How are the German and the British social security systems comparable? What are the problems when evaluating welfare states? A short overview.
Table of Contents
1 Social security system – Germany
1.1 Historical background
1.2 Political background
1.3 Individual insurance
1.3.1 Pension system
1.3.2 Health care
1.3.3 Family
1.3.4 Accident
1.3.5 Unemployment
2 Great Britain
2.1 Historical background
2.2 Political background
2.3 Individual insurance
2.3.1 Pension
2.3.2 Health care
2.3.3 Family
2.3.4 Accident insurance
2.3.5 Unemployment
3 To put in a nutshell
4 Evaluation of welfare states
Research Objectives and Themes
This paper aims to analyze and compare the social security systems of Germany and Great Britain, examining their historical developments, political foundations, and individual insurance structures to understand the challenges of evaluating welfare states.
- Comparative analysis of German and British social security models.
- Historical evolution of welfare provision from the 19th century to the present.
- Examination of specific insurance pillars: pension, health care, family, accident, and unemployment.
- Evaluation of market models, specifically comparing Germany’s coordinated market economy with Britain’s liberal market economy.
- Discussion on methodological challenges in comparative welfare state research.
Excerpt from the Book
1.1 Historical background
Germany as well as Austria are pioneers on the field of social security provided by the state. The beginnings reach back to the 19th century – when following insurances were developed: 1883 health insurance, 1884 accident insurance, 1889 old-age insurance/diability insurance, 1927 unemployment insurance, 1995 the compulsory long term care insurance.
The chancellor Bismarck wanted to prevent a revolution of the socio-democratical party so he developed the social insurance law. During the industrial revolution the economical and social problems got really critical (e.g. accident danger in fabrics). Still in the very beginning the social insurance was by far not enough to cover the basic needs of human. The fee and the performance are coherent because the insurance was established for the employees that basically excludes the thought of minimum collateral. Germany still is a “conservative welfare state” or in other words Germany owns the “Bismarck Model”.
In the decades after world war II the insurance system extended and benefits and members enlarged. In the 1950s the government decided to bind the insurance on the income of the people. In the 70s the German economy shrank because of the demographical change and rising unemployment rates and a lot of cut-backs had to take place. Also in the 90s when both parts of Germany reunited it was a big challenge for the social security system. But despite all prognosis it was quite a stable change. The German system still seems to be quite stable but the annuity insurance is endangered for there are demographically too less people to carry the financial burden of the insurance.
Chapter Summaries
1 Social security system – Germany: Details the historical emergence of the German social security system and its current structure based on the Bismarck Model, focusing on specific insurance branches like health, pension, and unemployment.
2 Great Britain: Examines the development of the British social security net, characterized as a liberal-collectivist system based on the Beveridge concept of citizenship and universal rights.
3 To put in a nutshell: Contrasts the German coordinated market economy with the British liberal market economy, highlighting differences in skill equilibria and welfare approaches.
4 Evaluation of welfare states: Discusses the methodological hurdles in comparing welfare states, emphasizing the need to move beyond purely monetary statistics toward a more comprehensive view of welfare pluralism.
Keywords
Welfare State, Germany, Great Britain, Bismarck Model, Beveridge System, Social Security, Pension System, Health Care, Unemployment Insurance, Coordinated Market Economy, Liberal Market Economy, Social Policy, Welfare Pluralism, Comparative Research, Sustainability.
Frequently Asked Questions
What is the core focus of this research paper?
The paper focuses on an international comparison between the German and British welfare systems, analyzing their structural differences and their respective approaches to social security.
Which key areas of social security are discussed?
The work covers essential insurance areas including pension schemes, health care provision, family support, accident insurance, and unemployment benefits.
What is the primary objective of this comparison?
The goal is to understand how these different social security systems function and to address the inherent problems and complexities when evaluating different national welfare states.
Which scientific methodology is utilized in this paper?
The author employs a comparative institutional analysis, drawing upon historical development, political context, and socioeconomic frameworks to contrast the two nations.
What is the main subject of the chapters?
The main sections detail the evolution and current mechanisms of social insurance in Germany and Britain, followed by a summary of their economic differences and a critical reflection on how welfare states should be evaluated.
Which terms characterize this work?
The work is characterized by terms such as "Bismarck Model," "Beveridge System," "conservative welfare state," "liberal market economy," and "social insurance state."
How does the author define the German pension system?
The author defines it as being based on the "generation contract," where the currently working generation finances the pensions of retirees to maintain their life standards.
What is the specific nature of the British "Jobseeker’s Allowance"?
It is described as a system that combines contribution-based and income-based support for the unemployed, requiring active job searching and participation in government programs like "New Deal."
What does the author suggest to improve future comparisons of welfare states?
The author proposes moving beyond simple monetary data and OECD statistics by involving welfare pluralism and evaluating the interests of all involved parties, rather than just focusing on public institutions.
- Quote paper
- BA Susanne Obermaier (Author), 2009, Comparison of the German and the British welfare system, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/187779
