could be fitted into Mexico City . . . twice.
But it is not just a question of size. Like New Zealand, another small country (population 4.2 million, even smaller than Norway) that has succeeded in maintaining a high level of civic trust, the successful welfare states of northern Europe were remarkably homogenous. Until fairly recently it would only have been a slight exaggeration to say that most Norwegians, if they were not themselves farmers or fishermen, were their children. 94% of the population are of Norwegian stock, and 86% of them belong to the Church of Norway. In Austria, 92% of the population are self-ascribed ‘Austrian’ by origin (the figure was nearer 100% until the influx of Yugoslav refugees during the 1990s) and 83% of those who declared a religion in 2001 were Catholic.
Much the same is true of Finland, where 96% of those who declare a religion are officially Lutheran (and nearly all are Finns, saving only a small Swedish minority); Denmark, where 95% of the population affirm a Lutheran faith; and even the Netherlands—neatly divided between a primarily protestant north and the Catholic south, but where almost everyone who is not a member of the tiny, post-colonial minority of Indonesians, Turks, Surinamese and Moroccans defines themselves as ‘Dutch’.
Contrast the United States: there will soon be no single majority ethnic group and a slight protestant majority among those affirming a religion is countered by a substantial Catholic minority (25%), not to mention significant Jewish and Muslim communities. The crossover case might be Canada: a mid-sized country (33 million people) with no dominant religion and a mere 66% of the population declaring themselves of European origin, but where trust and its accompanying social institutions seem to have taken root.
Size and homogeneity are of course not transferable. There is no way for India or the USA to become Austria or Norway, and in their purest form the social democratic welfare states of Europe are simply non-exportable: they have much the same appeal as a Volvo—and some similar limitations—and may be hard to sell to countries and cultures where expensive virtues of solidity and endurance count for less. We know, moreover, that even cities do better if they are reasonably homogenous and contained: it was not difficult to build municipal socialism in Vienna or Amsterdam, but would be a lot harder in Naples or Cairo, not to speak of Calcutta or Sao Paulo.
Finally, there is clear evidence that while homogeneity and size matter for the generation of trust and cooperation, cultural or economic heterogeneity can have the opposite effect. A steady increase in the number of immigrants, particularly immigrants from the ‘third world’, correlates all too well in the Netherlands and Denmark, not to mention the United Kingdom, with a noticeable decline in social cohesion. To put it bluntly, the Dutch and the English don’t much care to share their welfare states with their former colonial subjects from Indonesia, Surinam, Pakistan or Uganda; meanwhile Danes, like Austrians, resent ‘paying for’ the Muslim refugees who have flocked to their countries in recent years.
There may be something inherently selfish in the social service states of the mid-20th century: blessed for a few decades with the good fortune of ethnic homogeneity and a small, educated population where almost everyone could recognize themselves in everyone else. Most of these countries—self-contained nation-states exposed to very little external threat—had the good fortune to cluster under the umbrella of NATO in the post-1945 decades, devoting their budgets to domestic improvement and untroubled by mass immigration from the rest of Europe, much less further afield. When this situation changed, confidence and trust appears to have fallen off.
However, the fact remains that trust and cooperation were crucial building blocks for the modern state, and the more trust there was
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