Analysing the Mediterranean Welfare State in the Context of the Southern Europe: Economic Changes and Political Challenges Facing the Future

A wide panoramic view will be shown analysing the evolution of Latin Welfare State (WS), the changes about in the contents and management, the lights and shadows of the expansion period, the effects of this national economic model, that is socio-economic crisis and also political and institutional. All of them developed inside a double process of Europeanization and decentralization in a multilevel government. Hence, in addition to having financial consequences, its instability impacts upon its own capacity to act and upon its complicated legitimacy and governance. Nowadays the WS has to face different priorities (i.e.:high unemployment and relative poverty) traditional and new problems and social risks (i.e: inefficient redistribution, low skilled workers, strongly dualized labour market) challenges and new designs (i.e.:better administrative coordination, activation, flexi-cure, reconciliation work-family policies). Simultaneously the role of new actors beyond the State grows (non-formal and non-profit sectors, private market, social movements and even neo-patronage forms and creative ways) in its decision-making and implementation. So the prominence of the different public and social partners with respect to citizens’ welfare is shifting, although the family networks retain their role for support, particularly in times of recession. Consequently, it has been progressively necessary to reshape our mixed welfare system, as well as to redefine the role of the public sector. Including this change, it is accepted the need of multiple reforms (renewal of enterprises, recapitalization of labour and refocusing of financial system) in order to transform the unsustainable productive model. And especially stressed is the requirement to look for new resources and employments in strategic sectors. The post-Keynesian WS is undergoing constant material readjustments and the consequent strategic reforms to its character are more qualitative. Therefore, debates will continue concerning its future and the impact of current economic crisis might have on its sustainability.