Abstract
The previous chapter analysed the making of social policy in Korea. The present chapter will analyse the instruments used by the state to implement those policies. We will identify three types of state intervention in order to portray the mix of policy instruments used. We will also examine continuity and changes in the role of the state in relation to social policy institutions. Our analysis is limited to social welfare programmes and is therefore not a full analysis of state intervention in the market process.
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Notes and References
John Mohan used the terms, coordinator, facilitator and provider when refering to the role of the state, but he did not clearly define the terms and it is very difficult to distinguish between coordinator and facilitator. For this reason these terms do little to advance the understanding of the characteristics of state intervention. John Mohan, ‘Health Care Policy and the State in “Austerity Capitalism”’, in James Simmie and R. King, State in Action (London: Pinter, 1990).
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The formula of this intergenerational transfer differs between the pay-as-you-go system and the fund system. In the pay-as-you-go system the transfer between generations is direct in the sense that current pensions are paid for by those who are present by employed, who in turn can rely on the next generation’s contributions for their pensions. As for the fund system, future pensions are based on present contributions. The real value of this pension, however, depends on the next generation’s economic productivity. Despite this difference, both systems have intergenerational redistribution effects. See Nicholas Barr, The Economics of the Welfare State (London: Weidenfeld and Nicolson, 1987), pp. 205–221.
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Pak Chong Ki (Park Chong Kee), Han’gug-ūi Pogōn Chaejōnggwa Uiryo Pohōm (Health Finance and Health Insurance in Korea) (Seoul: KDI, 1979), p. 36.
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© 1999 Huck-ju Kwon
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Kwon, Hj. (1999). The Structure of Social Policy. In: The Welfare State in Korea. St Antony’s Series. Palgrave Macmillan, London. https://doi.org/10.1057/9780230374294_4
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DOI: https://doi.org/10.1057/9780230374294_4
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