‘Subversive liberalism’: Market integration, globalization and the European welfare state

European welfare state autonomy is being eroded by both European integration and ‘globalization’. The attempted creation of a European ‘social’ area, the completion of the internal market, the competitive effects of trade liberalization and the impact on policy autonomy of greater international capital mobility all have implications for the future of welfare states. This article argues that, in combination with a domestic policy agenda making welfare provision subservient to competitiveness, globalization is operating a ‘subversive liberalism’ which, even in the absence of an explicit neo‐liberal assault, is reshaping social welfare systems. Despite persistent differences between welfare states, there is a convergence on a less universal, dualized model.