Theoretical Foundations for the Concept of Social Welfare

Abstract

       Studying the concept of social welfare requires understanding the fundamental concepts, theories, and philosophical foundations of various schools of social, economic, and political thought, leading to a diversity of viewpoints, ways of thinking, and approaches to social welfare. This article presents theoretical foundations for social welfare practices in liberalism, socialism, and social democratic schools of thought, their advantages and limitations of social welfare classified by different scholars. The liberal school highlights liberty, justice, and individualism without state intervention. They believe in market mechanisms and capitalism but reject state welfare provision as it interferes with liberty. The socialist is based on the philosophy of belief in an equal society, free from division, which is an opposing view on the capitalist. They believe that capitalism will lead to an unfair distribution of resources. The social welfare provision is rejected as it is an instrument supporting capitalism. Social welfare is, therefore, not necessary for socialism because the community will be able to respond to people's needs. The democratic society, on the other hand, adheres to a society with equality and believes in gradual social change. This concept prioritizes social welfare as a basic social right that people should have, and the welfare state a solution to people's struggles by reducing gaps in social inequality. The advantages of social welfare from the liberal perspective are the absence of state intervention, the promotion of economic growth, and the effective welfare from private sectors that may include the participation of all other sectors. The limitation is that screening those deserving of welfare by using a Mean Test may discriminate welfare recipients, leading to high inequality in society. The advantage of the social welfare in socialism is the emergence of Social Safety Net and systematic problems-solution for disadvantaged groups. The limitation is the economic, social, and political inefficiency and a lack of opportunity for the underprivileged to access state welfare and assistance. The upside of social welfare in social democracy is comprehensive life insurance, which balances market mechanisms and government intervention. The insurance encourages economic progress and social welfare. The limitations include the government's high budget, the increase in the elderly population, high taxes hindering economic growth, and a state-reliance culture rather than self-reliance.