The European 'Welfare Mix': Institutional Configuration and Distributive Outcome in Sweden and the European Union. A Longitudinal and Comparative Perspective

Abstract

This paper explores the institutional configuration (the three welfare delivery systems: market, welfare state, family) and its distributional correlates (income inequality; poverty rates; inequality related to social cleavages such as social class, generation, gender, region and family). The analysis has a twofold perspective: comparative (comparing 14 EU member states) and longitudinal (comparing Sweden 1975--1995), using nations as statistical units. The European union appears to be divided in three distinct and homogeneous clusters: • a Nordic cluster (Sweden, Denmark, Finland) exhibiting large social expenses, high labour market participation and weak family ties. Its distributional features are low income inequality, poverty rates and class inequality, but high levels of inequality between generations; • a southern cluster (Greece, Italy, Spain, Portugal) characterised by lower welfare provisions, low employment, but strong traditional families. Its distributional features are high levels of income inequality, poverty and class inequality, but low levels of generational inequality; • a central European cluster in intermediate position. UK joins the southern cluster with high levels of income inequality, poverty and class inequality.