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Neo-liberalism and the role of the state

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Danielle Wright

on 29 November 2010

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Transcript of Neo-liberalism and the role of the state

NEO-LIBERALISM AND THE ROLE OF THE STATE What is Neo-liberalism? If Neo-liberalism is fairly new,
how did our state run before? What caused the shift from
Keynesian to Neo-liberalism? Discussion Question:
Do you agree with the transition
from the Keynesian welfare state
to the Neo-Liberalism state?
What is the role of the Neo-Liberalist
State today? Discussion Question:
The state claims that a reduced spending on
social support will allow individuals to remain
in the labour market rather than relying on social assistance. Do you agree or disagree with this statement?
What does this Neo-Liberal
system tell us? Class Activity:
You are all single mothers/fathers who have
three children. You used to work a precarious
job until recently, when your employer laid off
you and the other half of the staff.

Taking into the consideration the estimate of
your expenses for the necessities of housing
and food:

1. How will you survive and support your family?

2. Can the state provide you any assistance in
this difficult time? There are two lines of defence for maintaing national minimum standards:

1.Commitment to full employment and
provision of universal services

2. Safety provisions for protecting the living
standards of the poor and most vulnerable 1. Full or high employment

- Characterized by over 1.2 million unemployed today
- Created a state that thrives on competition, increasing income inequality 2. Protecting Living Standards

- Neoliberalism does not believe in universal social assistance programs as they are inefficent in providing
service to those who are in need, while also being unaffordable

- The system has made it the individuals responsibility to support themselves through hard times, by providing
weaker social assistance programs decreasing their state role. Less involvement from the State means... Should the state play a role in protecting workers? The main points of neo-liberalism include:

- The rule of the market
- Cutting public expenditure for social services
- Deregulation
- Privatization
- Eliminating the concept of public good or community Globalization Theory
- Neoliberalism is thought as being a result of
globalization Our system was classified as
a Keynesian welfare state Benefits of the Keynesian welfare state for workers included receiving UI/EI and universal social assistance The fiscal crisis generated by budget deficits contributed to questioning of the legitimacy of the Keynesian welfare state What is ironic of this all?

A more balanced assessment might have led to the conclusion that major problems of public debt occurred after the abandonment of Keynesian and the adoption of Neo-liberalism Individuals must heavily rely on charitable organizations Without state support and assistance, those at the bottom such as the working poor will continue to remain at the bottom
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