Infusing Public Law into Privatized Welfare: Lawyers,Economists, and the Competing Logics of Administrative Reform

Along with the trend toward “New Public Management” (NPM) and replacing the legal culture of public bureaucracies with market logic through privatization, we are also witnessing instances of “publicization,” the application of public law norms and mechanisms to privatized services. The article explores the role of government lawyers and economists in the dynamics of these administrative reforms. Using a detailed case study of welfare‐to‐work reform in Israel, it shows that the reconstruction of decision making and accountability patterns under NPM was the result of competing efforts by these professional groups to appropriate the “privatized state” to accord with their own institutional logics and interests. While economists advanced a “market” logic, lawyers tried to reproduce the logic of “law” in the post‐bureaucratic setting. The study demonstrates how eventually public law norms were re‐infused into privatized welfare as a result of the increasing institutional power of the lawyers in the regulatory space, along with wider political and social support for the entrenched legalistic mechanisms of the administrative state. However, in addition to the “battle of norms” between lawyers and economists, there were also concessions that led to the redrawing of the boundaries of public law along more functional, rather than formal, lines.     

Public and Parliamentary Attitudes to Welfare

One of the core functions of parliament in the United Kingdom is arguably to represent the views of the people. While opinions differ as to the precise nature of this representation, one would expect to find a broad measure of comparability between public opinion and the opinions of those representing the public in parliament.

This article examines the extent to which shifts in political attitudes towards the welfare state have been reflected in public opinion, particularly since the election of New Labour in 1997. Using data derived from a series of interviews with MPs from all sides of the House of Commons, and information on public attitudes to welfare collated from the British Social Attitudes survey, it seeks to identify and explain areas of disagreement and consensus in public and parliamentary attitudes to welfare. It focuses in particular on questions regarding commitment to state welfare provision, priorities in welfare spending and attitudes towards funding for welfare services.     

The Meat in the Sandwich: Welfare Labelling and the Governance of Meat‐chicken Production in Australia

This article critically examines the degree to which higher‐animal welfare label claims change animal welfare regulation and governance within intense meat‐chicken ('broiler') production in Australia. It argues that ethical labelling claims on food and other products can be seen as a ‘governance space’ in which various government, industry and civil society actors compete and collaborate for regulatory impact. It concludes that ethical labelling can act as a pathway for re‐embedding social concerns in the market, but only when it prompts changes that become enshrined in standard practice and possibly the law itself. Moreover, the changes wrought by ethical labelling are small and incremental. Nevertheless, labelling may create ongoing productive tension and ‘overflow’ that challenges the market to listen to and accommodate actors (including animals) on the margins to create ongoing incremental changes.     

The Odyssey of the Regulatory State: From a “Thin” Monomorphic Concept to a “Thick” and Polymorphic Concept

This article assesses the “odyssey” of the regulatory state from a mere American thin and monomorphic concept to a global, thick and polymorphic concept that captures some of the more important features of the capitalist–democratic state. The burgeoning literature on the regulatory state presents a confusing number of images and characterizations that are increasingly conflicting, and it too often presents a monomorphic conception of the regulatory state. The article suggests that we need to define the regulatory state rather than merely characterizing it. And we need to do so in a manner that will allow us to move beyond the specific institutional features of a certain era, nation, region, or sector. Rather than contrasting regulation with distribution and redistribution, and contrasting the regulatory state with other forms of state, I treat the regulatory state as one morph of the polymorphic capitalist state, a morph that may help constitute other morphs (such as the welfare state and the developmental state) instead of replacing them. This in turn may help remove the artificial walls between the regulatory scholarly community and other social scientists, and promote more fruitful social science.     

“What Rights?” The Construction of Political Claims to American Health Care Entitlements

Despite a growing health care crisis, Americans remain reluctant to treat “health security” as a right or entitlement of citizenship. This article examines the effects of unmet health care needs on the beliefs that individuals hold about family, market, and state responsibility for health security. Drawing on a study of individuals caring for family members with chronic diseases, I find that when imagining solutions to unmet long‐term care needs, individuals evaluate a range of alternative social arrangements, but they select the model that is most consistent with previously existing beliefs about family, market, and state responsibility for care provision. This process of discursive assimilation, of integrating new needs for public provision with more familiar ways of thinking about social welfare, produces claims for entitlements that challenge existing social arrangements but do so within a welfare state framework that conceives of only a minimal role for the state in safeguarding social welfare.     

What “Regulatory State”? Explaining the Stability of Public Spending and Redistribution Functions after Regulatory Reforms of Electricity and Rail Services in the United Kingdom and Germany

In Europe, the rise of the regulatory state was accompanied by a broad diffusion of research on the processes of privatisation, liberalisation, and reregulation of utilities, previously managed directly by the state. This article offers an empirical and theoretical discussion of the paradigm of the regulatory state. It proposes to evaluate the transformation of the actual functions of the welfare state in a context of reforms of network industries over the last twenty years. Relying on cases from the electricity and railways sectors, it studies the changing balance between the traditional functions of the welfare state and the new regulatory functions introduced by the reforms. This article explains how, alongside the strengthening of regulatory functions, states maintained and developed powerful redistribution functions. The emerging regulatory state is not substituted for the positive/welfare state, but partly juxtaposed with it, making the structures for governing these sectors much less easy to read.     

A New Leviathan: Benefit Sanctions in the Twenty‐first Century

This article highlights the spectacular growth of benefit sanctions in the United Kingdom which, at their peak, exceeded the number of fines imposed in the criminal courts. It proposes a three‐fold typology of monetary sanctions – punitive judicial sanctions, exemplified by court fines, regulatory administrative sanctions, exemplified by parking penalties, and disciplinary administrative monetary sanctions, exemplified by benefit sanctions – and compares them in terms of their main aims, how they are imposed, whether the interests of those sanctioned are protected, their severity, the socio‐economic characteristics of offenders, the hardship caused, how proportionate they are, and whether they are compatible with justice. It argues that they are particularly problematic because their severity causes great and disproportionate hardship, and because, in addition to punishing offenders, they also attempt to discipline them by managing their behaviour, and concludes that, in the United Kingdom, they function as a key instrument for disciplining and managing the poor.     

Incapacity,the Labour Market and Social Security: Coercion into ‘Positive’ Citizenship

The article examines the likely evolution of the social security system in the United Kingdom in the aftermath of the Welfare Reform Act 2007. This recent legislation is paradigmatic of the new ideology and modes of thought which currently form the foundation of the modern welfare state, an institution increasingly viewed as a facilitator for individual self‐sufficiency, as opposed to its traditional role of providing temporary financial support in periods of need. In addition, it is likely that the Act has promoted at least some changes in the concept of citizenship, in particular the contemporary emphasis on responsibilities as much as on rights. The article considers whether the Act itself has succeeded in meeting the rhetorical claims made for it by legislators during the passage of the Welfare Reform Bill through Parliament. The question of whether the Act contains a punitive or even coercive element is also examined.     

福利社会与发展中的斯堪的纳维亚福利国家

欧洲各国致力于福利国家的建设已逾百年,经历了两次世界大战.各国在社会投入水平和福利机构方面的巨大差异至今仍在,但是各国对于福利社会的可持续性的认可和公众对福利社会的高度承诺则是基本一致的.各福利社会有来自各方面的维系:中央政府或地方政府、公司企业、家庭和自发组织的机构.不同的福利社会体系与它们之间的关系长期以来对欧洲各福利国家有着不同的意义,形成了具有不同特点的福利制度.在20世纪最后十年里重建福利国家的痛苦过程中,经济增长和社会发展之间的关系一直是整个斯堪的纳维亚地区社会问题的争论热点.然而到目前为止,效率与平等之间的冲突大多得到了解决,在北欧五国都保持了福利政策的稳定.该地区独特的历史经验并不排斥发展中国家的政府和机构为了发展福利事业而积极推行普及政策所做出的努力.     

Waiting for Enron: The Unstable Equilibrium of Auditor Independence Regulation

A primary function of auditor independence regulation is to ensure that any financial incentives auditors may have to approve misleading or inaccurate accounting are outweighed by market and regulatory deterrents to compromising an auditor's independence. This article is an inquiry into the current state of this incentive equilibrium in the United Kingdom: the possible costs and benefits that may be incurred by auditors if they elect to acquiesce to management's demands to accept problematic accounting. It argues that the equilibrium position currently incentivizes a rational auditor to acquiesce. On the one hand, the article demonstrates that the recent evolution of audit firm revenue streams has provided auditors with a substantial incentive to compromise their independence and provided management with credible sanctions to pressurize them to do so. On the other hand, the article shows that regulatory and market costs of acquiescence do not counterbalance the benefits of acquiescence.     

Antitrust, Marketing Cooperatives, and Market Power

Marketing cooperatives are common in agricultural markets. This article explores their price and welfare effects and relates to antitrust legislation in the United States, the European Union, and some of the EU member states-in particular, Sweden. Welfare is higher with a monopoly cooperative than with a profit-maximizing monopoly, if the scope for price discrimination is small and if the world-market price is low relative to the domestic price. As the world-market price rises (or as price discrimination becomes more important), the welfare effect is reversed. The price-discrimination effect suggests that, as a marketing cooperative integrates vertically, welfare may fall. These results carry over to a duopoly with a cooperative firm and a profit-maximizing firm. In such a duopoly, the cooperative behaves more aggressively and obtains a larger market share. Empirical evidence supports these conclusions.     

Financial Advice,Differentiated Consumers,and the Regulation of Equity‐release Transactions

In an asset‐based welfare context, which encourages the drawdown of housing equity to meet financial needs in later life, it is anticipated that the use of equity‐release products will become increasingly prevalent. In the last decade, and reflecting the strategic significance and high risk associated with this section of the home finance market, targeted equity‐release products (lifetime mortgages and home reversion plans) have come under the regulatory remit of the Financial Conduct Authority (FCA). The FCA's approach to equity release is geared around professional financial and legal advice. Drawing on findings from a new qualitative study, purposively sampled according to socioeconomic circumstances at the time of the transaction, this article explores the role of financial advice within the factors that shape equity‐release decision making, and considers the implications of the FCA's regulatory commitment to the ‘advice paradigm’ in meeting (or not) the needs of a differentiated consumer population.     

The Regulation of Xenotransplantation in the United Kingdom After UKXIRA: Legal and Ethical Issues

Xenotransplantation - the transfer of living tissue between species - has long been heralded as a potential solution to the severe organ shortage crisis experienced by the United Kingdom and other 'developed' nations. However, the significant risks which accompany this biotechnology led the United Kingdom to adopt a cautious approach to its regulation, with the establishment of a non-departmental public body - UKXIRA - to oversee the development of this technology on a national basis. In December 2006 UKXIRA was quietly disbanded and replaced with revised guidance, which entrusts the regulation of xenotransplantation largely to research ethics committees. In this article we seek to problematize this new regulatory framework, arguing that specialist expertise and national oversight are necessary components of an adequate regulatory framework for a biotechnology which poses new orders of risk, challenges the adequacy of traditional understandings of autonomy and consent, and raises significant animal welfare concerns. We argue for a more considered and holistic approach, based on adequate consultation, to regulating biotechnological developments in the United Kingdom.     

Globalization as Boundary‐Blurring: International and Local Law Firms in China's Corporate Law Market

The worldwide expansion of international law firms has generated regulatory battles and workplace conflicts in advanced market economies as well as developing countries. This article uses the case of China to explore the changing global–local relationship in the globalization of the legal profession and to understand the role of the government in constituting the corporate law market. The author argues that the globalization of the Chinese corporate law market is a process of boundary‐blurring and hybridization, by which local firms become structurally global‐looking and global firms receive localized expertise. Boundary‐blurring occurs in law firms' workplaces, in lawyers' career trajectories, and in state regulatory policies. It has produced a localized expertise that can be diffused conversely from local firms to global firms and has partially changed their relationship from collaboration to competition. Consequently, it becomes increasingly difficult for the government to make or enforce any substantive policy to clarify the market boundary between these two types of law firms.     

Birds Behaving Badly: The Regulation of Seagulls and the Construction of Public Space

This article is about the socio‐legal construction of one of the least‐loved birds in the United Kingdom: the ‘seagull'. In particular, it is about how the gull has been brought within the realm of the ‘anti‐social', in a context in which urban‐nesting gulls (of which there are many in the United Kingdom) are cast as causing a great deal of public nuisance, ranging from noise, aggression, and mess, to attacks, injuries, and stress. The article examines the measures adopted by local authorities to regulate the gull population – and to regulate people, in the name of regulating gulls – and shows how a construction of the ‘seagull’ underpins and justifies this regulatory framework. It argues that the story of the regulation of seagulls in the United Kingdom is also a story about the construction of public space, to the point that the measures adopted here challenge the very idea of public space.     

Universal Credit, ‘Positive Citizenship’, and the Working Poor: Squaring the Eternal Circle?

This article examines the potential effects of the Welfare Reform Act 2012 on the United Kingdom social security system, and on claimants. This legislation illustrates new modes of thought and ideology underlying the British welfare state. The introduction of the ‘Universal Credit’ has the potential to solve the ‘poverty trap’, where claimants are better off in receipt of welfare benefits rather than engaging with employment, and may assist low‐paid individuals into ‘positive’ citizenship. However, the practicalities of implementing Universal Credit might undermine legislators’ ambitions. It may be that the Act attempts too much reform to the social security system, trying to impose legislative uniformity on a highly complex set of socio‐economic circumstances which may be impervious to such rationalisation. This could result in the scheme requiring further reform, or even abolition. The ideological and historical underpinnings of Universal Credit are also examined to understand more clearly its nature and structure.     

Distributive Justice and Attitudes Toward the Welfare State

Current debates concerning the viability of the welfare state evoke the question of the social bases of support of the welfare state. Past research has documented fairly consistent relationships between sociodemographic characteristics and attitudes toward welfare policies. Yet, the nature of these relationships is not well understood. In the paper we argue that the level of support for the welfare state is largely determined by the principles of distributive justice espoused by individuals as well as their images of society. We develop a theoretical framework, which outlines the structural relationship between social attributes, principles of justice, perceived conflict, and support for the welfare state. Using data from a recent population survey on the legitimation of inequality, conducted in Israel in 1999 (N = 1057), we test a number of hypotheses. For the empirical analysis we use structural equation modeling with multiple indicators. Our findings reveal substantial support for policies aimed at reducing inequality. At the same time we find strong support for rewards according to merit and unequal earnings distribution. The impact of social attributes on attitudes toward the welfare state is partially mediated by the justice principles and images of society.     

A Strategic Approach to Regulating Unacceptable Forms of Work

Upgrading low‐waged and insecure work is central to contemporary labour and development initiatives, from the UN Sustainable Development Goals to the United Kingdom ‘Taylor Review’. The International Labour Organization's notion of unacceptable forms of work (UFW) is a crucial contribution. Yet the regulatory frameworks that can effectively address UFW are unclear. This article builds on a novel framework ‐ the Multidimensional Model of UFW. Drawing on theoretical literatures at the frontline of regulation scholarship, it proposes a strategic approach to UFW regulation that supports development, acknowledges the constrained resources of low‐income countries, and targets expansive and sustainable effects. Two key concepts are identified: points of leverage and institutional dynamism. Globally‐prominent regulatory frameworks are assessed as a starting point for mapping the strategic approach: the Mathadi Act of Maharashtra, India; Uruguayan domestic work legislation; minimum wages in the global North and South; and United Kingdom regulation of ‘zero‐hours contracts’.