The development of the Japanese welfare state and assessment of it's performance

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Abstract

The article studies the development and performance of the Japanese welfare state to analyse the successes and failures of Japanese decisions in the field of social policy. The study covers emergence and change of pension and health insurance programs, social support measures, demographic programs and the long-term care insurance. The education system in Japan is assessed. The administrative architecture of the welfare state is studied. Political bargaining over the rules of the welfare state is considered, from the creation of the system to its optimisation because of the population aging and the slowdown of the economy. The study compares effectiveness of social programs in Japan and in other countries. The culture-specific features of the Japanese social policy are assessed to explain the limits for possible implementation of the Japanese decisions in other countries. The effectiveness of social programs is studied on the basis of quantitative indicators reflecting their functioning, such as the level of health of the population and health care costs, incomes of elderly citizens, student achievements in comparison with other countries. The welfare state in Japan followed the example of Germany. Social policy in Japan does not fall behind the European systems. The health care system in Japan is one of the best in the world. Insurance mechanisms work effectively, the share of direct payments is small and lower than the average among developed countries. The education system also shows good results. The pension system lags behind in terms of the expected level of income replacement, and also faces problems due to the aging population. The welfare state in Japan effectively supports citizens, but faces serious pressure from economic and demographic factors, which leads to tightening of rules to maintain the sustainability of the system.

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