Evaluation of the Swedish Model in terms of welfare state implementations in the globalization process

Emergence of the welfare state within the framework of today?s understanding, especially in the industrialized countries, is based on the late 19th century and beginning of the 20th century. However, institutionalization of the welfare state occurred in the period after the 2nd World War. At the same time, it is known that in this period, Keynesian policies and state interventions started to institutionalize. In this period, purposes like providing social welfare services which increased in terms of quality and quantity, comprehensive umbrella of social security, interception of poverty, fair income distribution, social balance and cohesion, briefly providing a minimum level of income for a life with dignity, played a major role in the rise of social welfare state.But it is also known that, expansion tendency of the welfare state in 1970s, carried high spending, budget deficit, heavy tax burden and borrowing in the financing, with it. This period caused to questioning of Keynesian approach which could not be a solution to emerged crises, stagflation and high levels of unemployment problems and named as financial crisis of the state. It was observed that, the structuring of the welfare state which acquired currency with market failure and which revealed the notion of failure of the state, also brought out the tendency of functions of the state and narrowing its limits with the 1980s generally. Within this framework, liberal economy policies started to gain importance again and a range of reform packages were put in place. It is suggested that, with these measures, a tendency towards the market-compatible welfare models emerged and welfare states began to shrink gradually. Besides the failure of the state, internationalization of the markets, increase of the competition and globalization process are seen as the reasons of this situation.When considering the historical process of the Swedish Welfare State that is mentioned as ?Swedish Model? in the literature with its specific applications in terms of welfare state structuring, progresses are not different from the other welfare states even if it is delayed a little. Study formed the opinion that; when considering the Swedish model, even though the reforms and limitations in the welfare state applications which were made with globalization and liberal effects, did not result in the expected extent, with the recent global crisis, it will continue its existence in the future, even it did not do the same in the past activities and functions.