Abstract
For much of the post-war period, the advanced industrial nations of Europe congratulated themselves on having it both ways: successful capitalist economies which also provided effective welfare states – affluence plus social justice. Commentators have traditionally seen social democracy as the friend of social welfare. More recently, the virtuous liaison of social democratic politics with successful democratic welfare capitalism has been called into question. Welfare states face pressures from economic globalisation, population ageing, spending constraint and changes in labour markets and in family patterns; it is argued that traditional social democratic approaches find it difficult to pursue policies that will enable welfare states to adapt and continue to combine high social standards with economic growth in the changed conditions of the twenty-first century. In short, the social democratic welfare state is outmoded.
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