In this paper, we present alternative measures of efficiency of the welfare state and of its components. We observe non negligible efficiency slacks in the way benefits are distributed and services produced. We try to explain these slacks and to suggest ways of correcting them. Depending on the case, our exercise can be viewed as providing argument for the dismantling of the welfare state or giving it additional resources when inefficiency can be corrected and the political will to do so exists. Copyright 1999 by WWZ and Helbing & Lichtenhahn Verlag AG
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