He doesn’t use the term “northern European welfare state” but anyone who’s followed Stephen Harper’s career will know that he’s not a big fan of the concept. Today, in Davos, Switzerland, in a speech at the World Economic Forum, Harper did not use the phrase “welfare state” but it’s pretty clear from this section of his speech that that’s what he’s talking about:
… our number-one priority as a government is prosperity, that is, economic growth and job creation. Now, that may sound obvious, almost clichéd. But is it really? As I look around the world, as I look particularly at the developed world, I ask whether the creation of economic growth, and therefore jobs, really is the number-one policy priority for everyone?
Or is it the case, that in the developed world too many of us have, in fact, become complacent about our prosperity, taking our wealth as a given, assuming it is somehow the natural order of things, leaving us instead to focus primarily on our services and entitlements?
Is it a coincidence that as the veil falls on the financial crisis, it reveals beneath it, not just too much bank debt, but too much sovereign debt, too much general willingness to have standards and benefits beyond our ability, or even willingness, to pay for them?
Harper’s speech was kind of a one-two punch on this theme delivered Thursday by conservative prime ministers to the well-heeled Davos crowd. The other conservative prime minister was the UK’s David Cameron who, in his speech earlier today at Davos, said:
In just four years Government debt per EU citizen has risen by 4,500 euros. Foreign direct investment has fallen by around two-thirds.
And in more than half of EU Member States, a fifth of all young people are now out of work. So this is not a moment to try and pretend there isn’t a problem……In spite of the economic challenge, we are still doing things to make life even harder.
In the name of social protection, the EU has promoted unnecessary measures that impose burdens on businesses and governments, and can destroy jobs.
The Agency Workers Directive, the Pregnant Workers Directive, the Working Time Directive.
The list goes on and on …Chancellor Merkel is absolutely right to insist that Eurozone countries must do everything possible to get to grips with their own debts.
What no mention of the welfare state for big business, what a surprise. It was just proven with the bailouts and it continues everyday with grants and loans to corporations that already making billions in profits.