The social investment state
depends on taxation, which means that measures need to be adopted to secure the necessary funding, both by reducing tax evasion and by introducing further progressive tax measures.
A social investment state
is one which works for the creation of wealth, and not merely rehabilitating a declining state.
2015): in general, the importance of a "social investment state
" has been promoted, especially in the European welfare states, opposing a tendency of welfare states against markets (cf.
It distinguishes between the market competition state, similar to Ireland or the Baltics, and the social investment state
model favoured by the Nordic countries, as well as discussing corporatist models.
The 16 papers here cover political economy, citizens and diversity, discourse and knowledge and "risky subjects" such as moving from the welfare state to the social investment state
, border policy and 9/11 spillover, life in a post-socialist state, and changes in the Canadian health care system.
Chen cites, but does not comment on, the work of the influential Canadian policy analyst Jane Jenson who argues, in contrast, that policy changes in the 1990s prefigured a 'social investment state
' characterised by an 'investing-in-children paradigm', in which responsibility for children's well-being is shared by families and the broader community.
The revolution represents a shift from a compensatory social welfare state to a social investment state
concerned with active social policies that focus on giving opportunities through education, training, and paid employment.
By the late 1990s and into the 2000s, the neo-liberal state begins to morph into what has been dubbed the social investment state
. (5) The two stages cannot be separated neatly by a definitive turning point nor marked by an exact time frame.
Privatization and decentralization are a second characteristic of Canada's emerging social investment state
. However, in contrast to neo-liberal privatization, the federal government appears to favour partnerships with other sectors rather than wholesale downloading.
The main guideline of the social investment state
can be simply stated: wherever possible invest in human capital rather than direct payment of benefits.
There are different modes of adaptation, notably the market-liberal mode and the social investment state
. Either mode is dependent on internal institutions, social relationships and modes of policymaking.
The main proposition of this paper is that a redesigned welfare structure, undertaken by policy communities concemed about social cohesion, is often one that envisages a social investment state
. To explore this hypothesis, the paper proceeds in three steps.