ABSTRACT
An influential hypothesis in the welfare literature states that pensions are so popular they can never be significantly cut back. Another influential hypothesis states that policy change is ‘path-dependent’. Recent pension reforms suggest that both hypotheses are wrong. Pension reforms during the 1990s were often path-breaking rather than path-dependent. Reforms included benefit cuts as well as dramatic design changes. The article traces pension reforms around the world, and discusses factors that facilitate path-breaking reforms. Since most voters are not well informed on policy issues, path-breaking reform can succeed if politicians are able to frame their proposals as the ones sensible and considerate people should adopt. Hence the study of framing, and political psychology more generally, should be brought into the study of welfare reforms.
