When we look at what the term Welfare State means we need to understand that it refers to a state or political entity whereby the state assumes primary responsibility for the welfare of its citizens. To have a welfare state stay viable you need to have a burgeoning economy, without such you set up the forces for disaster economically. Many are under the illusion that globalization will herald the end of the Welfare State with such forces as increased trade, capital mobility and labor market flexibility factored into the increase in equality of living standards in under developed nations and in developed nations.
