Dilemmas of the Welfare Mix. The New Structure of Welfare in an Era of Privatization
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1 Dilemmas of the Welfare Mix The New Structure of Welfare in an Era of Privatization
2 NONPROFIT AND CIVIL SOCIETY STUDIES An International Multidisciplinary Series Series Editor: Helmut K. Anheier London School of Economics and Political Science London, United Kingdom CIVIL SOCIETY AND THE PROFESSIONS IN EASTERN EUROPE Social Change and Organizational Innovation in Poland S. Wojciech Sokolowski DILEMMAS OF THE WELFARE MIX The New Structure of Welfare in an Era of Privatization Edited by Ugo Ascoli and Costanzo Rand MEASURING THE IMPACT OF THE NONPROFIT SECTOR Edited by Patrice Flynn and Virginia A. Hodgkinson NEIGHBORHOOD SELF-MANAGEMENT Experiments in Civil Society Hillel Schmid PRIVATE FUNDS, PUBLIC PURPOSE Philanthropic Foundations in International Perspective Edited by Helmut K. Anheier and Stefan Toepler WORKFORCE TRANSITIONS FROM THE PROFIT TO THE NONPROFIT SECTOR Tobie S. Stein A Continuation Order Plan is available for this series. A continuation order will bring delivery of each new volume immediately upon publication. Volumes are billed only upon actual shipment. For further information please contact the publisher.
3 Dilemmas of the Welfare Mix The New Structure of Welfare in an Era of Privatization Edited by UGO ASCOLI University of Ancona Ancona, Italy and COSTANZO RANCI Polytechnic of Milan Milan, Italy SPRINGER SCIENCE+BUSINESS MEDIA, LLC
4 ISBN ISBN (ebook) DOI / Springer Science+Business Media New York Original1y published by K1uwer Academic/P1enum Publishers, New York in 2002 Softcover reprint of the hardcover 1 st edition A C.I.P. record for this book is available from the Library of Congress. Ali rights reserved No part of this book may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, microfilming, recording, or otherwise, without written permission from the Publisher
5 Contributors Edith Archambault, Universite de Paris 1 - Sorbonne, Matisse, Maison des Sciences Economiques, 106 Bd de l'hopital, Paris Cedex 13, France Ugo Ascoli, Universita di Ancona, Facolta di economia, Piazzale Martelli, 8, Ancona, Italy Judith Boumendil, Universite de Paris 1 - Sorbonne, Matisse, Maison des Sciences Economiques, 106 Bd de l'hopital, Paris Cedex 13, France Magne Eikas, H0gskulen i Sogn og Fjordane, Avdeling for Samfunnsfag, 6851 Sogndal, Norway Adalbert Evers, Justus-Liebig-Universitiit Giessen FB 9, Bismarckstr. 37, D Giessen, Germany Guida Obrador, CRID-Diputaci6 de Barcelona, Salvador Mundi, 6, Barcelona, Spain Emmanuele Pavolini, Istituto di Studi Storici, Sociologici e Linguistici, Facolta di Economia, Universita degli Studi di Ancona, Piazzale Martelli, n. 8, Ancona, Italy Costanzo Rand, Politecnico di Milano, DIAP, Via Bonardi 3, Milano, Italy Sebastian Sarasa, Universitat Pompeu Fabra, Dpt. Ciencies Politiques I Socials, Ramon Trias Fargas, 25, Barcelona, Spain Per Selle, Norwegian Research Center in Organization and Management, Rosenbergsqt. 39, 5015 Bergen, Norway Christoph Stninck, Department for Political Sciences at the Heinrich Heine Universitiit, Dusseldorf, Universitiitsstr. 1, D Dusseldorf Marilyn Taylor, Health and Social Policy Research Centre, University of Brighton, Falmer, BNI 9PH, United Kingdom v
6 Preface This book is the result of collective research, which lasted several years and was conducted by scholars from six different European countries. When we first met to discuss this project, our main aim was to collect studies and develop a common framework for considerations on the deep transformations characterizing welfare policies, due to fiscal problems which emerged in the early 1990s. It seemed clear to us, at that time, that terms such as 'privatization', 'commercialization', 'contract culture' and 'new managerialism' were only partially adequate to picture what was happening, and that it was necessary to develop a type of analysis able to frame together empirical research with a deeper conceptual and theoretical insight. The scholars engaged in the present research have agreed to participate in a quite complex project, aimed, at the same time, at an empirical analysis conducted on a national basis, at a theoretical study able to foster a common conceptual framework and at a collective effort for an ex post reexamination of the consistency and the strength of theoretical frameworks used in the research. The book is not, therefore, just a presentation of national case studies. It is, instead, the result of a common reflection by all contributors and editors, even if the final responsibility for the aggregate outcome and the general (not single-country-based) chapters belongs to the editors. As it happens usually in comparative studies, this one too needed quite a significant amount of financial resources. We must thank FiVol (Italian Foundation for Volunteering) for covering all expenses related to group meetings, which have involved up to 12 people. Two seminars, held in Rome in two different years, were organized to prepare the common framework of analysis. In the first seminar, the theoretical and general setting for the national case studies was discussed. In the second one, there was a primary presentation and a debate of drafts of single countries' chapters and discussion on how to develop a comparative cross-national analysis. Due to the amount of data collected and the complexity of issues arising from them, it has been particularly difficult to shape the final version of this book. We thank Helmut Anheier for his interest in the overall approach followed by this research and for suggesting Plenum as a potential publisher for the present work. Preliminary versions of different chapters and the main results of the whole study have been presented at international conferences organized by ISTR (International Society of Third Sector Research) and by ARNOVA vii
7 viii PREFACE (American Research on Nonprofit Organization and Voluntary Action). We would like to thank all those who have given us useful comments, and, in particular, Diane Kaplan-Vinokur (University of Michigan), whose suggestions have been quite accurate and detailed. Many different people have helped to make this book possible, and the contributors and the editors thank all of them. Among others we would like to acknowledge three people who have worked at FiVol-Renato Frisanco, Cesare Graziani and Luciano Tavazza-who have believed in this project and have facilitated it very much, making the two meetings in Rome quite pleasant and well organized, in the best tradition of Italian hospitality. MILAN, November 2001 U.A. and C.R.
8 Contents Chapter 1: The Context of New Social Policies in Europe 1 Ugo Ascoli and Costanzo Ranci 1.1. Introduction Two Forms of Privatization The Meaning of Privatization The Dilemmas of the 'Welfare Mix' The Consequences of Privatization Methodology 22 Chapter 2: The Mixed Economy of Social Care in Europe 25 Costanzo Ranci 2.1. The Mixed Economy of Social Care Different Patterns of the Welfare Mix in Social Care Modes of Coordination between the State and the Third Sector with Respect to the Level of Social Care Provision The Role of the Third Sector in Social Care: Beyond Partnership 40 Chapter 3: A Contract Culture even in Scandinavia 4 7 Magne Eikds and Per Selle 3.1. Introduction: From Mutual Trust to Contracting The Historical Relationship between Government and Voluntary Social Service Organizations The 'Contract Culture' The Implementation of Contracts The New Challenge from the Market Conclusions 71 Chapter 4: Government, the Third Sector and the Contract Culture: the UK Experience so far 77 Marilyn Taylor 4.1. Introduction The Changing Relationship The Contract Culture in Social Care 84 ix
9 X CONTENTS 4.4. Analysis of Current Impact 4.5. The Third Sector in Welfare Delivery 4.6. Partner or Agent? The Third Sector in Governance 4.8. Summary 4.9. The Future Chapter 5: Dilemmas of Public/Private Partnership in France Edith Archambault and Judith Boumendil Introduction Historical Background The Functioning Mechanisms of the Welfare Mix The Involvement of Non-profit Organizations in the Definition of Policies The Changing Structure of the Third Sector Conclusion 132 Chapter 6: The New Partnership: The Changing Relationship between State and the Third Sector in the Scenario of New Social Policies in Italy 135 Ugo Ascoli, Emmanuele Pavolini and Costanzo Ranci 6.1. Introduction Historical Background The New Scenario of the Welfare Mix in the 1990s The Mechanism of the New Welfare Mix The New Shape of the Third Sector Policy Orientations and Dilemmas for the Future 158 Chapter 7: Answers without Questions? The Changing Contract Culture in Germany and the Future of a Mixed Welfare System 165 Adalbert Evers and Christoph Stranck 7.1. Introduction: The Challenges Behind Contract Making and the Main Arguments and Observations of the Country Study Peculiarities of the German System of State-Third Sector Interrelations Illustrating Hallmarks of the Changing Contract Culture-Six Case Studies Conclusions 188
10 CONTENTS ~ Chapter 8: Spain: Steps Towards Partnership and Marketization 197 Sebastian Sarasa and Guida Obrador 8.1. Introduction Historical Legacy Third Sector and Services Provision: Actors, Targets and Resources 8.4. Heterogeneous Mixing of Advocacy and Services Provision 8.5. Reforms in Progress: Delegation of Powers or Shared Government? 8.6. The Effects of Greater Partnership and Markets Conclusions Chapter 9: Changes in the Welfare Mix: The European Path References Index Ugo Ascoli and Costanzo Ranci 9.1. The Need for Change 9.2. Which Policies/Which Measures 9.3. The Paradoxes of Marketization 9.4. The Impact on the Welfare Mix Structure 9.5. Marketization: A Revolution Betrayed
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