Gdoc/Admin
Daily Data InsightsPublic social spending has increased very substantially in the 20th century

Public social spending has increased very substantially in the 20th century

Line chart titled 'Public social spending as a share of GDP' illustrating the proportion of GDP spent on social spending, which includes health, old age, incapacity-related benefits, family, active labor market programs, unemployment, and housing, from 1880 to 2016. The chart includes data for eight countries: France, Sweden, Germany, Japan, United Kingdom, United States, Australia, and Canada. All countries show a general upward trend in social spending as a share of GDP. Data source is Our World in Data based on OECD and Lindert (2004).

The chart shows that in the late 19th and early 20th centuries, governments’ social spending amounted to very little. Countries spent, at most, 1 to 2% of their national income on public social services.

This changed significantly over the 20th century: public social spending in wealthy countries now amounts to between 15% and 30% of national income.

The biggest reasons for this increase are higher expenditure on healthcare and education.

This data comes from the OECD and Peter Lindert’s history of social spending.

Read more about the history of government spending →

Our latest Daily Data Insights

See all Daily Data Insights

Get Daily Data Insights delivered to your inbox

Receive an email from us when we publish a Daily Data Insight (every weekday).

By subscribing you are agreeing to the terms of our privacy policy.