In the early 1990s, the countries of the former Soviet Bloc faced an urgent need to reform the systems by which they delivered broad, basic social welfare to their citizens. Inherited systems were inefficient and financially unsustainable. Linda J. Cook here explores the politics and policy of social welfare from 1990 to 2004 in the Russian Federation, Poland, Hungary, Belarus, and Kazakhstan.Most of these countries, she shows, tried to institute reforms based on a liberal paradigm of reduced entitlements and subsidies, means-testing, and privatization. But these proposals provoked opposition from pro-welfare interests, and the politics of negotiating change varied substantially from one political arena to another. In Russia, for example, liberalizing reform was blocked for a decade. Only as Vladimir Putin rose to power did the country change its inherited welfare system.Cook finds that the impact of economic pressures on welfare was strongly mediated by domestic political factors, including the level of democratization and balance of pro- and anti-reform political forces. Postcommunist welfare politics throughout Russia and Eastern Europe, she shows, are marked by the large role played by bureaucratic welfare stakeholders who were left over from the communist period and, in weak states, by the development of informal processes in social sectors.
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Firstpublished2007byCornellUniversityPressFirst printing, Cornell Paperbacks, 2013 Library of Congress CataloginginPublication Data Cook, Linda J. Postcommunist welfare states : reform politics in Russia and Eastern Europe / Linda J. Cook. p. cm. Includes bibliographical references and index. ISBN 9780801445262 (cloth : alk. paper) ISBN 9780801479007 (paper : alk. paper) 1. Public welfare—Russia (Federation) 2. Public welfare—Europe, Eastern. 3. Welfare state—Russia (Federation) 4. Welfare state—Europe, Eastern. 5. Post communism—Russia (Federation) 6. Postcommu nism—Europe, Eastern. 7. Russia (Federation)—Politics and government—1991– 8. Europe, Eastern—politics and government—1989– I. Title.
HV315.15.c66 2007 361.6’50947—dc22
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To MyFather,RolandA.Cookand theMemoryofMyMother,AnnaL.(Herlihy)Cookfortheirwisdom,support,andencouragementalways
ListofFiguresandTablesAcknowledgments
Contents
Introduction: Welfare States and Postcommunist Transitions 1. Old Welfare State Structures and Reform Strategies 2. Nonnegotiated Liberalization: Decentralizing Russia’s Welfare State and Moving It OffBudget 3. Contested Liberalization: Russia’s Politics of Polarization and Informalization 4. Welfare Reform in Putin’s Russia: Negotiating Liberalization within the Elite 5. Comparing Postcommunist Welfare State Politics: Poland, Hungary, Kazakhstan, and Belarus Conclusion:NegotiatingWelfareinDemocraticandAuthoritarian Transitions Index
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FiguresandTables
FiguresI.1 Main actors in postcommunist welfare state reform
1.1 GDP annual percentage change, 1990–2004 2.1 Education, distribution of expenditures between government levels, 1992–1996 2.2 Social protection, distribution of expenditures between government levels, 1992–1996 3.1 Real expenditures on health and education, Russian Federation, 1991–1998 5.1 Public and private benefits in reformed pension systems 5.2 Public and private healthcare expenditures, 1998 and 2002
TablesI.1 Contrasting welfare state outcomes in the postcommunist transition I.2 Main actors in domestic politicalpower balances for welfare state reform