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KMID : 1001320220490010121
Social Welfare Policy
2022 Volume.49 No. 1 p.121 ~ p.156
A Comparative Study on Welfare Regime and Production Regime Considering the Dual Structure of the Labor Market
Park Sun-Jun

Abstract
This study takes notes of that when a state¡¯s labor market is largely segmented qualitatively and quantitatively, each segmented labor markets has different attributes. In the comparative study, If the segmented labor market structure was not considered, classification errors could occur due to the ¡®Trap of the Mean¡¯.
This study claims that comparative classification analysis has to be conducted in consideration of the labor market dualism.
A hierarchical cluster analysis was conducted focusing on the degree of non-market coordination scores of welfare and production regime in 13 major OECD countries (Sweden, Denmark, Finland, Germany, France, Austria, the United Kingdom, Canada, Italy, Spain, Japan, and Korea). The degree of non-market coordination of the welfare regime was measured based on the subscription rate, and uptake rate of the old-age benefits(public pension), unemployment benefits (unemployment protection), and family care (family policy) institutions which were commonly used in the study of welfare regime.
The degree of non-market coordination of the production regime was measured based on the level, organization rate, and participation rate of labor relations (trade union), employment and job (employment protection), and firm-specific education and training (vocational training). For the analysis considering the labor market dualism, ¡®Korea-primary¡¯ and ¡®Korea-secondary¡¯, which separated Korea based on employment type and firm size, were included in the analysis.
The degree of coordination in each country was standardized to 0-1 for comparison.
As a result of the analysis, Korea-secondary (0.08) was classified as a cluster such as the UK (0.27), Japan (0.46), and the United States (0.00), and Korea-primary (0.65) was classified as a cluster of southern European countries such as Italy (0.64), Spain (0.60), Germany (0.72) and Canada (0.69). There was a more pronounced gap in the level of production regime coordination. Korea (total) was measured to be the lowest at 0.05 and Korea-secondary at 0.00. On the other hand, Korea-primary (0.93) showed the second highest level of adjustment after Sweden (1.00). As a result of cluster analysis of welfare and production regime together, Korea (total) and Korea-secondary were classified into clusters such as the United States and the United Kingdom. On the other hand, Korea-primary was classified into clusters such as Germany, France, Italy, Canada, Spain, and Japan. In addition, Sweden, Denmark, Finland, and Austria were classified as the countries with the highest non-market coordination.
This study corresponds to an initial attempt to study regime theory considering the dualized labor market structure. It is argued that if the dualized labor market is recognized as the coexistence of the both regime, it may be possible to discuss effective policy decisions considering institutional complementarity between each segments beyond the fragmentary level.
KEYWORD
Labor Market Dualization, Varieties of Capitalism, Welfare Regime, Production Regine, Cluster Analysis
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