Republicans have frequently attacked progressives as socialists, as people who want the government to control everyone and inhibit free enterprise and entrepreneurship. It is clear that Trump intends to argue this in his re-election bid. Though the Republican attacks are dishonest and misleading, they are somewhat effective because of the history of the word “socialism” and its relationship to totalitarian communism, specifically to the old Soviet Union, aka the USSR or the Union of Soviet Socialist Republics.
We need to use a new phrase to describe the kind of changes that progressives are proposing. I propose SOCIAL CAPITALIST instead of Democratic Socialist.
There are those who will argue that this is a cop out, but unfortunately when you don’t use the word “capitalist” or “capitalism” when describing the kind of government you are advocating for, unsophisticated audiences can easily be misled into believing the right-wing tropes about Democratic Socialism.
Senator Bernie Sanders and Representative Alexandria Ocasio-Cortez describe themselves as Democratic Socialists as practiced in Norway and Denmark. However, pure socialists are more focused on remaking a society in which private property is extremely limited, whereas the Nordic countries are more about regulating capitalism and having an extensive safety net, which is what Sanders and AOC are really advocating.
The problem is the use of the word socialism. Most progressives are not advocating for pure socialism, but for the revamping of capitalism, so the word “capitalism” needs to be included in the phrase we use. Simply put, Social Capitalism is essentially the same as Democratic Socialism but without the baggage. Social capitalism describes more accurately both Nordic democracies and American progressive values.
My definition for a Social Capitalist is someone who believes that capitalism must serve the social interests of the citizenry in addition to the interests of business.
A Social Capitalist believes in a free enterprise economy that is regulated to prevent the consolidation and inequality of wealth along with protecting consumers and the environment; and a Social Capitalist believes that the government needs to provide a much greater safety net for those who need it.
The United States is both capitalist and socialist.
The oil companies, the automobile companies, mom and pop businesses, Google, Apple, Amazon are all examples of capitalism.
Public schools, the police department, fire department, social security, Medicare, the armed forces, fixing roads and bridges - are all socialism.
Some things are better left to the private sector – restaurants, for example.
Some things are better left to the public sector – the water supply.
Sometimes both the public and private sector are appropriate: the Post Office (which is socialistic) and FEDEX (which is a private company) compete. Private universities like USC and public universities like UCLA are both great educational institutions.
The issue today is not to get rid of capitalism, but how to regulate and manage it so that corporations serve not only their shareholders but the society at large.
And in some cases, like healthcare, it might be cheaper and more efficient to take out the profit motive and use the single-payer approach. Obamacare was an attempt to reform the employer and individual insurance marketplace for those who are not enrolled in the socialized parts of our health insurance – Medicaid and Medicare. But even if we got rid of the private insurance market for healthcare, it does not mean we would be living in a purely socialized country. Far from it.
The issue is not socialism vs. capitalism, but rather Social Capitalism vs. Laissez-Faire Capitalism. Here are a few of the differences:
SOCIAL CAPITALISTS…
Are deeply concerned with the gaping inequality of wealth.
Want the super-wealthy and large corporations to pay their fair share of taxes.
Believe that corporations need to be watched carefully to prevent corruption and pollution.
Advocate for universal health coverage guaranteed by the government either by itself or in conjunction with private insurance.
Desire to strengthen and enhance social security.
Support public education.
NOTE: All of the Social Capitalists’ positions are not about ending capitalism, but about regulating it to make it serve the needs of society as well as the investor class. It wishes to work with business to make society better and, where needed, use the government’s resources; its goal is to reform and enhance capitalism, not get rid of it.
LAISSEZ-FAIRE CAPITALISTS…
Have no problems with the huge disparities of wealth.
Oppose raising taxes on the upper class and large companies and, in fact, will lower them every chance they get.
Want corporations and businesses to have little or no regulation or supervision.
Do not believe everyone has a right to healthcare and oppose the government being involved in healthcare for its citizens.
Wish to weaken and privatize social security.
Oppose public education.
NOTE: Laissez-faire Capitalists pine for an Ayn Rand world of unfettered business practices where oligarchies are not shunned but embraced. A wealthy supreme ruling class is allowed to do what it wishes with little or no government interference. Also, they want to reverse the New Deal and the Great Society and bring us back to the Gilded Age.
Polls show that on most of the issues, the public supports progressive proposals by a wide margin. They believe in universal healthcare, increased taxation for the rich, increased Social Security and Medicare benefits, assisting in the student debt crisis, etc.
But the public is also fearful of a government that is too powerful and potentially oppressive. The use of the word “socialism” is easily exploited by Trump and his allies to feed that fear. It isn’t fair and it isn’t honest, but it is what they are doing and will continue to do.
There is no reason to give them this opening, particularly when Democratic Socialists are really talking about reforming capitalism.
SOCIAL CAPITALISM is a better phrase politically and more accurately describes the kind of government progressives and Democrats envision.