08 Wk 7 Lecture

67 %
33 %
Information about 08 Wk 7 Lecture

Published on June 1, 2008

Author: johnhudson

Source: slideshare.net

Comparative Social Structures and Welfare Week 7 Comparing Welfare Inputs - Spending

Re-Cap Why Compare? Key Methodological Problems Core Theories Key Data Sources

Why Compare?

Key Methodological Problems

Core Theories

Key Data Sources

Session Objectives Begin analysis of empirical data Introduce some key welfare-input measures Explore a sample macro-input study

Begin analysis of empirical data

Introduce some key welfare-input measures

Explore a sample macro-input study

Macro-Level Welfare-Inputs Measures of ‘Welfare State Effort’ i.e. cash! Common Focus for Studies data widely available relatively simple measures clear link with political debates Q: Who spends the most of welfare?

Measures of ‘Welfare State Effort’

i.e. cash!

Common Focus for Studies

data widely available

relatively simple measures

clear link with political debates

Q: Who spends the most of welfare?

Common Spending Measures Take a tour of OECD Health Data package

Take a tour of OECD Health Data package

 

Common Spending Measures Many different measures NCU OR US$ per capita OR millions % GDP public OR public & mand. private Measures make a difference to findings Take a tour of OECD Health Data package

Many different measures

NCU OR US$

per capita OR millions

% GDP

public OR public & mand. private

Measures make a difference to findings

Take a tour of OECD Health Data package

NCU National Currency Unit $, £, €, ¥ etc Tracking one country over time Often useless for international comparisons

National Currency Unit

$, £, €, ¥ etc

Tracking one country over time

Often useless for international comparisons

NCU At ‘Thomas Cook’: $1 = ¥ 105 ¥ 88,549,098,000,000 = $843,325,000,000 $1,748,439 United States ¥ 88,549,098 Japan Social expenditure, 2003 Public, millions of NCU (current prices)

At ‘Thomas Cook’:

$1 = ¥ 105

¥ 88,549,098,000,000 = $843,325,000,000

US$ (PPP) Comparison demands common currency ‘Thomas Cook’ may not be enough exchange rates fluctuate US$ MER (median exchange rate) some currencies are over-valued ‘Starbuck’s index’ or ‘Big Mac index’

Comparison demands common currency

‘Thomas Cook’ may not be enough

exchange rates fluctuate

US$ MER (median exchange rate)

some currencies are over-valued

‘Starbuck’s index’ or ‘Big Mac index’

US$ (PPP) US$ PPP operates on same principles PPP = Purchasing Power Parity Accounts for differing cost of living Better comparison than MER

US$ PPP operates on same principles

PPP = Purchasing Power Parity

Accounts for differing cost of living

Better comparison than MER

millions or per capita Problems even with common currency nations vary in size! use per capita measure  1,746,812 United States 368,698 United Kingdom 82,718 Sweden Public Exp., mil US$ PPP 2003, social spending & population

Problems even with common currency

nations vary in size!

use per capita measure

millions or per capita Problems even with common currency nations vary in size! use per capita measure  290,796 1,746,812 United States 59,554 368,698 United Kingdom 8,958 82,718 Sweden Population, Thousands of persons Public Exp., mil US$ PPP 2003, social spending & population

Problems even with common currency

nations vary in size!

use per capita measure

millions or per capita Problems even with common currency nations vary in size! use per capita measure     6,007 290,796 1,746,812 United States 6,191 59,554 368,698 United Kingdom 9,234 8,958 82,718 Sweden Public Exp., per capita, US$ PPP Population, Thousands of persons Public Exp., mil US$ PPP 2003, social spending & population

Problems even with common currency

nations vary in size!

use per capita measure

% GDP What about countries of differing wealth? use Gross Domestic Product (GDP) data    5,039 Spain 5,444 Ireland 3,652 Czech Republic 5,332 Canada Social Exp, Public, per capita, US$ PPP 2003, Social Spending & GDP

What about countries of differing wealth?

use Gross Domestic Product (GDP) data

% GDP What about countries of differing wealth? use Gross Domestic Product (GDP) data    24,823 5,039 Spain 34,238 5,444 Ireland 17,308 3,652 Czech Republic 31,364 5,332 Canada GDP per capita, US$ PPP Social Exp, Public, per capita, US$ PPP 2001, Social Spending & GDP

What about countries of differing wealth?

use Gross Domestic Product (GDP) data

% GDP What about countries of differing wealth? use Gross Domestic Product (GDP) data      20.3 24,823 5,039 Spain 15.9 34,238 5,444 Ireland 21.1 17,308 3,652 Czech Republic 17.3 31,364 5,332 Canada Social Exp., Public, % GDP GDP per capita, US$ PPP Social Exp, Public, per capita, US$ PPP 2001, Social Spending & GDP

What about countries of differing wealth?

use Gross Domestic Product (GDP) data

Pub. or Pub. & Mand. Priv NCU, US$, millions, per capita or % GDP  20.5 Switzerland 24.2 Italy 22.5 Finland Public, % GDP 2003, Public & Mandatory Private Social Spending

NCU, US$, millions, per capita or % GDP

Pub. or Pub. & Mand. Priv NCU, US$, millions, per capita or % GDP  7.2 20.5 Switzerland 1.8 24.2 Italy 3.5 22.5 Finland Mand. priv., % GDP Public, % GDP 2003, Public & Mandatory Private Social Spending

NCU, US$, millions, per capita or % GDP

Pub. or Pub. & Mand. Priv NCU, US$, millions, per capita or % GDP Data sometimes patchy Less commonly used   27.7 7.2 20.5 Switzerland 26.0 1.8 24.2 Italy 26.0 3.5 22.5 Finland Pub. & Mand. priv., % GDP Mand. priv., % GDP Public, % GDP 2003, Public & Mandatory Private Social Spending

NCU, US$, millions, per capita or % GDP

Data sometimes patchy

Less commonly used

Spending Measures – Re-cap Wide range of measures on OECD Health think carefully about which to use always check a table or graph when reading Best measure? horses for courses... ... but % GDP normally best

Wide range of measures on OECD Health

think carefully about which to use

always check a table or graph when reading

Best measure?

horses for courses...

... but % GDP normally best

Who Spends the Most? Public social spending as % GDP for 2003 5.693 Korea 6.836 Mexico 15.931 Ireland 16.199 United States 17.272 Canada 17.317 Slovak Republic 17.734 Japan 17.9 Australia 18.013 New Zealand 18.699 Iceland 20.307 Spain 20.523 Switzerland 20.635 United Kingdom 25.074 Norway 26.05 Austria 26.477 Belgium 27.252 Germany 27.582 Denmark 28.718 France 31.28 Sweden

 

Example Study Q: Does welfare spending hurt the economy? Often argued that this is so: New Right (Thatcher, Reagan) New Labour (limits to spending) Competition State Thesis

Q: Does welfare spending hurt the economy?

Often argued that this is so:

New Right (Thatcher, Reagan)

New Labour (limits to spending)

Competition State Thesis

Example Study Sample: OECD, 1981-98 Spending: Average Public and Mandatory Private Social Spending as Percentage of GDP Economy: Average Annual Economic Growth Rate Average Year-to-Year Percentage Change of Inflation Average Unemployment Rate Gross Domestic Product - in US$, per head, at the price levels and PPPs of 1995

Sample:

OECD, 1981-98

Spending:

Average Public and Mandatory Private Social Spending as Percentage of GDP

Economy:

Average Annual Economic Growth Rate

Average Year-to-Year Percentage Change of Inflation

Average Unemployment Rate

Gross Domestic Product - in US$, per head, at the price levels and PPPs of 1995

25276.64 6.26 3.89 3.12 14.51 Unites States 17758.56 8.55 5.00 2.43 22.85 United Kingdom 25146.04 1.99 2.85 1.34 21.85 Switzerland 20185.74 4.17 5.44 1.71 31.99 Sweden 20861.17 3.73 6.93 2.48 20.27 New Zealand 16115.38 5.97 5.26 3.09 27.19 Norway 19649.58 6.87 2.46 2.42 27.68 Netherlands 19868.16 2.56 1.66 2.92 12.08 Japan 18902.19 9.15 7.32 1.87 24.15 Italy 14555.72 13.13 5.34 4.84 19.11 Ireland 19262.24 6.07 2.61 2.06 24.78 Germany 19266.40 9.64 4.38 1.93 26.57 France 18716.23 8.06 4.51 2.44 26.26 Finland 20688.60 6.56 4.19 2.11 30.15 Denmark 21027.04 9.16 4.16 2.62 17.87 Canada 19644.24 8.55 3.46 1.98 26.99 Belgium 20551.53 4.08 2.91 2.07 27.29 Austria 19041.42 7.75 5.29 3.36 15.09 Australia Gross Domestic Product - in US$, per head, at the price levels and PPPs of 1995 Average Unemployment Rate Average Year-to-Year Percentage Change Inflation Average Annual Economic Growth Rate Average Public and Mandatory Private Social Spending as Percentage of GDP

negative and positive correlations -0.80 strong negative correlation 0.80 strong positive correlation distribution of plots correlation coefficient very crudely: < 0.25 no correlation 0.25-0.5 weak correlation 0.5-0.75 moderate correlation 0.75 strong correlation

 

 

 

 

Macro-Inputs & Economy No simple, clear link More complex factors to analyse different elements of spending other influences on economy some elements of welfare may boost economy Study could be flawed long time zone correct? right input measure?

No simple, clear link

More complex factors to analyse

different elements of spending

other influences on economy

some elements of welfare may boost economy

Study could be flawed

long time zone correct?

right input measure?

1. Voluntary Private Social Spending NOT in OECD Health Data Is quite large in some countries Should this count as social spending?

NOT in OECD Health Data

Is quite large in some countries

Should this count as social spending?

1. Voluntary Private Social Spending

2. Net Social Expenditure Developed by Adema Accounts for: public social spending mandatory private social expenditure voluntary private social expenditure taxes on benefits tax expenditures Big impact on spending ‘league table’

Developed by Adema

Accounts for:

public social spending

mandatory private social expenditure

voluntary private social expenditure

taxes on benefits

tax expenditures

Big impact on spending ‘league table’

USA: 9.9% GDP increase 10 place increase Finland: 2.2% GDP decrease 7 place drop

2. Net Social Expenditure Less variance in social spending better picture welfare regime size? increasingly necessary in modern era? BUT: private voluntary social spending unequal question of distribution tells us nothing about who benefits

Less variance in social spending

better picture welfare regime size?

increasingly necessary in modern era?

BUT:

private voluntary social spending unequal

question of distribution

tells us nothing about who benefits

Macro-Input Limits expenditures present a circumspect and possibly misleading picture of welfare-state differences. If what we care about is the strength of social rights, equality, universalism, and the institutional division between market and politics, social-spending levels may camouflage more than they reveal (Esping-Andersen 1990: 106)

expenditures present a circumspect and possibly misleading picture of welfare-state differences. If what we care about is the strength of social rights, equality, universalism, and the institutional division between market and politics, social-spending levels may camouflage more than they reveal (Esping-Andersen 1990: 106)

Conclusion Macro-Inputs usually about overall spending levels Pros commonly used many measures widely available data Cons best measures patchy? too broad a picture? micro-inputs may tell us more? INTERPRET MEASURES CAREFULLY

Macro-Inputs

usually about overall spending levels

Pros

commonly used

many measures

widely available data

Cons

best measures patchy?

too broad a picture?

micro-inputs may tell us more?

INTERPRET MEASURES CAREFULLY

Assessment Takes place Week 10 1.5 Hours Lectures & Seminars form basis Week 9: Revision seminar for each group Sample questions will be worked through then

Takes place Week 10

1.5 Hours

Lectures & Seminars form basis

Week 9:

Revision seminar for each group

Sample questions will be worked through then

Assessment Test with five sections Section A – Definitions (10%) Section B – Methods (20%) Section C – Theory (20%) Section D – Interpreting Comparative Data (30%) Section E – Comprehension Exercises (20%) 35 MCQs and two short written tasks

Test with five sections

Section A – Definitions (10%)

Section B – Methods (20%)

Section C – Theory (20%)

Section D – Interpreting Comparative Data (30%)

Section E – Comprehension Exercises (20%)

35 MCQs and two short written tasks

Assessment Sections A-C: Standard MCQ 2 marks for correct answer Section D: MCQ with multiple-correct answers 2 marks for correct answer, -1 incorrect Section E: open ended data interpretation

Sections A-C:

Standard MCQ

2 marks for correct answer

Section D:

MCQ with multiple-correct answers

2 marks for correct answer, -1 incorrect

Section E:

open ended data interpretation

Add a comment

Related presentations

Related pages

2014-05-08 | Caltech

2014-05-08 . Thursday, May 8 ... Noyes 153 (J. Holmes Sturdivant Lecture Hall) 2:00 pm - 3:30 pm. ... 7:00 pm. Ocho de Mayo Dinner. San Pasqual ...
Read more

Chem 51LC Wk 7 - Sites@UCI — Simple Websites & Blogs

Chem 51LC Wk 7 Spring ‘15 ... Hang in there! You can do it! Week 8 = last required lab lecture! Get ... http://violentmetaphors.com/2013/08/25/how-to ...
Read more

Lecture 07 - YouTube

Lecture 07 - Nonobviousness 1 ... Lecture 7 | Modern Physics: Special Relativity ... Lecture 06 - Duration: 1:08:14. matsciencechannel 30 views.
Read more

Department of Mathematics - Imperial College London

Department of Mathematics ... HXLY 213 - Clore Lecture Theatre Monday Lecture, Wk 7 M1S ... Test, 08:00-10:00, Wk 1 Maths First Year
Read more

Biology 101

LECTURE- MWF 9:10 to 10:00 a.m. in ... (2 hr) on Monday, December 10. EXAM REVIEW SESSIONS - 7:30 to 9:00 p.m ... 08-lec-wk-01-intro-seed germ ...
Read more

Music in Western Civilization 1780-2013 - YouTube

Music in Western Civilization 1780-2013 by Andrew Cashner; ... 08. Play next; Play now ... Wk. 7, Lecture 13: ONLY 0-6:30. 10:01.
Read more

2015 HC SEMESTER 2 Module timetable - PHYS162 H2 (A ...

Lecture Room - 200 - (R) Tutorial, Wk 32, 2015/08/06 Module: ... Page 7, published 2015/12/23 ... Thursday 2015/10/08 Wk 41, 2015/10/09 Module: PHYS162
Read more

VERSION: Date 28/08/2012

VERSION: Date 28/08/2012 ... Wk 7 (8th Oct) WS WS WS Wk 8 (15th Oct) BB BB BB ... Junior Freshman Direct Entry Special lectures Junior Freshman, Chemistry ...
Read more

LEARNING OBJECTIVES AND READINGS FOR CHEM 115, FALL 2008

LEARNING OBJECTIVES AND READINGS FOR CHEM 115, ... If you know someone who did not attend lecture on August 25 because ... 7/25/2008 4:59:01 PM ...
Read more