IntroductionMerriam Webster defines the "welfare system" as "a social system in which a government is responsible for the economic and social well-being of its citizens and adopts policies aimed at providing assistance free healthcare, money for jobless people, etc.; also: a country that has such a system.” (Webster, 1964) Initiated after the industrial revolution, the concept of welfare state aims to provide its citizens with economic and social well-being; , welfare states face challenges due to lack of resources and consequently ambiguous sustainable development. The fact that a large part of the economy is devoted to welfare means fewer opportunities to generate revenue they also benefit people, even at the grassroots level; they help the helpless and also provide them with a substantial lifestyle. However, the welfare state system faces challenges in both cases : One of the best-known welfare state systems in the world is that of the Nordic countries comprising the North Atlantic and Northern Europe. These include Finland, Denmark, Sweden, Iceland and Norway. The Nordic model countries have some common characteristics, such as social system and history. The Nordic model emphasizes concepts such as social cohesion, egalitarianism and security for all its citizens. It also recognizes the vulnerable and socially disadvantaged people of a society and helps them. Apart from that, this model also caters to healthcare issues, gender equality and services for the elderly. The Scandinavian model (which includes Northern Europe, Norway and Sweden...... half of the paper ......lue of future income is equal to the present value of expenses at the initial debt level; it is necessary to increase taxes permanently.” sometimes has some ambiguity and faces challenges due to the different policies and territories in which it is based. I assume that in the 21st century many people are becoming increasingly disinclined to the concept of a welfare state and are opposed to it strenuously to the phenomenon on ideological grounds. On the one hand it is a great service for welfare citizens, but on the other hand it is also a hassle for them to pay high taxes. Even those who have adopted the models find it challenging..