Trust, Inequality and Welfare State Regimes: the cases of Brazil and Sweden

Abstract: The main purpose of this dissertation is to analyze how the levels of equality and trust influenced the development of different Welfare State Regimes in Brazil and Sweden (see Esping-Andersen 1990). In order to show the relationship between inequality and trust, the dissertation utilizes Jordahl’s (2007) mechanisms which posteriorly will be related to the specific historical contexts of both countries, as well as to the current challenges faced by them. This research, through the use of secondary data and semi-structured key informant interviews, shows that inequality influences trust negatively and that high levels of trust and equality are necessary to the establishment of universal Welfare States. On the other hand, Welfare States also enhance or diminish the levels of trust and inequality depending on the political decisions adopted. Therefore, in Brazil, where inequality is high and trust low due to past features, such as colonization, patron-client relationships and slavery, the Conservative and Liberal Welfare Regimes were developed because the former has a contributive and the latter a focalized basis, which did not require previous equality or trust to be established. On the other hand, Sweden experienced historical high levels of trust and equality due to the early adoption of Social Democratic and Protestant values which increased a sense of solidarity, contributing to the establishment of the universal Welfare State. Although these countries have different historical trajectories, it is possible to extract some lessons from both experiences in the realm of Social for challenges both countries are currently facing.