The anlaysis of neoliberal economic policies between the welfare state and the future of the welfare state

Keynesian economic policies provided rapid economic growth, full-employment and price stability in most of the developed countries from World War II to the end of the 1970s. Labour movement used these policies in order to streghten their power in labour relations. Increasing oil prices led to cost inflation and economic recession end of the 1970s. These conditions increased the rate of unemployment and inflation and decreased social expenditures and welfare state applications. Neoliberal economic policies replaced Keynesian economic policies. This new economic structure effected labour movement. It was the turning point for the trade unions. . The aim of this study is to examine genetic relationship between capitalism and crisis and to examine effects of liberalization of financial markets as suggested by neoliberal paradigm on developing countries and the future of wekfare state.The IMF suggested the same type of precautions to countries of different level of development. In this context, the IMF programmes included also structural terms. Nevertheless undertaking structural reforms in periods of economic weakness gave rise to worries and criticisms that they would increase problems in the economy. Tough, South Korea caught a growth trend applying the IMF recipes, it has not completely resolved its financial problems. Despite that chronic inflationary process has been stopped and high rate of growth and export have been reached in Turkey, they have not positively affected employment yet and the vulnerable structure of the economy is still effective. To preserve the sustainability of growth and debt, the current expenditure deficit must be reduced and risks at social fields must be resolved.The effect of the Asian financial crisis which spread from Thailand to the neighbouring countries, and its impact thereupon are presented. The destructive effects of the crisis now appear to be over. Also Latin America crisis effected all South America countries. The key questions are why did the crisises occur these countries why did The IMF supported programs initially fail to stop the market panic and to prevent recession? The main factor which contributed to the onset and spread of the crisis was financial fragility. IMF supported programs included three main elements : large officail financing packages, abody of structural reforms and macro economic policies to counter the crisis. The content of programs which stress the importance of decisive action is adressed in greater depth. The crisis itself has brought about a rethikning of the way officail financing is provided to address a crisis, including the appropriate size and phasing of IMF support to coutries facing market pressures.Defined as the sustainable increases in per capita incomes and production, economic growth has become the leading determinant of a nation?s wealth or poverty since the industrial Revolution and especially since World War II.In this study, examined neoliberal economy policies and relationship between welfare state affected on the future of welfare state.According to neoliberal approach, economic globalization motivated by market mechanism produces world welfare. However, it has been observed that global social problems such as global poverty accompanied with the process of economic globalization haven?t been solved in the international level. In this study it has been discussed that international social problems such as global poverty accompanying with the process of economic globalization and the works of ILO and UN which search for solutions to these problems have been held and sufficiency level of these has been discussed and it has been focused on the fact that it should be formed an international social welfare policies for an appropriate solution.Keywords:1-Neoliberal Economic Policies,2-Crisis,3-Welfare Economy Oriented Approach,3-Welfare State,4-The Future of Welfare State.