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Understanding the welfare state in the context of austerity and populism

While the historical origins of the Western welfare state can be traced back to the late 19th century and industrialisation, its rise is particularly connected to the 20th century, when the provision of welfare became a genuine function of governmental activity. This chapter starts by discussing definitions and common denominators of the 20th centuryâ€™s traditional welfare state, and main features in the provision of social rights particularly against â€˜old social risksâ€™. Around the turn to the 21st century, however, significant changes of traditional welfare state features have been identified, and new actors have entered the stage. Against this backdrop, this chapter focuses on â€˜the welfare stateâ€™ under the austerity-populism nexus that is put at the centre of this Handbook and highlights different relationships between the two phenomena. Based on extant literature, three contemporary faces of the austerity-populism nexus are highlighted: a welfare-hostile, a welfare-friendly, as well as a welfare-ambiguous face. To conclude, populist parties today have largely disbanded a welfare-hostile austerity face, but neither are they welfare-friendly per se: The dominating welfare-ambiguous face â€“ including welfare-chauvinism and selective expansion â€“ touches upon fundamental pillars of the welfare statesâ€™ architecture.