An analysis of welfare-state restructuring under conservative governme
nts during the 1980s undermines the notion that the nation-state is be
ing rendered obsolete by economic globalization. The nation-state is s
till the principal site of political conflict. Yet this conflict has t
o be analyzed in light of global economic and cultural pressures. Cons
ervative attempts to restructure the welfare state were parallel event
s within a larger transition in the world economy, but they had decisi
vely distinct national trajectories.