A comparative study of welfare state development: Event history analysis of social insurance legislation in eighteen economically advanced capitalist countries, 1880-1980

The origin and development of welfare state has generally been explained by four major theories. They are logic of industrialism, political conflict explanation, state-centered approach, and international diffusion theory. This study examines welfare state development among 18 economically advanced capitalist countries from 1880 to 1980. The purpose is to determine which theory best explains welfare state development. Unlike previous studies, this study considers the welfare state as measured by the year of adoption of five major social insurance programs, and empirically tests hypotheses derived from those theories within an event history analysis framework. The survival analyses of five social insurance programs present mixed results. The adoption of each social insurance program is developed and related to a combination of industrialism, modernization, left-class participation, state autonomy, and international environment. Based on these findings, it is concluded that no single paradigm adequately explains the rise of the welfare state. However, the combination of two society-centered approaches namely, logic of industrialism and political conflict explanation, and state-centered approach better explains the origin and development of welfare state than does the international diffusion theory. Industrialism and modernization are factors in the rise of welfare state, as is left-class participation. The state itself also has an autonomous capacity in promoting the welfare state. However, international relations or the role of international organizations had no or negative influence on the development of the welfare state. In addition, culturally heterogeneous nations are more likely to adopt unemployment insurance and family allowance programs earlier than homogeneous nations. In summary, this study concludes that domestic-related theories, rather than international diffusion theory, provide a more persuasive explanation for welfare state development