Social Democracy

What three assumptions does social democracy attempt to reconcile free-market capitalism with?

- The capitalist system's way of distributing wealth produces inequality and poverty

- state intervention in economic and social affairs protect the public and remedy weakness of capitalism

- peaceful and constitutional methods should be used to bring about social change

Origins of Socialism

* emerged as a response to the unregulated capitalism of late 19th and 20th century - goal was to make a more humane and equitable society
* prioritises social justice, universal access to healthcare and education

Why do social democrats reject the ideas of democratic socialism?

Too radical and too revolutionary e.g. 1983 Labour government manifesto was described as the "longest suicide note in history" with all its reforms like removing nukes in the middle of cold war

What is Social Democracy?

* a hybrid system combining a capitalist economy and a government that supports equality.
* closest to the centre of the political spectrum.
* favours a gradual approach to social change.

Human Nature

Crosland outlined human nature has a powerful sense of "fairness" and objected huge inequalities of outcome.
This view can be seen in:
- equality with a capitalist system
- welfare state to diminish inequality

Society

* Society is built around social justice and does not require mass state control
* Chiefly concerned with just or fair distribution of welath in society - social justice is defining
* Crosland argues socialism social equality is a fundamental aim and not ownership of means of production
* Society is increasingly complicated with emergence of new social groups - “meritocratic” managers and “classless” technocrats
* sought to reconcile class distinction between equality of outcome and opportunity
* did acknowledge pure meritocratic society of equal opportunity was insufficient

Social Justice

Commitment to greater equality and a just distribution of wealth to even the playing field.
e.g. universal healthcare, education or minimum wage - heavily linked to collectivisim
Socio-political aspect

Equality

Crosland asserts we all have equal worth. Does not go as far as complete equality but says "extra responsibility and exceptional talent require and deserve a differential award"
e.g. progressive taxation, a welfare state based on universal benefit

Economy

System based on private ownership civilised via left-wing policies like minimum wage, anti-discrimination laws etc. Prevents exploitation, especially with trade unions and collective bargaining.

e.g. National Minimum Wage Act 1998 - Blair government
Germany Minimum Wage Act 2014 - Angela Merkel
Health and Safety Act 1974 (duty of employers to injuries of employees) - Michael Foot
Education Maintenance Allowance - £30 per week, New Labour

State Intervention within Economy

Crosland argued after 1945 society was "less binary" between employers and employees - new classes, managers and technocrats so argued we needed a mixed economy

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Mixed economy

Some bits owned by public sector, some owned by private sector. Market forces are made to work for the good of people - full employment, low inflation and environmentally sustainable growth
Fiscal policy, expanding welfare

e.g. NICE decade - Non Inflationary Continued Expansion (new labour)

The State

* Reduction of state power is likely to produce inequality.
* Existing state can still serve a purpose to effect radical change e.g. Clement Atlee created welfare state under existing state apparatus