Big Data and the Welfare State: How the Information Revolution Threatens Social Solidarity PDF
Preview Big Data and the Welfare State: How the Information Revolution Threatens Social Solidarity
BigDataandtheWelfareState A core principle of the welfare state is that everyone pays taxes or contributions in exchange for universal insurance against social risks such as sickness, old age, unemployment, and plain bad luck. This solidarity principle assumes that everyone is a member of a single national insurance pool, and it is commonly explained by poor and asymmetric information, which undermines markets and creates the perception that we are all in the same boat. Living in the midst of an informationrevolution,thisisnolongerasatisfactoryapproach.This bookexplores,theoreticallyandempirically,theconsequencesof“big data” for the politics ofsocial protection. Torben Iversen and Philipp Rehmarguethatmoreandbetterdatapolarizepreferencesoverpublic insurance and often segment social insurance into smaller, more homogenous, and less redistributive pools, using cases studies of health and unemployment insurance and statistical analyses of life insurance,creditmarkets,andpublicopinion. Torben Iversen is Harold Hitchings Burbank Professor of Political Economy at Harvard University. His most recent book (co-authored with David Soskice) is Democracy and Prosperity: Reinventing CapitalismthroughaTurbulentCentury(2019). PhilippRehmisAssociateProfessorofPoliticalScienceattheOhioState University. His research interests are located at the intersection of PoliticalEconomyandPoliticalBehavior. Published online by Cambridge University Press CAMBRIDGESTUDIESINCOMPARATIVEPOLITICS GENERALEDITOR KATHLEENTHELENMassachusettsInstituteofTechnology ASSOCIATEEDITORS CATHERINEBOONELondonSchoolofEconomics THADDUNNINGUniversityofCalifornia,Berkeley ANNAGRZYMALA-BUSSEStanfordUniversity TORBENIVERSENHarvardUniversity STATHISKALYVASUniversityofOxford MARGARETLEVIStanfordUniversity MELANIEMANIONDukeUniversity HELENMILNERPrincetonUniversity FRANCESROSENBLUTHYaleUniversity SUSANSTOKESYaleUniversity TARIQTHACHILUniversityofPennsylvania ERIKWIBBELSDukeUniversity SERIESFOUNDER PeterLangeDukeUniversity Continuedaftertheindex OTHERBOOKSINTHESERIES ChristopherAdolph,Bankers,Bureaucrats,andCentralBankPolitics:TheMythof Neutrality MichaelAlbertus,AutocracyandRedistribution:ThePoliticsofLandReform MichaelAlbertus,PropertywithoutRights:OriginsandConsequencesoftheProperty RightsGap SantiagoAnria,WhenMovementsBecomeParties:TheBolivianMASinComparative Perspective BenW.Ansell,FromtheBallottotheBlackboard:TheRedistributivePolitical EconomyofEducation BenW.AnsellandJohannesLindvall,InwardConquest:ThePoliticalOriginsof ModernPublicServices BenW.AnsellandDavidJ.Samuels,InequalityandDemocratization:AnElite- CompetitionApproach AdamMichaelAuerbach,DemandingDevelopment:ThePoliticsofPublicGoods ProvisioninIndia’sUrbanSlums AnaArjona,Rebelocracy:SocialOrderintheColombianCivilWar LeonardoR.Arriola,Multi-EthnicCoalitionsinAfrica:BusinessFinancingof OppositionElectionCampaigns Continuedaftertheindex Published online by Cambridge University Press Big Data and the Welfare State How the Information Revolution Threatens Social Solidarity TORBEN IVERSEN HarvardUniversity PHILIPP REHM OhioStateUniversity Published online by Cambridge University Press UniversityPrintingHouse,CambridgeCB28BS,UnitedKingdom OneLibertyPlaza,20thFloor,NewYork,NY10006,USA 477WilliamstownRoad,PortMelbourne,VIC3207,Australia 314–321,3rdFloor,Plot3,SplendorForum,JasolaDistrictCentre, NewDelhi–110025,India 103PenangRoad,#05–06/07,VisioncrestCommercial,Singapore238467 CambridgeUniversityPressispartoftheUniversityofCambridge. ItfurtherstheUniversity’smissionbydisseminatingknowledgeinthepursuitof education,learning,andresearchatthehighestinternationallevelsofexcellence. www.cambridge.org Informationonthistitle:www.cambridge.org/9781009151368 DOI:10.1017/9781009151405 ©TorbenIversenandPhilippRehm2022 Thispublicationisincopyright.Subjecttostatutoryexception andtotheprovisionsofrelevantcollectivelicensingagreements, noreproductionofanypartmaytakeplacewithoutthewritten permissionofCambridgeUniversityPress. Firstpublished2022 AcataloguerecordforthispublicationisavailablefromtheBritishLibrary. LibraryofCongressCataloging-in-PublicationData Names:Iversen,Torben,author.|Rehm,PhilippBenjamin,1977–author. Title:Bigdataandthewelfarestate:howtheinformationrevolutionthreatenssocial solidarity/TorbenIversen,HarvardUniversity,Massachusetts,PhilippRehm,Ohio StateUniversity. Description:Cambridge,UnitedKingdom;NewYork,NY:CambridgeUniversity Press,2022.|Series:Cambridgestudiesincomparativepolitics|Includes bibliographicalreferencesandindex. Identifiers:LCCN2021058391(print)|LCCN2021058392(ebook)|ISBN 9781009151368(hardback)|ISBN9781009151399(paperback)|ISBN 9781009151405(ebook) Subjects:LCSH:Socialsecurity–Politicalaspects.|Bigdata–Socialaspects.|Bigdata– Politicalaspects.|Risk–Sociologicalaspects.|Publicwelfare.|Welfarestate.|BISAC: POLITICALSCIENCE/General Classification:LCCHD7091.I942022(print)|LCCHD7091(ebook)|DDC368.4– dc23/20211215 LCrecordavailableathttps://lccn.loc.gov/2021058391 LCebookrecordavailableathttps://lccn.loc.gov/2021058392 ISBN978-1-009-15136-8Hardback ISBN978-1-009-15139-9Paperback CambridgeUniversityPresshasnoresponsibilityforthepersistenceoraccuracyof URLsforexternalorthird-partyinternetwebsitesreferredtointhispublication anddoesnotguaranteethatanycontentonsuchwebsitesis,orwillremain, accurateorappropriate. Published online by Cambridge University Press BigDataandtheWelfareState A core principle of the welfare state is that everyone pays taxes or contributions in exchange for universal insurance against social risks such as sickness, old age, unemployment, and plain bad luck. This solidarity principle assumes that everyone is a member of a single national insurance pool, and it is commonly explained by poor and asymmetric information, which undermines markets and creates the perception that we are all in the same boat. Living in the midst of an informationrevolution,thisisnolongerasatisfactoryapproach.This bookexplores,theoreticallyandempirically,theconsequencesof“big data” for the politics ofsocial protection. Torben Iversen and Philipp Rehmarguethatmoreandbetterdatapolarizepreferencesoverpublic insurance and often segment social insurance into smaller, more homogenous, and less redistributive pools, using cases studies of health and unemployment insurance and statistical analyses of life insurance,creditmarkets,andpublicopinion. Torben Iversen is Harold Hitchings Burbank Professor of Political Economy at Harvard University. His most recent book (co-authored with David Soskice) is Democracy and Prosperity: Reinventing CapitalismthroughaTurbulentCentury(2019). PhilippRehmisAssociateProfessorofPoliticalScienceattheOhioState University. His research interests are located at the intersection of PoliticalEconomyandPoliticalBehavior. Published online by Cambridge University Press CAMBRIDGESTUDIESINCOMPARATIVEPOLITICS GENERALEDITOR KATHLEENTHELENMassachusettsInstituteofTechnology ASSOCIATEEDITORS CATHERINEBOONELondonSchoolofEconomics THADDUNNINGUniversityofCalifornia,Berkeley ANNAGRZYMALA-BUSSEStanfordUniversity TORBENIVERSENHarvardUniversity STATHISKALYVASUniversityofOxford MARGARETLEVIStanfordUniversity MELANIEMANIONDukeUniversity HELENMILNERPrincetonUniversity FRANCESROSENBLUTHYaleUniversity SUSANSTOKESYaleUniversity TARIQTHACHILUniversityofPennsylvania ERIKWIBBELSDukeUniversity SERIESFOUNDER PeterLangeDukeUniversity Continuedaftertheindex OTHERBOOKSINTHESERIES ChristopherAdolph,Bankers,Bureaucrats,andCentralBankPolitics:TheMythof Neutrality MichaelAlbertus,AutocracyandRedistribution:ThePoliticsofLandReform MichaelAlbertus,PropertywithoutRights:OriginsandConsequencesoftheProperty RightsGap SantiagoAnria,WhenMovementsBecomeParties:TheBolivianMASinComparative Perspective BenW.Ansell,FromtheBallottotheBlackboard:TheRedistributivePolitical EconomyofEducation BenW.AnsellandJohannesLindvall,InwardConquest:ThePoliticalOriginsof ModernPublicServices BenW.AnsellandDavidJ.Samuels,InequalityandDemocratization:AnElite- CompetitionApproach AdamMichaelAuerbach,DemandingDevelopment:ThePoliticsofPublicGoods ProvisioninIndia’sUrbanSlums AnaArjona,Rebelocracy:SocialOrderintheColombianCivilWar LeonardoR.Arriola,Multi-EthnicCoalitionsinAfrica:BusinessFinancingof OppositionElectionCampaigns Continuedaftertheindex Published online by Cambridge University Press Big Data and the Welfare State How the Information Revolution Threatens Social Solidarity TORBEN IVERSEN HarvardUniversity PHILIPP REHM OhioStateUniversity Published online by Cambridge University Press UniversityPrintingHouse,CambridgeCB28BS,UnitedKingdom OneLibertyPlaza,20thFloor,NewYork,NY10006,USA 477WilliamstownRoad,PortMelbourne,VIC3207,Australia 314–321,3rdFloor,Plot3,SplendorForum,JasolaDistrictCentre, NewDelhi–110025,India 103PenangRoad,#05–06/07,VisioncrestCommercial,Singapore238467 CambridgeUniversityPressispartoftheUniversityofCambridge. ItfurtherstheUniversity’smissionbydisseminatingknowledgeinthepursuitof education,learning,andresearchatthehighestinternationallevelsofexcellence. www.cambridge.org Informationonthistitle:www.cambridge.org/9781009151368 DOI:10.1017/9781009151405 ©TorbenIversenandPhilippRehm2022 Thispublicationisincopyright.Subjecttostatutoryexception andtotheprovisionsofrelevantcollectivelicensingagreements, noreproductionofanypartmaytakeplacewithoutthewritten permissionofCambridgeUniversityPress. Firstpublished2022 AcataloguerecordforthispublicationisavailablefromtheBritishLibrary. LibraryofCongressCataloging-in-PublicationData Names:Iversen,Torben,author.|Rehm,PhilippBenjamin,1977–author. Title:Bigdataandthewelfarestate:howtheinformationrevolutionthreatenssocial solidarity/TorbenIversen,HarvardUniversity,Massachusetts,PhilippRehm,Ohio StateUniversity. Description:Cambridge,UnitedKingdom;NewYork,NY:CambridgeUniversity Press,2022.|Series:Cambridgestudiesincomparativepolitics|Includes bibliographicalreferencesandindex. Identifiers:LCCN2021058391(print)|LCCN2021058392(ebook)|ISBN 9781009151368(hardback)|ISBN9781009151399(paperback)|ISBN 9781009151405(ebook) Subjects:LCSH:Socialsecurity–Politicalaspects.|Bigdata–Socialaspects.|Bigdata– Politicalaspects.|Risk–Sociologicalaspects.|Publicwelfare.|Welfarestate.|BISAC: POLITICALSCIENCE/General Classification:LCCHD7091.I942022(print)|LCCHD7091(ebook)|DDC368.4– dc23/20211215 LCrecordavailableathttps://lccn.loc.gov/2021058391 LCebookrecordavailableathttps://lccn.loc.gov/2021058392 ISBN978-1-009-15136-8Hardback ISBN978-1-009-15139-9Paperback CambridgeUniversityPresshasnoresponsibilityforthepersistenceoraccuracyof URLsforexternalorthird-partyinternetwebsitesreferredtointhispublication anddoesnotguaranteethatanycontentonsuchwebsitesis,orwillremain, accurateorappropriate. Published online by Cambridge University Press BigDataandtheWelfareState A core principle of the welfare state is that everyone pays taxes or contributions in exchange for universal insurance against social risks such as sickness, old age, unemployment, and plain bad luck. This solidarity principle assumes that everyone is a member of a single national insurance pool, and it is commonly explained by poor and asymmetric information, which undermines markets and creates the perception that we are all in the same boat. Living in the midst of an informationrevolution,thisisnolongerasatisfactoryapproach.This bookexplores,theoreticallyandempirically,theconsequencesof“big data” for the politics ofsocial protection. Torben Iversen and Philipp Rehmarguethatmoreandbetterdatapolarizepreferencesoverpublic insurance and often segment social insurance into smaller, more homogenous, and less redistributive pools, using cases studies of health and unemployment insurance and statistical analyses of life insurance,creditmarkets,andpublicopinion. Torben Iversen is Harold Hitchings Burbank Professor of Political Economy at Harvard University. His most recent book (co-authored with David Soskice) is Democracy and Prosperity: Reinventing CapitalismthroughaTurbulentCentury(2019). PhilippRehmisAssociateProfessorofPoliticalScienceattheOhioState University. His research interests are located at the intersection of PoliticalEconomyandPoliticalBehavior. Published online by Cambridge University Press CAMBRIDGESTUDIESINCOMPARATIVEPOLITICS GENERALEDITOR KATHLEENTHELENMassachusettsInstituteofTechnology ASSOCIATEEDITORS CATHERINEBOONELondonSchoolofEconomics THADDUNNINGUniversityofCalifornia,Berkeley ANNAGRZYMALA-BUSSEStanfordUniversity TORBENIVERSENHarvardUniversity STATHISKALYVASUniversityofOxford MARGARETLEVIStanfordUniversity MELANIEMANIONDukeUniversity HELENMILNERPrincetonUniversity FRANCESROSENBLUTHYaleUniversity SUSANSTOKESYaleUniversity TARIQTHACHILUniversityofPennsylvania ERIKWIBBELSDukeUniversity SERIESFOUNDER PeterLangeDukeUniversity Continuedaftertheindex OTHERBOOKSINTHESERIES ChristopherAdolph,Bankers,Bureaucrats,andCentralBankPolitics:TheMythof Neutrality MichaelAlbertus,AutocracyandRedistribution:ThePoliticsofLandReform MichaelAlbertus,PropertywithoutRights:OriginsandConsequencesoftheProperty RightsGap SantiagoAnria,WhenMovementsBecomeParties:TheBolivianMASinComparative Perspective BenW.Ansell,FromtheBallottotheBlackboard:TheRedistributivePolitical EconomyofEducation BenW.AnsellandJohannesLindvall,InwardConquest:ThePoliticalOriginsof ModernPublicServices BenW.AnsellandDavidJ.Samuels,InequalityandDemocratization:AnElite- CompetitionApproach AdamMichaelAuerbach,DemandingDevelopment:ThePoliticsofPublicGoods ProvisioninIndia’sUrbanSlums AnaArjona,Rebelocracy:SocialOrderintheColombianCivilWar LeonardoR.Arriola,Multi-EthnicCoalitionsinAfrica:BusinessFinancingof OppositionElectionCampaigns Continuedaftertheindex Published online by Cambridge University Press
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