over is expected to rise dramatically over the coming years—from 35 percent in 2000 to a projected 66 percent in 2050 in the European Union and from 27 percent to 47 percent in the United States—which may necessitate higher tax burdens and greater public debt to maintain national pension systems at current levels. Low-skill migration produces additional strains on welfare-state financing because such migrants typically receive benefits that exceed what they pay in taxes. Higher capital taxation, which could potentially be used to finance welfare benefits, is made unlikely by international tax competition brought about by globalization of the capital market. Applying a political economy model and drawing on empirical data from the EU and the United States, the authors draw an unconventional and provocative conclusion from these developments. They argue that the political pressure from both aging and migrant populations indirectly generates political processes that favor trimming rather than expanding the welfare state. The combined pressures of aging, migration, and globalization will shift the balance of political power and generate public support from the majority of the voting population for cutting back traditional welfare state benefits.

Includes statistics.

Is large-scale immigration to Europe incompatible with the continent's generous and encompassing welfare states? Are Europeans willing to share welfare benefits with ethnically different and often less well-off immigrants? Or do they regard the newcomers as undeserving and their claim for welfare rights as unjustified? These questions are at the heart of what has to become known as the 'New Progressive Dilemma' debate -- and the predominant answers given to them are rather pessimistic. Pointing to the experiences of the US, where a multi-racial society in combination with a longstanding history of immigration encounters very limited welfare provision, many Europeans fear that the continent's new immigrant-based heterogeneity may push it toward more American levels of redistribution. But are the conflictual US experiences really resembled in the European context? Immigration and Welfare State Retrenchment addresses this question by connecting the New Progressive Dilemma debate with comparative welfare state and party research in order to analyse the role ethnic diversity plays for welfare reforms in the US and Europe. Whereas the combination of racial patterns and party politics had and still has serious consequences for the US welfare system, the general message of the book is that these are not resembled in the Western European context. While many Europeans are very critical of immigration and willing to ban immigrants from welfare benefits, both the institutional design of European welfare programs and the economically divided anti-immigrant movement prevent immigration concerns from translating into actual retrenchment in the core areas of welfare.

This book explores the historical development of post-war immigration politics in Norway, Sweden and Denmark from the perspective of the welfare state, examining how welfare states with high ambitions, generous and inclusive welfare schemes and a strong sense of egalitarianism cope with the pressures of immigration and growing diversities.

Three Worlds of Relief examines the role of race and immigration in the development of the American social welfare system by comparing how blacks, Mexicans, and European immigrants were treated by welfare policies during the Progressive Era and the New Deal. Taking readers from the turn of the twentieth century to the dark days of the Depression, Cybelle Fox finds that, despite rampant nativism, European immigrants received generous access to social welfare programs. The communities in which they lived invested heavily in relief. Social workers protected them from snooping immigration agents, and ensured that noncitizenship and illegal status did not prevent them from receiving the assistance they needed. But that same helping hand was not extended to Mexicans and blacks. Fox reveals, for example, how blacks were relegated to racist and degrading public assistance programs, while Mexicans who asked for assistance were deported with the help of the very social workers they turned to for aid. Drawing on a wealth of archival evidence, Fox paints a riveting portrait of how race, labor, and politics combined to create three starkly different worlds of relief. She debunks the myth that white America's immigrant ancestors pulled themselves up by their bootstraps, unlike immigrants and minorities today. Three Worlds of Relief challenges us to reconsider not only the historical record but also the implications of our past on contemporary debates about race, immigration, and the American welfare state.

According to the national mythology, the United States has long opened its doors to people from across the globe, providing a port in a storm and opportunity for any who seek it. Yet the history of immigration to the United States is far different. Even before the xenophobic reaction against European and Asian immigrants in the late nineteenth century, social and economic interest groups worked to manipulate immigration policy to serve their needs. In A Nation by Design, Aristide Zolberg explores American immigration policy from the colonial period to the present, discussing how it has been used as a tool of nation building. A Nation by Design argues that the engineering of immigration policy has been prevalent since early American history. However, it has gone largely unnoticed since it took place primarily on the local and state levels, owing to constitutional limits on federal power during the slavery era. Zolberg profiles the vacillating currents of opinion on immigration throughout American history, examining separately the roles played by business interests, labor unions, ethnic lobbies, and nativist ideologues in shaping policy. He then examines how three different types of migration--legal migration, illegal migration to fill low-wage jobs, and asylum-seeking--are shaping contemporary arguments over immigration to the United States. A Nation by Design is a thorough, authoritative account of American immigration history and the political and social factors that brought it about. With rich detail and impeccable scholarship, Zolberg's book shows how America has struggled to shape the immigration process to construct the kind of population it desires.