Social policy in theory and practices Essay Example | Topics and Well Written Essays - 2500 words

Social policy in theory and practices - Essay Example Nevertheless, this functionalist view of the relationship between economic policy and social policy does not clarify the general inclination to give more importance to economic policy than social policy (Walker &Wong, 2009). This essay analyses the relationship between social policy and economic policy in terms of Keynesian and Monetarist economic ideas in relation to welfare. Theoretically, there should not be any inconsistency or disagreement between economic policy and social policy if the latter approves and supports the economy. Nevertheless, in reality, social policy is generally viewed as a hindrance to economic development; it is viewed as pulling out economic resources and spending them on noneconomic activities (Kesselman, Krieger, & Joseph, 2009). Basically, social policy does not possess an independent and rightful sphere; it is considered to be a ‘poor person’s economic policy’ (Moroney & Krysik, 1998, p. 231). However, the state has a natural obligation to make sure that its social policy and economic policy are not conflicting. For this reason, once a welfare state is founded the rationale of its activities starts to work. The citizens become used to taxation and tend to view social policy as an integral part of social institution in highly industrialised or developed economies. On the contrary, citizens in pre-welfare s tates are less likely to recognise or allow taxation because of the absence of confidence in state agencies and the absence of actual experience or knowledge of the advantages of a welfare state (Walker & Wong, 2009, p. 1). In such circumstances, social welfare is commonly limited to the poor or substantially dispossessed by reason of charity. Regardless of the form of taxation (e.g. income tax, excise tax, etc), the capacity of the state to financially support its political and social activities relies on the capacity of the private sector to produce, invest, and accumulate