A perceived conflict between social spending and economic dynamism is deeply embedded in both Scottish and UK political discourse.
It is widely proposed that higher social spending – especially in the form of social security benefits – is damaging to the economy.
Yet the evidence presented in this report clearly confirms that a number of countries manage to reconcile high social spending with positive economic outcomes.
Given the enduring economic success of high social spending nations relative to Scotland and the UK, these findings should be unremarkable. After all, total public spending and its social spending component both tend to rise with economic output. However, the nature of political debate in Scotland requires that the case for the welfare state as a platform for economic success, as well as a mechanism to reduce inequality and provide opportunity, needs to be restated. The welfare state is more than a safety net.
