Hoorcollege 5: Socialists and Social Democrats

Question 1

Two types of left-wingers early 19th century

Answer 1

Came about due to industrialisation and capitalism.
1. Utopians: wanted to create utopian communities where people would transform market/society
2. The early reformists: trying to improve worker rights, provide protection for workers.

Question 2

Context behind socialism

Answer 2

Rise of industrialisation and capitalism. Rise of the working class. More people can vote. Emergence of groups that wanted to protect workers from capitalism. Party politics emerging.

Question 3

Scientific marxism

Answer 3

Concept of history: believed history went through stages, believed change would happen through class conflict. He was positive about capitalism in two things: Capitalism simplifies class conflict and made society richer. He believed in change and technology, the problem with the way capitalism is organised is that power and technology are in the hands of the few. These points are also why he is against utopians, as they believe in a primitive society. Eventually would lead to revolution, but conditions had to be right → couldn’t happen before the contradiction was there or before industrialisation was so far along that it created more poverty but actually freed workers. Core problem of social democracy/communism is that the how is not explained.

Question 4

Two ways of thinking how the revolution/reform should happen

Answer 4

By political parties that emerged in the 19th century.
1. Revolutionarists: The conditions had to be right for revolution. They believed in a revolution. Idea here is that it can’t happen in a liberal democracy, revolution cannot happen in confines of capitalism. These eventually became the communists.
2. Reformists: Social democrats. Says we can reform capitalism, not completely overthrow it and then a socialist society. This can happen within the confines of capitalism. Participation in elections was okay. Reform would/could happen through parliament and through the liberal democratic state.

Question 5

Pre WWII socialists

Answer 5

1. Tended to be more reformist
2. They wanted to reform capitalism
3. They wanted to do this through more state regulation and social programs
4. The state would remain- no withering away of the state
5. Control capitalism now and have a socialist state later.
6. Reluctant relationship with democracy

Question 6

Pre WWII communists

Answer 6

1. Communism only through true abolishment of capitalism and a market economy → revolution. 2. Production in the hands of the proletariat.
2. The state would not be necessary.
3. Reluctant relationship with democracy

Question 7

Post WWII context NATO vs USSR

Answer 7

Division between socialists and communists continues but becomes more pronounced. Context of the Cold War and the Soviet Union: Communist parties are loyal to the USSR. Socialist parties to the West (NATO) as a marker. NATO becomes the dividing line of are you loyal to the west or SU. Many social democratic parties pledge alliance to NATO/west and thus to liberal democracy. Important because it divides within countries.

Question 8

Post WWII context influence of fascism and WWII

Answer 8

Most western democracies would rather have an authoritarian regime than have a communist influence. Social democrats accept liberal democracy because they felt like they were not strong enough in their support of liberal democracy before the 2nd world war → They didn’t help with the cause of the rise of fascism. It undermined the state. There was this idea of that we were all liberal democrats now, social democrats were more critical but still liberal democrats.

Question 9

Post WWII context Keynesian economics

Answer 9

The state is there to regulate capitalism → Keynesian socialism. Accept that the state is going to be reformist. Accept Keynesian economics. Keynes was not a socialist, but a liberal. He saw the rise of uncontrolled capitalism and the depression that came with it, said the state needed to be more active → socialist ideology. The core of the problem of social democracy.

Question 10

Post WWII compromise left side

Answer 10

The Left: We accept the liberal democratic state and capitalist economy. We accept the principles of a market economy, but we want labour rights, social rights, regulation. Radical. Left does this because they see the necessity for democracy and to reform capitalism.

Question 11

Post WWII compromise right side

Answer 11

The Right: The right is also afraid of uncontrolled capitalism, rise of fascism was partly because of this. They were also afraid of communism. If capitalism was not tamed, communism would spread to Europe. We want a market economy, you must accept the liberal democratic state. We give you labour and social rights. Deal what was made between left and right

Question 12

Post WWII compromise result

Answer 12

This led to the rebuilding the economy: Marshal Plan. Also to show that the west was stronger than SU. Prevention of social unrest and keep communism at bay

Question 13

Construction of welfare state

Answer 13

1. Regulation of capital: through state control over capital → Taxes, tariffs, nationalisation of industry. Protect production through tariffs, coal and steel nationalised.
2. Construction of social programs: pensions, education, child care, health care.
3. (Keynesian) welfare state. The state plays an active role by taxation and spending to guide capitalism through the ups and downs of economy, also to protect its citizens and those who are less well off.

Question 14

Social democratic ideology

Answer 14

1. Support of the social programs
2. Support of progressive taxation
3. Support of state nationalisation
4. Support of better working rights for workers
   Two most important points
5. Keynesian welfare state becomes more or less social democratic ideology
6. Competition primarily on the economic dimension instead of cultural

Question 15

1970s and economic changes

Answer 15

Economic crisis → rise of neoconservatism → Economic restructuring 1970s
Rise of stagflation meant it was harder to adhere to Keynesian solutions.

Question 16

1970s and globalisation

Answer 16

International trade, but regulated by state. This allowed states to have control over spending and the welfare state = Post WWII embedded liberalism. Argument is that states could still control capital.
In late 1960s and 1970s the state becomes less embedded. Process of economic development and politics becoming more intertwined. Increase in international trade, partly due to capitalism (wanting more markets, labour becoming more expensive). Increase in international production. Capital power over the state, causes the process of de-regulation. Capital (companies) has more leverage over the state.

Question 17

Social democratic parties in the 1970s

Answer 17

Keynesian economics no longer works. Debate on of this is really true or if it’s just ideological. Argument is that it creates stagflation, capital doesn’t like regulation. Capital flight becomes more possible. Paralysis due to this debate. Cap on labour (Sweden, Austria, Germany), labour and unions could work together in corporatist matter to control wages. They begin to adapt (United Kingdom). This has huge effects on social democracy and what it means to be a social democrat.

Question 18

Rise of the new left

Answer 18

Society changes, material growth, younger generation more educated. General rebellion among younger generation in the 1960s and the 1970s. This is the origins of the green parties and new left. This makes it more complicated for the left. Left was more economic based, material. Now the rise of the cultural left → postmaterial: Gender, gay rights, the environment. Being left is not only defined along economic lines.
Young people here hated social democrats because they were all about economic growth, they didn’t care about questions of democracy/culture. Messes things up within the left.

Question 19

Mitterand route third way 1980s

Answer 19

1981- Francois Mitterand and the socialists win presidential elections and gain majority in the National Assembly. French politics very sceptical about globalisation. Socialists power over national assembly and presidency → socialist policies implemented where they break with capitalism and the globalisation going on. Mix of socialism, French republicanism (even De Gaulle)

Question 20

Socialist U-Turn France

Answer 20

Forced to radically change. Because capital wreaks havoc, high inflation. Keynesianism doesn’t work in one country. Instead of focusing of wages, full employment, fighting
inflation became the key. This means that wages and prices were frozen and public spending was cut. Question: was social democracy (Keynesian style) still possible? Because of this internationalisation of trade.
Jacques Delors became head of the EC → rejuvenation of European integration. Believed Keynesianism would work on EU level. Single European Act, Maastricht etc.
Others, need to become more radical. Social democracy needs to change

Question 21

Gonzales route 1980s third way

Answer 21

Prime Minster in Spain (much respected with international influence). Social democrat. Very important in Spain’s transition to a democracy. Were also forced to become less Keynesian and social democratic. They needed to modernise and be accommodative to Europe and the right in Spain. “I may be a socialist but I am not dumb” → I see what market forces can do and Spain’s place in Europe (fragility of democracy), so no radical policy. Important example of the marketisation of social democracy. Increasing idea that Keynesianism did not work.

Question 22

Bennites within Labour

Answer 22

Movement within the Labour party. They were a radical wing here. Labour party also struggling with what it should do. Debate between radical and more market right wing group. This is an ideological and not a structural battle; a more radical form of social democracy was possible according to them. Said we need to return to the grassroots, mobilise and fight for the radical left. Fight for social democracy against the hegemony of the right. Fight for defining reality, what works and doesn’t work. Was won by the right, convinced the people this radical form of social democracy didn’t work.

Question 23

1990s and the third way

Answer 23

Third way movement that came about in 1990s, legacy of social democracy. Was an attempt to try to negotiate this critique of Keynesianism, new conservatism and new left. Examples are Tony Blair, Purple Government in NL and SPD-Green coalition. Left wanted to become more electorally attractive. Idea to become more market oriented and to move away from Keynesianism. Incorporate other issues from left and right.

Question 24

Tony Blair years

Answer 24

Clearest articulation of the Third Way → How to make Labour electable again. Moved away from the unions, abandonment of Keynesian politics → change nature of the state. State would enact more market reforms, but would be used in a different way. State would be there to provide more incentives as opposed to giving people more money. Combination of state spending and market reforms. More market reforms in terms of education and health. Introduced minimum wage and parental rights. Also a focus on non-material issues, identity issues. Comes out of the crisis of Keynesianism and the rise from new left politics.

Question 25

Purple cabinet

Answer 25

Prime Minister Wim Kok. The Kok I cabinet (1994-1998). The Kok II cabinet (1998-2002). Broad coalition consisting of PvdA and the two liberal parties (VVD and D66). Tried to combine market economic policies with social policies. Introduced more active labour market policies, as opposed to outright spending. Was highly controversial, many left the PvdA during this period as they felt they were abandoning social democracy, they were too market oriented. Same as UK, rethink nature of the welfare state. More focus on equality of opportunity. Non-material issues: Same-sex marriage, euthanasia

Question 26

Red-Green government Germany

Answer 26

Large focus was on reducing the spending of the welfare state, reducing taxes for business, reducing the cost of labour. Instead of just giving people welfare, you gave the money to retrain. Neoliberalism or using the state in a different way?

Question 27

Summary of what the third way is

Answer 27

Need to abandon Keynesian economics (idea of spending): supply side citizenship. Increase opportunities for individuals. Becomes more liberal.
Move from a demand philosophy, i.e. that you increase demand to increase employment, to a supply side that you need to focus on supplying labour and capital to the markets. Supply side citizenship: The state creates the framework to enable the individual to realise their opportunity. It is less based upon creating the very opportunity by the actions of the state, i.e. it is about enabling (education), or said another way, it is about providing the goal and not about the right of social citizenship
More focus on socio-cultural issues: multiculturalism, the environment → move to the political centre.
Renew democracy: local democracy etc. Also within the party, less role for unions and other internal organizations. Don’t be afraid of centre-right issues: law and order. You want to change the idea of the relationship with the left.

Question 28

Was the third way a failure or a success?

Answer 28

There was initial success. As we saw, a series of important left-wing governments. UK, NL, GE. With periodic revivals: Rutte II (VVD-PvdA) (2012-2017), current Scholz cabinet Germany. But it has not been sustainable. Their electoral success has not increased to what it was. It has often declined or leveled out at the best.

Question 29

Is there still an era of the third way?

Answer 29

Less of a clear dominant focus. Most social democratic parties still practice some form of the Third Way. More centrist economically. Cultural issues important. In some cases a backlash against the Third Way. Rise of the populist left

Question 30

Three dilemma’s for social democracy

Answer 30

1. soft centre
2. welfare success
3. triangle of choice

Question 31

Soft centre

Answer 31

Many social democratic parties have turned to the “soft middle” → To the middle class. They have done this, especially regarding their economic issues. However, research atones the degree to which this support is less loyal (Karreth et al., 2013). Argument here is that this is much more volatile. Problem of the Third Way, abandon social democratic voters.

Question 32

Welfare success

Answer 32

Social democratic parties are the victims of their own success. Since much of their ideology was based upon the Keynesian welfare state, there is ceiling effect. People no longer feel the urgency/no more mobilising. In societies that have a more established welfare state, they are less successful (Loxbo et al., 2021).

Question 33

The triangle choice

Answer 33

Politics has become two-dimensional: The economic and the cultural dimension. The cultural dimension is particularly difficult for the social democratic parties, they are pulled between the more culturally progressive and the less progressive voters. They are trying to put them under the same umbrella, but they’re very different. This is part and parcel of the redefinition of what it means to be left-wing.