Year: 2010
Type: dissertation
Abstract: This paper investigates the reasons to why the size of welfare systems varies among countries. The main contribution is that, contrary to most other papers on the topic, developing countries have been included in the analysis. Drawing on cross-sectional data from 85 countries my main conclusion is that ethnic fragmentation has a significant negative impact on the size of welfare systems, as proposed by Alesina and Glaeser (2004). This impact is even clearer in a sample with only developing countries and replaces the Power Resource Theory, developed by Korpi, as the main explication. The causal effect is not determined but Lebanon and Zimbabwe are found to be path-way cases suitable for further research. Furthermore the paper concludes that both proportional election systems and weak Supreme Courts promote larger welfare systems. Power Resource Theory is shown to be weaker when working class mobilization is operationalized by the size and power of workers unions instead of by years with left-oriented government. The paper supports the Quality of Government theory developed by Rothstein et al (2010), which states that corruption has a negative impact on the size of welfare systems, although the support is weaker when developing countries are included in the analysis.
Author: Kim Strömberg
Language: Swedish
Field: Social Sciences
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1725686015