Why we need Social Democracy Right Now in America

The political issues post Covid 19 are becoming very clear in 2024 and beyond. Human rights, democracy, and immigration. The consequences of war, possible nuclear war, climate change, labor strife, and the high cost of living.  The truth is that these issues do not fit neatly into boxes; they are entangled,  connected and related to each other.  The issues crossover and affect other issues; what we clearly need is some form of universal standards, “social democratic standards” which we can apply to the Democratic Party.  We truly need more than the Democratic Party to get us out of our present political disaster, so that we have a chance to preserve our planet’s future and our own survival.   We need to create new goal posts for our politics with the hope that all the important issues may be properly addressed immediately and justly.  

The Overton window, class politics and the need for a countervailing force, working class is crucial, right now   

Our “Overton window” is stuffed and stacked with our politics right now!    This is not to say we should be pleased.   I would prefer the lack of horrendous political problems, but while we are still breathing, here we go.

Just to illustrate with a baseline issue, young folks and seniors today struggle with the high cost of living in America.  It is no fun to see our next generation struggle with this problem.   This lack of affordability of rent is killing young people, young families and seniors.  The high cost of living is not a recent problem but has been with us for decades.

When young people begin to scurry, worry and become worn out with working two jobs, plus balancing their own family and life responsibilities, when is there time for reflection and enjoyment; the freedom to do as you wish? To raise your children properly? What about one’s physical and mental health and personal welfare? How does this constant grind impinge on political discourse?    Does this distract young people from joining and playing a part in politics?

Seniors also would like to live comfortably on their savings and social security income.  What with the high costs of food, medicine, housing and the like, coupled with personal debt, all these costs cut into personal budgets and any real notion that we all live in a secure world.

Of course, organized labor must play a major role here (we need the PRO Act), as the working class is a large component in this strategy.    We should never forget either that healthy unions create a vibrant middle class.  The work that Sean Fein has done with the UAW is only the beginning! There is more work being done at Telsa plants and on Amazon work floors as we speak. Other campaigns to organize workers are going on as well.   This politics resonates with service workers, and jobs that are high stress, repetitive and dangerous to the welfare of the worker.  They need class protection!   Also, Artificial Intelligence should be available to limit certain work tasks, which should help lower the overall costs of production that can be passed on to consumers in more affordable goods and services.    Legislation that raises the federal minimum hourly wage can also greatly help here.   

History of Social Democracy – admittedly fell short but provided us a playbook to initiate needed reform work; acknowledges Marx’s shortcomings

The old social democratic parties of Europe of the 20^th century, as part of the Second International, all shared an inspiration from Karl Marx, as well as the goal of a radical transformation of society in favor of the working class   The argument and criticism that Social Democracy fell short due to rampant globalization and lack of first principles are real criticisms. Democracy is very much a part of our America tradition.  It has historically served as a pathway to win power on behalf of the working and middle classes through the programs of FDR.   What we can all do is learn from its mistakes and move forward.    While it is acceptable to criticize social democracy, within the scope of its obvious shortcomings, it is our only pathway to winning power. 

If we continue with a society in America that contains systemic bias in favor of the corporate capitalist class, this high-cost-of-living problem will likely continue and lead to more anger and frustration, and hence movement towards other right-wing populists, ie. MAGA.    The simple fact is that capitalism is with us, it never fell on its own weight; the middle class is nevertheless still very much intact.    But the needle still needs to be moved towards a more humane and egalitarian society, right now, in favor of working-and middle-class folks, with a theme of “We the people.”   

In 21^st Century America, we need to differentiate that within the middle class there are small businesses owners who face their own struggles.   Small businesses contribute nearly half of all new jobs every year and need our protection. There are considerable regulatory and licensing barriers, the tax system and the banking system are biased against them, which all negatively impacts the business’s bottom line, preventing the small business from doing more for its employees in the form of better pay and improved fringe benefits.   Our politics can do more to greatly impress the small business community of our appreciation for their economic contributions.  For instance, a Medicare for all legislation would help level the playing field when it comes to employers’ recruitment of their own labor force.  We need to address the burgeoning crisis that small business faces.

Regulating/reforming capitalism, helping make goods and services truly affordable 

Like the Consumer Financial Protection Bureau, which was created to protect the public from unscrupulous lenders, we need a new federal agency that regulates and protects the public from unscrupulous landlords and that sets serious limits on rent nationwide.   Coupled with the construction of building green new deal public housing in the inner cities and rolling back certain antiquated zoning ordinances with new ones, this should be priority one. 

And price controls couple with some industrial policy should be considered in certain industries that support basic needs for food production, steel, health care, oil and gas, renewable energy in general, that positively affects inflation and the cost of living.  Further, we need real anti-trust oversight, and free tuition for public education for all.  The federal government should be the ultimate guarantor for an efficient economy that favors workers and consumers.  

We need real ideas that we can use to visualize and work towards in radically transforming our society

Already, we have examples that potentially can assist the working class and middle class.  For starters, credit unions have served as a helpful tool offering good interest rates and credit to those less credit worthy.  We can push for an alternate banking system as a combination of the Small Business Administration and what credit unions presently offer.  Capital for the new alternate banking system could come from small businesses accounts holders and individual account holder deposits in conjunction with borrowed funds from the federal government that could help fund this banking system.  There would need to be limits on the purpose and type of said loans. Loans can be conditioned on green new deal politics, and employee diversity, which can then create more favorable loan terms, in favor of small businesses, cooperatives, working class families and seniors. Small businesses and cooperatives always need Ty-over capital during periods when cash flow gets tight.  The cooperative model and employee self-management could also be further advanced with tax incentives and new green technology. There are tools we have now to improve the working and middle classes, and we should strongly consider using them.   These are just examples of what can be done.

Our climate crisis

Our battle right now is for our planet and priority one is our climate crisis; not conquering foreign countries such as Ukraine and Gaza; but rather greed, war, and pollution which all ravaging our planet.  As a human race, we give nothing back; we absolutely need sustainable energy, now and for our future.     We support the blueprint for a green new deal.  This can be accomplished through further reforms.  With international cooperation, this can be achieved well within our lifetimes.  Science, based on the evidence,  transformed into reforms, can resolve this crisis. If this is a man-made problem, then humanity can resolve it.   We have no one else to blame but ourselves for our poor politics.  We have the technology now for solar, wind, and hydroelectric power; bad politics  is getting in the way.

We can start right now with the US Senate and congressional elections in 2026.  The issue of renewable energy cuts across party lines.  The long reach of the Teddy Roosevelt’s conservationists extends into the 21^st century America.   Selling off public lands to private interests is not the way to go.  We can and must reverse this trend, but we need a coalition effort in Congress, to achieve this feat. 

MAGA’s will likely still be around in 2028 and beyond

Adan Kinzinger and Liz Cheney continue to speak for the conservative and establishment wing of the Republican Party (GOP).  The more than 200 or so named GOP leaders, (mostly former office holders with some former government appointees) endorsed the Harris-Walz ticket. This was no movement toward the formation of a new political party on the Right.    This was never  their intention.   For now, they will use the Democratic Party (Dem Party) as leverage towards defeating MAGA candidates, then hopefully return to business as usual via a reformed GOP under their guidance and control.  Their last card to play would be a new political party, some kind of “New Conservative Party.”   MAGA could still be with us over the next several election cycles until such dreams come true.    It will not go away suddenly or overnight with any defeat of MAGA. 

Both MAGA, and the GOP (Cheney and Kinzinger), sorely lack the social justice history to help move their supporters forward, but Social Democrats have this history under Franklin Delano Roosevelt.   Furthermore, Roosevelt (FDR) never saw ideology as a barrier to reforms as he saw the immediate benefits of Keynesian Economics, something which the Karl Kautsky’s Social Democrats of the German SPD struggled with, as being insufficiently Marxist.   FDR also saw labor reform as a pivotal countervailing economic force to help balance the excesses of capitalism in favor of working-class interests. 

Can we really afford to wait for the GOP to defeat MAGA?

I would propose that Social Democracy can help defeat MAGA both in the short and long term.   The choice is rather clear; our historic track record requires us to give the Dem Party a good look.    Our history of the FDR New Deal legislation, in conjunction with the advancement of pro-labor legislation, pro-reforms and public works, need  to return to its rightful spot within the Dem Party, and Social Democracy can play a potentially unifying  role in this reformation, at least to help offset the influence of the pro-corporate dominance within the Dem Party, which must eventually be confronted.    

How can we defeat MAGA?  With a “We the People” theme via the Swedish Social Democrats of old. Conservative working-class folks can be offered reforms that give them hope that democracy can work for them, too.   With no reforms, there is a tendency for them (MAGA) to follow the lead of other institutions, like white protestant Christian churches, which support white Christian Nationalism who seek to cast democracy aside as a threat to their order, and MAGA itself, which aids and abets racism and patriarchy.   

We know through polling and economic study that there are MAGA working class families, who would more than welcome a Medicare for all program, education assistance for their children, government subsidized day care and further assistance for seniors who live with family members.  Besides already receiving social security checks and other paid benefits from the government, there is already a perception that government can serve as a positive force in their lives. 

This same appeal would continue within the Dem Party, just as were employed by the Swedes, French, and where appropriate, within the German SPD at the turn of the 20^th century and forward, as they each formed cross-coalitions with non-socialists.    Similarly, cross coalitions from within the Dem Party can help accomplish our agenda in 21^st century America.   We can be transparent to all, open to all, and allow new members to inform us rather than the other way around.   We can use the same appeal that Bernie Sanders has, except in organizational form.  Ideology would be downplayed, since this would be a coalition effort, a movement.  This is not to say this would be easy, but the elements within the Dem Party are already present for this coalition to happen.   Decent reform programs would not only help unify the Dem Party but also attract certain MAGA elements who would directly benefit from government reforms.  MAGA talks about being “the party of the working class.”   We would turn that narrative on its head, show that MAGA and the GOP just talk, and in this way, Social Democracy can help lead and advance a lasting political realignment for decades to come.   Such would be our Social Democratic moment with lasting gains.   Now is the time, once again!

What if Barack Obama’s presidency had Justice Democrats, Progressive Democrats, and Our Revolution during his administrations?  Could we have seen different results?     We have a moment right now, and it is not too late, but we must start now!   Supporting the Dem Party is only the first step.  Let’s hope we see the difference and seize our moment, right now.     

Conclusion

The same Social Democratic playbook in 20^th Century Europe can be employed in 21^st century America and can be adapted accordingly. In the end, different iterations of the Social Democratic parties were necessary in order to adapt to the particular politics of each country.  And in America, the Dem Party for now, can serve as our vehicle.   It contains all the needed elements for a winning coalition and can allow Social Democrats to freely operate from within.   We can and must form the needed coalition of working-class conservatives, non-corporate moderates, liberals, progressives, greens, social democrats and non-sectarian socialists and seize our moment, right now!   

 Kevin  McGuire                                             Steering Committee Member                       kevin@sdaharriscounty.org                           713-855-3265                                                    www.sdaharriscounty.org