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Policy Change in the Canadian Welfare State: Comparing the Canada Pension Plan and Unemployment Insurance

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  • Daniel Béland
  • John Myles

Abstract

Focusing on Canada, this paper explores the politics of social policy retrenchment and restructuring in two policy areas: old-age pensions, especially the Canada Pension Plan (CPP), and Employment Insurance (EI) [formerly Unemployment Insurance (UI)]. Drawing on historical institutionalism and the literature on ideas and policy change, the paper explains key differences between these two policy areas. The analysis shows that institutional factors like federalism explain some of the differences between the policy areas and programs at stake. Yet, to complement this analysis, the paper also highlights the political consequences of changing ideas and assumptions among policy-makers, which vary strongly from one program to another. In other words, ideational and institutional factors combined to produce distinct patterns of policy change. Overall, the paper suggests that scholars can draw a clear analytical line between ideational and institutional factors before combining them to explain specific episodes of policy change. From a methodological standpoint, the paper also demonstrates the added value of systematic comparisons between distinct policy areas located within the same country.

Suggested Citation

  • Daniel Béland & John Myles, 2008. "Policy Change in the Canadian Welfare State: Comparing the Canada Pension Plan and Unemployment Insurance," Social and Economic Dimensions of an Aging Population Research Papers 235, McMaster University.
    • Handle: RePEc:mcm:sedapp:235
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    File URL: http://socserv.mcmaster.ca/sedap/p/sedap235.pdf
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    References listed on IDEAS

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    1. Lin, Zhengxi, 1998. "Employment Insurance in Canada: Recent Trends and Policy Changes," Analytical Studies Branch Research Paper Series 1998125e, Statistics Canada, Analytical Studies Branch.
    2. Hacker, Jacob S., 2004. "Privatizing Risk without Privatizing the Welfare State: The Hidden Politics of Social Policy Retrenchment in the United States," American Political Science Review, Cambridge University Press, vol. 98(2), pages 243-260, May.
    3. Bonoli,Giuliano, 2000. "The Politics of Pension Reform," Cambridge Books, Cambridge University Press, number 9780521776066, January.
    4. Parsons, Craig, 2002. "Showing Ideas as Causes: The Origins of the European Union," International Organization, Cambridge University Press, vol. 56(1), pages 47-84, January.
    5. Thelen,Kathleen, 2004. "How Institutions Evolve," Cambridge Books, Cambridge University Press, number 9780521546744, January.
    6. Daniel Béland & John Myles, 2005. "Stasis Amidst Change: Canadian Pension Reform in an Age of Retrenchment," Chapters, in: Giuliano Bonoli & Toshimitsu Shinkawa (ed.), Ageing and Pension Reform Around the World, chapter 12, Edward Elgar Publishing.
    7. Esping-Andersen, Gosta (ed.), 2002. "Why We Need a New Welfare State," OUP Catalogue, Oxford University Press, number 9780199256433, Decembrie.
    8. Bonoli,Giuliano, 2000. "The Politics of Pension Reform," Cambridge Books, Cambridge University Press, number 9780521772327, January.
    9. Thelen,Kathleen, 2004. "How Institutions Evolve," Cambridge Books, Cambridge University Press, number 9780521837682, January.
    10. Geoffrey E. Hale, 1998. "Reforming Employment Insurance: Transcending the Politics of the Status Quo," Canadian Public Policy, University of Toronto Press, vol. 24(4), pages 429-451, December.
    11. Schmidt, Vivien A., 2002. "The Futures of European Capitalism," OUP Catalogue, Oxford University Press, number 9780199253685, Decembrie.
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    More about this item

    Keywords

    Ideas; institutions; unemployment; pensions; Canada;
    All these keywords.

    JEL classification:

    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • L38 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Policy

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