State distributive and redistributive policies such as relief for the poor, social insurance, education, and apprenticeship programs help reduce economic insecurity in democratic capitalism.
(Hicks and Kenworthy 1998)
State distributive/redistributive policies include direct and indirect policies. Direct policies include government transfers such as old age pensions and welfare programs. Indirect policies include low unemployment and active labour market policy (training, job placement) (Hicks and Kenworthy 1998).
Hicks, Alexander and Lane Kenworthy. 1998. "Cooperation and Economic Performance in Affluent Democratic Capitalism." The American Journal of Sociology 103 (6): 1631-1672.