In: Finance
Explain the model of "the social welfare state", the mission and the main objectives that this model carries.
Firstly we understand what is Social Welfare State? Social Welfare State is a form of government in which the state protects and promotes the economic and social well being of the citizens basedon the Principles of equal opportunity, equitable distribution of wealth and public responsibility for citizens unable to avail themselves of the minimal provisions for a good life.So the welfare state is a combination of democracy, welfare and capitalism.
Elements of Social Welfare Model:
Taxation- It is concerned with how the state taxes the people. Whether it is flat tax, regressive tax or progressive tax. The most common guiding rule of taxation is to levy taxes by the ability to pay.
Social Insurance- It is concerned with how state implements benefits for the unemployed, pensions, maternity and paternity leave and disabilities.
Public Services-Services such as health care can be almost entirely state funded, private insurance based or somewhere in between.Like; In UKhas am almost publicly funded health services, the NHS. Canada offers health services at a provincial level.
In US individuals have e rely on health insurance policies in event of hospitalization and minimal monetary support for the poorer people by the State.
Similar, in Public transport, some countries nationalized the service while it is privatized in some countries.
Mission-To safeguard Social Cohesion and Solidarity and to provide social protection and promote equal opportunities for all citizens, to combat poverty and social exclusion. To promote the interest of individuals, families and communities.
Objective of Welfare State are:The Welfare State is duly bound to provide social security to people. It should provide them with health care, food, shelter and other basic needs of life.
It should ensure equitable distribution of wealth and income among people irrespective of race,caste and creed etc.