De marktconforme verzorgingsstaat: 1989-2008

Abstract

Between 1989 and 2008 a far-reaching reform of the Dutch economic, housing and social security policies took place, in neoliberal direction. The Dutch welfare state was re-organized in a ‘market conforming’ way. The reforms were led by top civil servants, politicians and scientists who belonged to an epistemic community of mostly economically or economic-judicially trained men who shared neoliberal assumptions. They governed the Netherlands via a revolving door in which the top of the public administration met in varying positions, first wearing a party badge, then a gown, or holding their official credentials. They easily switched roles between positions where they developed policy ideas, translated them to laws and regulations, enforced these and reflected on them. Via that revolving door they continuously confirmed each other’s neoliberal ideas, and gave them a self-evident aura.

Through this revolving door, in the 1990s consensus emerged on the necessity of a market conforming welfare state. This consensus was based on the belief that the welfare state affected the Dutch competitiveness in a negative way. That is why costs had to be reduced - for example of public housing - and why the reliance on social security had to be limited. What belonged to the minimal core of the welfare state, had to be implemented by the state. Matters the government should not interfere with from a neoliberal perspective were left up to the market. The operation Market Reform, Deregulation and Legislative Quality (Marktwerking, Deregulering en Wetgevingskwaliteit, MDW) embodied this consensus, functioned as an ideological guideline and socialized civil servants from various ministries into this consensus through 71 working groups.

The policies led to a decrease in expenses to social security and social housing. Homeownership grew, as did the power of large investors, while the poorer part of the population was subjected to increasingly strict forms of control. However, policymakers rarely described the reforms as neoliberal and emphasized their self-evident and necessary character.