NETHERLANDS

In what areas does the Netherlands
have a relative need for
or strong capacity for reform?
Key findings: Status
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Blue line represents country’s status performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 5, the Netherlands' status performance is good. Despite modest economic performance, socioeconomic disparities are relatively moderate thanks to a comprehensive social welfare system.
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OECD spread
The Netherlands' democratic institutions are strong, although concern over terrorism has led to an increased focus on civil rights.

Elections are fair and transparent, and traditional civil liberties well protected. A concentration of media ownership has undermined media pluralism somewhat.

Police have been given new rights to use public cameras, body searches and wiretaps. The large immigrant population faces some discrimination.
Dutch economic policy features close communication between businesses, trade unions, and the government.

Low unemployment rates supplemented by generous levels of social support are known as the "Dutch miracle."

Risk-taking, innovative entrepreneurship is relatively uncommon. Corporate tax rates are not high, and income taxes are progressive.

Budgets have been in balance, but significant future expenditures loom.
Dutch progressive taxation, and minimum income guarantees help reduce socioeconomic disparities substantially.

Health care is financed by a market-oriented, consumer-friendly common insurance system.

Women are well integrated into the labor market, with employers often sharing child-care costs.

A mix of pension plans effectively prevents old-age poverty, though an aging population will stress this system.
The Netherlands' NATO and EU memberships serve as the core of external security policy.

Organized crime is on the rise, while several prominent recent murders point to other home-grown problems.

Immigrant communities are large, and integration policies well developed. Some difficulties have emerged with migrants of Moroccan and Turkish background.
The Netherlands' dense population and role as a transit hub intensifies environmental pressure, and water and air pollution remain relatively high. Flood danger has increased in recent years.

R&D expenditure is low, although recent policies have aimed at boosting these levels.

A relatively small proportion of residents achieve university educations, but this figure is on the rise.
Key findings: Management
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Blue line represents country’s management performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 9, the Netherlands' management performance is above average. Solid strategic planning facilitates an agile steering capability, but the country is slow to adapt its institutions to a changing international environment.
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OECD spread
Strategic planning, advised by experts, is critical in the Netherlands. Each ministry has its own planning unit, and broad central government planning is coordinated by a post-election policy accord.

The Ministry of General Affairs coordinates, but does not evaluate all draft proposals. Public communication by the coalition government is not always consistent.

RIA is given substantial weight. Social groups are consulted early in the policy-making process.
All three governments in the period under review were relatively successful in getting their bills adopted in parliament.

No constitutional review of laws is performed, and the queen has no veto power.

Policy implementation was fairly successful, although in some cases lower-level bodies lack the means to carry out the objectives.
Most Dutch political institutions date back nearly 200 years, although EU pressures are increasingly leaving a mark on political structures and decision-making processes.

The Netherlands does not actively seek to spread its policies, but its public sector reforms are widely considered to be exemplary.
Dutch political institutions are regularly monitored, although political forces remain split over what constitute appropriate goals.

The government's strategic capacity is adequate. Administrations have attempted to reduce the size of the civil service and make it more efficient.
Although the Dutch public spends considerable time consuming media, citizens do not seem to be correspondingly well-informed about government policies.

The parliament utilizes a variety of executive supervisory mechanisms.

Party programs are plausible and increasingly fiscally responsible, while social groups are involved early in the policy-making process.
Governments in charge
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SGI 09 review period (January 2005 to March 2007) is outlined in black.

Shown are: Prime minister or president, type of government, and ruling parties. Asterisks indicate national parliamentary or presidential elections.
Contributors
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Country scores and texts were produced by the country coordinator, based on comprehensive assessments by three country experts. For the individual experts’ reports, see download page.
 
Country coordinator
Dr. Kai-Uwe Schnapp
Institute of Political Science, University of Hamburg

Country experts
Prof. Dr. Dr. h. c. Wichard Woyke
University of Münster

Prof. Dr. Bernhard Kittel
University of Oldenburg

Dr. Robert van den Bosch
Former chief economist ABN Amro Bank (retired)