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In the last 150 years, Spain has had a turbulent political history. What has been the impact on social policy? Democracy had a positive effect on both the levels and the long-run trend of social spending. In fact, the transition from a traditional regime (with low social spending levels) to a modern regime (with high social spending levels) started with the advent of democracy in 1931. Franco’s dictatorship, however, reversed this trend change, leading to a delay in the definitive growth of social spending in Spain. At the same time, the effect of left-wing parties was statistical significant only in the 30s (before the Keynesian consensus) and during the Restoration period (when the preferences of the lower income groups were systematically ignored).

Political Regime and Social Spending in Spain: A Time Series Analysis (1850-2000)