ocr: The Netherlands is a constitutional monarchy. Legislative power is vested in parliament. The monarch has only nominal power. Main Political Issues The future of social welfare Even after the cutbacks oft the 1980s, the Dutch still have one ofthe most generous welfare systems in Europe. Most political parties now accept that current levels ofj provision cannot be maintained: indetinitely. The debate is not whether to cut welfare benetits, but by how much and in which areas. The right-wing Liberal party is advocating a. minimal level of provision, and the PVDA has suggested cutbacks totaling $4 ...