LIBERALISM AND SOCIAL DEMOCRACY (CONTINUED):Liberalism vs. Social Democracy

International Relations-PSC 201

LESSON 35

LIBERALISM AND SOCIAL DEMOCRACY (CONTINUED)

Social Democracy

Social democracy is a political ideology emerging in the late 19th and early 20th centuries from supporters

of Marxism who believed that the transition to a socialist society could be achieved through democratic

evolutionary rather than revolutionary means.

During the early and mid-20th century, social democrats were in favor of stronger labor laws,

nationalization of major industries, and a strong welfare state. Over the course of the 20th century, most

social democrats gradually distanced themselves from Marxism and class struggle.

At present, social democrats don't see a conflict between a capitalist market economy and a socialist society,

so they support reforming capitalism to make it more equitable through creation of a welfare state.

In the past, social democrats were often described as reformist socialists (since they advocated the

implementation of socialism through gradual reforms). They were contrasted with revolutionary socialists, who

advocated socialism through a workers' revolution.

Today, democratic socialists carry on the reformist socialism legacy and desire a fully socialist system through

electoral means. But most social democrats want capitalism to be more equitable, not abolished.

Social democratic parties are amongst the largest in most European countries, and in European-influenced

parts of the world (with the notable exception of the US). Social democrats are politically centre of left.

Liberalism vs. Social Democracy

The fundamental difference between liberalism and social democracy, besides the difference in origins, is in

their views regarding the role of the state in the economy.

Social democracy seeks to achieve a certain extent of equality of outcomes, and upholds egalitarianism as

the source of its moral values.

Social democrats support a large public sector and nationalization of utilities like gas and electricity to avoid

private monopolies, achieve social justice, and raise living standards for all. Liberalism, instead prefers much

less state intervention.

In the 1990s, many social democratic parties adopted neoliberal economic policies like extensive

privatizations and open markets, much to the dismay of their own voters.

This has led these parties to become de facto neoliberal, and often resulted in a drastic loss of their popular

support. For example, critics of the German Social Democratic Party and the British Labour Party accuse

them of pursuing neoliberal policies.

Relevant Vocabulary

Abolish to declare illegal

Adopted applied

Intervention - interference

De facto in effect

Suggested Readings

Students are advised to read the following to develop a better understanding of the various principals

highlighted in this hand-out:

http://en.wikipedia.org/wiki/Social_democracy

Table of Contents: