Questions about the role that charity should play in shaping and contributing to the way societies conceptualize and maintain the social contract are of key importance to political economy analysis. Is it the responsibility of the state to address poverty and provide social services, or should such services be the responsibility of non-state actors? To what degree are non-state institutions perceived as complimentary to or in opposition to state efforts? Are some non-state actors (particularly religious versus non-religious) perceived differently than others by the state and other development actors (outside donors, international agencies etc.)? Drawing on both theoretical political economy discussions of the social contract, as well as donor and international agency documents (eg UN) that discuss ‘appropriate’ policy responses to social needs, this paper will examine how the relationship between the state and private provision of social services has been conceptualized by various analysts and policy makers and the implications various conceptualizations have in terms addressing the challenges of poverty and inequality. A case study approach will then be used to examine how social service provision has played out empirically in a variety of historical and country contexts. Focusing particularly on the case studies of Iran, Palestine and Turkey, the paper will examine the diverse ways that both domestic and global discourse has (re)shaped the perceived and actual role non-state actors play in providing social services with a focus on various historical turning points. The case of Turkey will be used to provide an example of a fairly classic neoliberal policy transition. This case will be contrasted with a discussion of Iran, with a particular focus on various domestic policy shifts that have occurred since the post-1979 revolution. The analysis of Palestine will focus on the shifting role non-state actors have played, particularly since the 1993 Oslo accords. Taking a historical, case study approach provides not only evidence of the diverse and shifting perceived and actual role played by non-state actors, but also how the discourse around and the reality of social service provision are often in contradiction with each other.