In the wake of the economic crisis: Social change and welfare state reforms

The economic crisis of 2008 is a global phenomenon with far-ranging impact. Its effects reach beyond the economic sphere, impacting the lives of individuals. When confronted with job loss and financial hardship, people look for new income sources, change their world views and attitudes, and remodel their interaction with each other. As a result, societies change. Families grow closer together, and tensions between generations and between migrants and non-migrants increase. Governments have to consolidate their finances while reacting to the increasing need for welfare state intervention. In doing so, they take different approaches that reflect the country-specific history and welfare state institutions. This working paper gives an overview of social change and welfare state reform in the wake of the economic crisis. For this purpose, it presents discussions and findings from two classes that were taught at universities in Germany. The material includes the outcomes of a grounded theory study that was conducted in the framework of one of these classes, summaries from various essays that students wrote for the classes, and from a book that was used as teaching material. The arguments brought forth in the working paper illustrate how the economic crisis influences e.g. social inequalities, life-courses, family relations, anti-foreigner sentiments, migration, and welfare policies. It, thereby, serves as an excellent starting point for reflections on what societies will be like post-economic crisis