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Social Capitalism A study of Christian democracy and the welfare state Social Capitalism A study of Christian democracy and the welfare state Kees van Kersbergen LONDON AND NEW YORK First published 1995 by Routledge 11 New Fetter Lane, London EC4P 4EE Simultaneously published in the USA and Canada by Routledge 29 West 35th Street, New York, NY 10001 Routledge is an imprint of the Taylor & Francis Group This edition published in the Taylor & Francis e-Library, 2005. “To purchase your own copy of this or any of Taylor & Francis or Routledge’s collection of thousands of eBooks please go to www.eBookstore.tandf.co.uk.” © 1995 Kees van Kersbergen All rights reserved. No part of this book may be reprinted or reproduced or utilized in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage and retrieval system, without permission in writing from the publishers. British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging in Publication Data A catalogue record for this book has been requested ISBN 0-203-42958-3 Master e-book ISBN ISBN 0-203-73782-2 (Adobe eReader Format) ISBN 0-415-11670-8 (Print Edition) Contents List of tables v Acknowledgements vii List of abbreviations x 1 Introduction 1 2 The welfare state and Christian democracy: An 6 introduction 3 The political entrenchment of Christian democracy in 31 Western Europe, 1870–1960 4 Christian democracy in Germany, Italy and the 63 Netherlands: A closer comparison 5 Welfare state regimes and social spending 98 6 The quality of welfare state regimes 126 7 The structure of welfare state regimes 149 8 Social capitalism and Christian democracy 175 9 Catholicism and social citizenship: From charity to social 193 justice? 10 The intellectual origins of Christian democracy and 206 social capitalism 11 Conclusion 230 Appendix 249 Notes 257 References 263 Index 286 Tables 3.1 Christian democratic parties in continental Western Europe 50 and Ireland 3.2 Membership and electoral strength of Catholic/Christian 54 democratic parties in continental Western Europe and Ireland, 1945–60 (or nearest year) 3.3 Government record of Christian democracy in continental 55 Western Europe and Ireland, 1945–60 5.1 Expenditure of social security schemes as a percentage of 101 gross domestic product, 1960 and 1980 5.2 OLS regression, dependent variable=social security 103 expenditure, 1960 and 1980 5.3 Pension expenditure as a percentage of GDP, 1960 and 1980 105 5.4 Pension coverage ratios among population aged 15–65, 1960 106 and 1980 5.5 Net pension replacement rates for singles and couples, 1960 107 and 1980 5.6 Number of people over 65 years of age as a proportion of total 109 population, 1960 and 1980 5.7 OLS regression, dependent variable=pension spending, 1960 111 and 1980 6.1 Weighted average net replacement rates, average net 127 replacement rates and average coverage ratios of major social security schemes, 1960 and 1980 6.2 OLS regression, dependent variable=weighted average net 128 replacement rates of major social security schemes, 1960 and 1980 6.3 Privileging of families in net average production worker’s 138 wage, 1960 and 1980 6.4 Privileging of families in disposable income in 1976 140 6.5 OLS regression, dependent variable=family bias in tax- 141 benefit regimes, 1980 6.6 OLS regression, dependent variable=cash-benefit bias in 144 welfare states, 1960 and 1980 6.7 OLS regression, dependent variables=labour force 147 participation rates: total, male and female, 1960 and 1980 vi 6.8 Growth of female labour force as a percentage of female 148 population from 15 to 64, 1960–80 7.1 OLS regression, dependent variable=bi-and tripartism in 150 social security administration, 1980 7.2 Financing of social security schemes, shares of insured, 152 employers and the state, 1960 and 1980 7.3 Benefit structure and benefit inequality of pensions in 1960 153 and 1980 7.4 OLS regression, dependent variable=fragmentation in social 155 security schemes in 1980 7.5 Cash transfers as a percentage of gross earnings of a married 169 couple with two children at the level of an average production worker, 1972–6 7.6 Disposable income as a percentage of gross earnings at the 171 level of an average production worker in 1978, selected household compositions 7.7 Percentage change in disposable income as percentage of 172 gross earnings, moving from one household composition to another, at the level of an average production worker in 1978 7.8 OLS regression, dependent variable=absolute values of 174 column 4, Table 7.7 Acknowledgements Christian democracy has attracted surprisingly little scholarly attention. Whereas studies of social democracy could easily fill a small library, monographs on the Christian-inspired movements of Western Europe would probably scarcely fill a single bookshelf. Given the political importance of Christian democracy I have always found such lack of concern with the phenomenon quite perplexing. In the course of my studies I have noticed that occupying oneself with Christian democracy out of intellectual curiosity tends to bring out scepticism from those who have never seriously thought about the topic. They have sometimes doubted my motives. Each time I presented my work somewhere, somebody always felt obliged to ask whether I was perhaps religious myself. Apparently, it is difficult to imagine that Christian democracy can be an intriguing object of study in itself. One does not have to believe in the Christian democratic project in order to study it, just as one does not have to be a fool to study madness. The most cordial reaction I ever got was when someone praised my courage to tackle the topic, probably contending that masochism is a prerequisite for martyrdom. Trying to explain that Christian democracy is related to the welfare state has not been an easy matter either. The possibility of the connection seems to be excluded in the minds of many ‘critical’ social scientists. It is ‘common wisdom’ that Christian democracy inhibits a happy life for all. But how do we know? Let us postpone value judgments until knowledge permits us to assess the movement’s virtues and vices properly. Fortunately, the academic entourage of the European University Institute in Florence has provided me with an intellectual environment wherein my original attempt to make sense of Christian democracy and the welfare state has been more than encouraged. Here I have come across very little prejudice. The Institute’s openness and its international character have given me a unique opportunity to carry out this study. I am grateful to the Dutch Ministry of Education and the European Community for providing me with the grants that viii allowed me to write a dissertation on the topic and survive financially. If altruism and generosity have lost much of their content in contemporary personal relationships, Gøsta Esping-Andersen has certainly made a great effort to refresh the genuine meaning of the concepts (and note that unlike charity—altruism does not imply the submission of the recipient to the benefactor). His influence on this study is unmistakable and I do not regret it for a moment. It is certainly not a ‘bad idea’ to ask under what conditions some do and some don’t. I thoroughly disagree with him on only one minor detail. The first rule of sociology is that ‘everything took longer’. The initial idea for this study was conceived when I was at the Political Science Department of the University of Amsterdam. I wish to thank Uwe Becker for making me aware of the fact that Dutch exceptionalism may be as much due to the peculiarities of this nation as to the hidden assumptions of theories of the welfare state. He taught me the importance of a critical spirit. The collaboration with Dietmar Braun has contributed much to my understanding of Christian democracy and the original project was a direct result of a seminar on Christian democracy that we held in 1986–7. I also wish to thank him for his critical suggestions. During my stay in Florence I participated in several seminars which gave me the opportunity to present the preliminary results of my research. I wish to thank all the participants for their efforts to read and comment upon my usually too wordy papers. My gratitude goes especially to Mary Daly, Johan De Deken, Bernhard Ebbinghaus, Maurice Glasman, Stephen Hopkins, Jürgen Kohl, Philippe Marlière, Veronica Muñoz Dardé, Declan Murphy, James (Jim) Newell, Fritz von Nordheim-Nielsen, Lasse Ringius, David Thomas, Philippe van Parijs and Axel West Pedersen. If you read this work carefully, you will certainly recognise bits and pieces of your own remarks and miss the most important ones. My friend Zina Assimakopoulou deserves special mention. Together we found out how tedious empirical research sometimes can be. Steven Lukes has encouraged me to think harder, and even harder. Harald Sonnberger has helped me to understand many things, but above all the importance of econometric testing. I wish I could blame him for all the remaining statistical mistakes I have made, but unfortunately they are the result of my own obstinacy. Franz-Xaver Kaufmann, Hans Keman, Roger Morgan and John Stephens kindly gave me their critical comments when this work was still a doctoral thesis. I am also much indebted to the anonymous reader of Routledge for his or her constructive criticism. The participants of the conference on ‘Comparative Studies of Welfare State ix Development: Quantitative and Qualitative Dimensions’ (Bremen, September 1992) allowed me to test the plausibility of the argument. I am especially grateful to Christoph Sachβe for his extensive comments. If it were not for the Swedish Institute for Social Research in Stockholm, I would never have been able to write this book. I would like to thank Walter Korpi for allowing me to use the data-set, Joakim Palme for preparing the data, sending me updates and telling me what I did wrong, and Olli Kangas for sending me such excellent and extensive comments. I also would like to thank Jorma Sipilä for his comments, Eugen Shoenfeld for making me rethink my ideas on charity, Alex Hicks for sending me an encouraging letter at a time I was ready to abandon the whole project, and Bertjan Verbeek for helpful comments. The section on social democracy as a model of the welfare state (Chapter 2) is an adopted and partly amended and extended version of Esping-Andersen and van Kersbergen (1992: 190– 95) and is reproduced, with kind permission, from the Annual Review of Sociology, vol. 18, © 1992, by Annual Reviews Inc. I know it is common practice to be critical of the administration of a university. Unfortunately, in the case of the European Institute I cannot think of anything important to complain about. The staff of the EUI library have been helpful in many ways. I particularly would like to thank Peter Keneally. The Department of Political Science and Public Administration of the Vrije Universiteit, Amsterdam kindly allowed me to return to Italy for some months to prepare the manuscript. I also wish to thank Andreas Frijdal and Chris Colinet for their friendship, hospitality and for the many occasions on which they gave me the opportunity to satisfy some of my non-academic needs. Beatrijs de Hartogh has taught me, among other things, what ‘harbour the homeless’ as one of the positive connotations of charity means. The people from Faella, particularly Anna, Roberto, the late Primo, Anita (Stella), Giuliana, Bistino, Beppe and Filomena, have introduced me to real Italian life. Bep and Corry, my parents, have contributed to this work in their own peculiar manner. I can show my gratitude now that—for the moment at least -we are all back in the Netherlands. Of course, I should also thank my wife, Inger Stokkink, but I already did that yesterday and today, and I will do so again tomorrow.

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