Laura Brunell
brunell@gonzaga.edu
ESM
Social Democracy
What is it? What is its vision for society?
Historical roots in Europe
Means of Obtaining Social Democracy
elections, representative government, welfare state
European Social Model
Chapter in T.R. Reid "The United States of Europe: The New Superpower and the End of American Supremacy"
Story on The
United States of Europe
Reid Interview on WHYY
What is it? What does it consist of?
According to Reid, "an elaborate network of publicly funded, cradle-to-grave programs designed to protect everyone in Europe against the vicissitudes of contemporary life" (146).
But really, the ESM is more than just protection against the vicissitues of contemporary life (as in our "social safety net" idea)
Rather, what does it do?
Guarantees social rights
Makes good on a social contract between the state and citizens
state makes available health, education, housing, jobs, retirement, vacation, etc.
Citizens - their responsibility (to society, to fellow citizens, to each other) is to pay for these PUBLIC GOODS
Reid describes the ESM as "relentlessly egalitarian"
he means that everyone benefits, and enjoy the same responsibility to pay
Cradle-to-grave (literally)
1. Birth
one time payments to parents
paid parental leave (parent's salary) with right to return to position
2. Childhood
child allowances through age of 18
health care
education
parents with vacation time, time for family life
3. Working Age
employment rights
wages often set (agreed) by reps of labor, industry and government (corporatism)
maximum hour laws
Italy and France 35-hour work week
average of 4 - 5 weeks of paid vacation/holidays per year
(Britain 23 days; France 25 days; Sweden 30)
Hours worked per year:
US workers: 1,976
German and French = 400 hrs less (10 weeks of FT wk per year!)
British workers = 200 hrs less
Differences with US economy
1. higher unemployment (with more generous unemployment benefits)
average in early 21st Century 9% (compared to US 6%) (156)
2. slower rates of growth in GDP
According to Reid, is Europe's economy on the verge of collapse?
Why not? Why do businesses stay there?
What are the strengths of Europe's system? Success stories?
4. Health care
British system
"single payer" the National Health System
no fees at point of service
Reid's experiences
France, Italy have public insurance system
some fees at point of service, with reimbursement
Costs and results(158)
|
|
Netherlands |
France |
Sweden |
UK |
US |
|
Cost as % of GDP |
8.5 |
9.4 |
8.0 |
6.7 |
13.0 |
|
% paid by govt |
70 |
77 |
84 |
84 |
45 |
|
Male life expectancy |
75 |
75 |
77 |
75 |
73 |
Problems with European health systems? vary by country; type of system
France - tightly regulated Bismarkian model - problem with poor physician pay.
Germany - Bismarkian system; regulated but decentralized; competition among insurers.
5. Retirement
pensions
health care
5. Retirement
pensions
health care
6. Death benefits for family
The Cost of the European Social Model
Click here for comparison of OECD countries and US in welfare state spending as percentage of GDP
Average for Europe (incl. southern, CE) = 23.2%
US = 14.8%
Taxes - income taxes, payroll deductions in some cases, property
but also Value-Added Taxes (VAT)
of between 17.5% in UK to 25% in Denmark
RIGHTS as part of the model
Not such political/civil rights but also social rights, such as right to free education through university level, right to housing, right to communicate in one's mother-tongue, etc.
Charter on the Fundamental Rights of the European Union