POLSCI 140 Lecture 17: Study Notes at UMich
Document Summary
Alleviate the costs for certain peoples - couples, parents with young children, etc. Rise of the welfare state during industrialization. We associate it with the class between communism vs. capitalism. This intensifies after the russian revolution and grows during ww2 and the cold war. Capitalism was unregulated and led to things like occupational hazards, disease, etc. A compromise between capitalists, labor unions, and the government to bargain for better working conditions and standards. Post wwii political bargain : expansion of the welfare state via political party and labor union mobilization. Joseph schumpeter: the welfare state is (hidden) socialism. Economist famous for notion of creative destruction as essence of modern capitalism. When one firm loses popularity, it will fail and another will take its place. Predicted that the vibrancy (destruction) of capitalism would decline as social factors demand protection. Rise of the welfare state leads to the decline of capitalism (through regulation and redistribution)
