... conception sees the welfare state as incompatible with the new global economy, which punishes profligate governments and uncompetitive economies. For Esping-Andersen, despite the fact that neither of these views is wrong, 'the standard accounts are exaggerated and risk being misleading' (Welfare States in Transition, p. 2). An argument commonly put forward by those who argue in favour of the welfare state is that it is necessary because 'stable democracy demands a level of social integration that only genuine social citizenship can inculcate' (Welfare States in Transition, p. 9). Indeed, Andersen points out that albeit heavy social contributions and taxes, high and rigid wages, and extensive job rights tends to favour high rates of unemployment (as we can see by the example of France, with a usual 10% minimum of unemployment rates), draconian roll-back policies also tend to prove counter-productive: they increase poverty and polarization, and disturb social order leading to rising ...

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