The Financialization of the Welfare State and Co-creating Value for Public Services

Abstract

Abstract In response to fiscal pressures, significant reforms in social services are currently underway in Canada. This chapter looks at the changes in financial instruments to support nonprofit organizations that have resulted from a move away from grants and contributions toward market-oriented instruments. The scope and pace of transformation is remarkable, presenting valuable opportunities for innovation but also placing new demands on the behavior of nonprofit organizations, with important implications for the quality of social services. This chapter also examines the financialization of the welfare state as a phenomenon and the ongoing implications for how we understand the role of the public, private, and nonprofit sectors in the delivery of social services.