The European Welfare State in the Atlantic System

To regard Socialism and Communism as Siamese twins is an error, wilful or genuine, which rarely troubles American thinking on foreign politics now. It cannot be said, however, that the shadow of the confusion has been entirely dispelled. Some groups, influential in the making and execution of American foreign policy, appear to be gravely disturbed by what they term the development of the welfare state in western Europe. At a time—they argue—when the United States requires strong partners in the common attempt to defend large parts of the non-Soviet world against Communist expansion, the spread of welfare-state practices weakens western Europe economically as well as politically. The development of the welfare state is said to lessen the capacity of countries for raising productivity and hence for standing on their own feet in their economic dealings with the outside world and also for mounting substantial defense efforts. Since a less progressive and adaptable economy will frustrate expectations of income and economic security, political stability and morale are alleged to suffer. This effect, as well as the abridgment of democratic freedoms perceived to follow from abandoning the liberal economy, is believed to make such countries more susceptible to Communist subversion. These misgivings are not aroused by the behavior of all the western European nations. It is rather the United Kingdom, the three Scandinavian countries, and the Netherlands which are identified with the evolution of the welfare state, while economic liberalism is perceived to have a more abiding hold in Belgium, France, Italy, and western Germany.