Table Of ContentComparative Welfare Capitalism in East Asia
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Comparative Welfare
Capitalism in East Asia
Productivist Models of Social Policy
Mason M. S. Kim
Assistant Professor, Spelman College, USA
© Mason M. S. Kim 2015
Softcover reprint of the hardcover 1st edition 2015 978-1-137-47184-0
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First published 2015 by
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A catalogue record for this book is available from the British Library.
Library of Congress Cataloging-in-Publication Data
Kim, Mason M. S., 1971- author.
Comparative welfare capitalism in East Asia : productivist models of
social policy / Mason M. S. Kim.
pages cm
Includes bibliographical references and index.
1. Public welfare – East Asia. 2. Welfare state – East Asia. 3. Welfare
economics. 4. East Asia – Social policy. 5. East Asia--Economic policy.
I. Title.
HV410.5.K56 2015
361.95—dc23 2015021841
Contents
List of Figures v i
List of Tables v ii
Acknowledgments v iii
List of Abbreviations x
1 Introduction 1
A. Debates on the East Asian welfare type 3
B. Arguments in brief 8
C. Terms, scope, and method of analysis 1 3
D. The structure of the book 16
2 Institutional Variation in Productivist Welfare Capitalism 18
A. East Asian welfare states from a comparative perspective 20
B. Institutional divergence of productivist welfarism 2 5
C. Empirical test: cluster analysis 36
D. Concluding remarks 44
3 What Drives the Institutional Divergence of Productivist
Welfare Capitalism? 46
A. Theories of welfare state development 4 8
B. Causes of the divergence of productivist welfarism 5 4
C. Empirical test: cross-sectional time-series analysis 6 8
D. Concluding remarks 81
4 Three Cases of Productivist Welfare Capitalism 8 3
A. Korea: inclusive productivist welfare 8 4
B. Singapore: market productivist welfare 1 03
C. China: dualist productivist welfare 1 19
5 Conclusion 138
Appendix 1 50
References 1 52
Index 1 69
v
List of Figures
2.1 Average government expenditures on social security,
health, and education 2 1
2.2 Three models of productivist welfare capitalism 3 2
2.3 Variables to estimate IPW and MPW 3 7
2.4 Dendrogram for cluster analysis 4 1
2.5 Variation in productivist welfare states 4 3
3.1 Economic openness, political pressure, and productivist
welfare capitalism 55
3.2 The level of democratic governance in East Asia 6 4
3.3 Satisfaction with the national government 6 7
3.4 Marginal effect of democracy on IPW at different levels
of economic openness 77
3.5 Marginal effect of democracy on MPW at different levels
of economic openness 80
4.1 Unemployment rates after the 1997 financial crisis in Korea 98
4.2 Candidate competition in presidential elections in Korea 100
4.3 Private health expenditure in East Asia 1 10
4.4 Political attitudes in Korea and Singapore 1 17
4 .5 Pension insurance system in China 1 23
4.6 Health insurance system in China 1 27
vi
List of Tables
1.1 Four worlds of welfare capitalism 6
2.1 Government expenditure on social and economic
policies in East Asia (1980s to the 2000s) 2 2
2.2 Types and functions of social protection schemes 2 9
2.3 Institutional selection of social protection in East Asia 33
2.4 Stopping rules for cluster analysis 4 2
3.1 FDI inflow in East Asia 5 7
3.2 Trade in East Asia 6 1
3.3 Description of the main variables 7 0
3.4 Regression results for inclusive productivist welfare 7 4
3.5 Regression results for market productivist welfare 7 8
4.1 Levels of contribution and benefit of national
pension schemes 88
4.2 Foreign capital inflows in Korea (1961–79) 9 5
4.3 Population coverage of pension insurance in China 125
4.4 Fiscal revenues of local government 1 32
vii
Acknowledgments
In writing this book, I have received tremendous help, support, and
inspiration from many people at various stages. My first thanks go to
Dr. B. Guy Peters (University of Pittsburgh) who has been my advisor
and mentor since graduate school. While giving me full freedom to
work on research of my interest, he always helped me think critically
to come up with new ideas. I am also deeply indebted to Dr. Thomas
Rawski (University of Pittsburgh) who provided critical comments, espe-
cially regarding the changing nature of the Chinese political economy.
In addition, I thank Dr. Nita Rudra (Georgetown University), Dr. Jude
Hays (University of Pittsburgh), Dr. Wenfang Tang (University of Iowa),
and Dr. David Bearce (University of Colorado) for their feedback on my
work. Along the way, I have benefited from those who offered useful
comments, criticism, and suggestions at various conferences and meet-
ings such as the American Political Science Association (APSA), the
Midwest Political Science Association (MPSA), and the East Asian Social
Policy Network.
For financial support, I thank the Faculty Research Grant Committee
at the University of Tennessee at Martin for its generous support for my
field research. I especially extend my gratitude to Dr. Katherine Carlitz,
Assistant Director of the Asian Studies Center at the University of
Pittsburgh, for her support of my graduate studies as well as numerous
research activities. Throughout the book writing process, Clint Taylor
and Distante Johnson were greatly helpful in editing and proofreading
the manuscript. I am solely responsible for any errors and omissions
that remain.
Also, I would like to note that two chapters of this book are based
upon previously published materials. Part of Chapter 2 was discussed
in Mason Kim (2012) “Economic Globalization, Democracy, and Social
Protection: Welfare Capitalism in East Asia,” ed. Zhiqun Zhu, N ew
Dynamics in East Asian Politics: Security, Political Economy, and Society .
New York: Continuum (pp. 125–47). An earlier version of Chapter 3
was published in Mason Kim (2013) “What Drives the Institutional
Divergence of Productivist Welfare Capitalism in East Asia?” Journal of
Asian Politics and History 3: 27–58.
Finally, I owe many thanks to my parents, parents-in-law, brothers,
and sisters in South Korea for their unending prayers, love, and support.
viii
Acknowledgments ix
Among others, this book is dedicated to my wife, Insook, and two chil-
dren, Esther and Elliot, who endured the long hours, the days, the
months, and the years, while giving me so much support and encour-
agement. I am nothing without them.
