IDEAS home Printed from https://ideas.repec.org/a/ejw/journl/v12y2015i1p22-27.html
   My bibliography  Save this article

Yes, There Are Hayekian Welfare States (At Least in Theory)

Author

Listed:
  • Andreas Bergh

Abstract

The neoclassical problem of distortionary taxation and the Hayekian knowledge problem are two different lines of argumentation against government interventions. When it applies, the Hayekian argument against government intervention is stronger than the neoclassical argument, because interventions can be designed to minimize distortions, but governments cannot escape the knowledge problem. A Hayekian welfare state would combine low levels of regulation with social insurance schemes that are not terribly vulnerable to the knowledge problem.

Suggested Citation

  • Andreas Bergh, 2015. "Yes, There Are Hayekian Welfare States (At Least in Theory)," Econ Journal Watch, Econ Journal Watch, vol. 12(1), pages 22-27, January.
    • Handle: RePEc:ejw:journl:v:12:y:2015:i:1:p:22-27
    as

    Download full text from publisher

    File URL: https://econjwatch.org/File+download/843/BerghJan2015.pdf?mimetype=pdf
    Download Restriction: no
    File URL: https://econjwatch.org/967
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Hayek, F. A., 1981. "Law, Legislation and Liberty, Volume 3," University of Chicago Press Economics Books, University of Chicago Press, number 9780226320908, September.
    2. Daniel B. Klein, 2015. "Economists on the Welfare State and the Regulatory State: Why Don't Any Argue in Favor of One and Against the Other? A Symposium Prologue," Econ Journal Watch, Econ Journal Watch, vol. 12(1), pages 2-14, January.
    3. Andreas Bergh, 2014. "Sweden and the Revival of the Capitalist Welfare State," Books, Edward Elgar Publishing, number 15717.
    4. Hansson, Ingemar, 1984. " Marginal Cost of Public Funds for Different Tax Instruments and Government Expenditures," Scandinavian Journal of Economics, Wiley Blackwell, vol. 86(2), pages 115-130.
    5. Cecil E. Bohanon & John B. Horowitz & James E. McClure, 2014. "Saying Too Little, Too Late: Public Finance Textbooks and the Excess Burdens of Taxation," Econ Journal Watch, Econ Journal Watch, vol. 11(3), pages 277-296, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Otto Brøns-Petersen & Søren Havn Gjedsted, 2021. "Climate change and institutional change: what is the relative importance for economic performance?," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(2), pages 333-360, April.
    2. John Meadowcroft & Mark Pennington, 2008. "Bonding and bridging: Social capital and the communitarian critique of liberal markets," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 21(2), pages 119-133, September.
    3. Lundholm, Michael, 2005. "Cost-Benefit Analysis and the Marginal Cost of Public Funds," Research Papers in Economics 2005:3, Stockholm University, Department of Economics.
    4. Funk, Matt, 2008. "On the Problem of Sustainable Economic Development: A Theoretical Solution to this Prisoner's Dilemma," MPRA Paper 19025, University Library of Munich, Germany, revised 08 Jun 2008.
    5. Buda, Rodolphe, 1999. "Market Exchange Modelling Experiment, Simulation Algorithms, and Theoretical Analysis," MPRA Paper 4196, University Library of Munich, Germany, revised 2000.
    6. Sarah Cattan & Daniel A Kamhöfer & Martin Karlsson & Therese Nilsson, 2023. "The Long-Term Effects of Student Absence: Evidence from Sweden," The Economic Journal, Royal Economic Society, vol. 133(650), pages 888-903.
    7. Santos, Marcelo Rodrigues dos & Pereira, Thiago Neves, 2010. "Moving to a Consumption-Based Tax System: A Quantitative Assessment for Brazil," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 64(2), June.
    8. Bednarik, Radek & Filipova, Lenka, 2009. "The role of religion and political regime for human capital and economic development," MPRA Paper 14556, University Library of Munich, Germany.
    9. Hansson, Åsa, 2004. "Taxpayers Responsiveness to Tax Rate Changes and Implications for the Cost of Taxation," Working Papers 2004:5, Lund University, Department of Economics.
    10. Niclas Berggren, 2009. "Choosing one’s own informal institutions: on Hayek’s critique of Keynes’s immoralism," Constitutional Political Economy, Springer, vol. 20(2), pages 139-159, June.
    11. Mark Lijesen & Victoria Shestalova, 2007. "Public and private roles in road infrastructure: an exploration of market failure, public instruments and government failure," CPB Document 146, CPB Netherlands Bureau for Economic Policy Analysis.
    12. Gonzalo Fernández-de-Córdoba & José L. Torres, 2007. "Fiscal harmonization in the presence of public inputs," Working Papers 07-02, Asociación Española de Economía y Finanzas Internacionales.
    13. Fernández-de-Córdoba, Gonzalo & Torres, José L., 2012. "Fiscal harmonization in the European Union with public inputs," Economic Modelling, Elsevier, vol. 29(5), pages 2024-2034.
    14. Fredrik Heyman & Pehr-Johan Norbäck & Lars Persson, 2019. "The Turnaround of the Swedish Economy: Lessons from Large Business Sector Reforms," The World Bank Research Observer, World Bank, vol. 34(2), pages 274-308.
    15. Magnus Henrekson, 2014. "Entrepreneurship, innovation, and human flourishing," Small Business Economics, Springer, vol. 43(3), pages 511-528, October.
    16. Niclas Berggren, 2006. "Legal positivism and property rights: a critique of Hayek and Peczenik," Constitutional Political Economy, Springer, vol. 17(3), pages 217-235, September.
    17. Thomas Aronsson & James R. Walker, 1997. "The Effects of Sweden's Welfare State on Labor Supply Incentives," NBER Chapters, in: The Welfare State in Transition: Reforming the Swedish Model, pages 203-266, National Bureau of Economic Research, Inc.
    18. Figari Francesco & Gandullia Luca & Lezzi Emanuela, 2018. "Marginal Cost of Public Funds: From the Theory to the Empirical Application for the Evaluation of the Efficiency of the Tax-Benefit Systems," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 18(4), pages 1-16, October.
    19. Sherwin Rosen, 1997. "Public Employment, Taxes, and the Welfare State in Sweden," NBER Chapters, in: The Welfare State in Transition: Reforming the Swedish Model, pages 79-108, National Bureau of Economic Research, Inc.
    20. Danko Tarabar & Joshua C. Hall, 2016. "Explaining the worldwide decline in the length of mandatory military service, 1970–2010," Public Choice, Springer, vol. 168(1), pages 55-74, July.

    More about this item

    Keywords

    Welfare state; regulatory state; regulation; redistribution; economists; Friedrich Hayek;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ejw:journl:v:12:y:2015:i:1:p:22-27. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jason Briggeman (email available below). General contact details of provider: https://edirc.repec.org/data/edgmuus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.