Left Out in Europe

The European left, such as it is, got clobbered in the recent elections for the European parliament. In the next parliament, center-right parties will have almost twice as many seats as social democrats. Of left parties, only the Greens gained slightly. Far-right nationalistic parties picked up strength.

This should hardly come as a surprise. Over the past generation, especially in places like Britain, Germany, and the Netherlands, Europe's center-left has worked hard to neuter itself as an opposition force, rivaling free market parties in an embrace of high finance and heedless globalization.

In the late 1990s and early in the present century, Gerhardt Schroeder of the Social Democrats, then the German Chancellor, was a leading sponsor of financial market liberalization. He also went to great lengths to weaken labor protections. His British counterpart, Britain's Tony Blair, went Schroeder one better in putting all of his economic eggs in the basket of Britain's financial elite. Blair intensified the financial policies of Tory Margaret Thatcher. As in the US, the seeds of the current financial collapse were sown under nominally left-of-center governments.

The Italian left has vanished almost entirely. In France, factional and personal disputes have prevented the Socialist Party from offering a coherent alternative to President Nicolas Sarkozy, who offers a characteristically French, paradoxical combination of nationalism and social protection.

For a generation, the European center-left has embraced essentially the same version of global laissez-faire and liberated finance as the center-right parties, tempered by only a marginally better version of the welfare state. The common formula is: liberalized capital markets; freer global trade; reduced protections for workers; flatter taxes. The very phrase, "center-left" is an emblem of the capitulation to global finance. Thus, leading moderately left parties have scant alternatives to offer voters at a time when free market capitalism has thoroughly disgraced itself.

Alienated voters either stay home or vote for the far right. It's an old story--and given what we know of twentieth century European history, a terrifying one.

The ideological lines are further blurred because the center-right also defends the welfare state. But everywhere, the cost of paying for the failures of capitalism is rising, leaving all of the mainstream parties with a fiscal crisis. Because of these costs, the welfare state in much of Europe has become a defensive fortress--a society of insiders and outsiders. The insiders are civil servants and a dwindling number of workers with secure jobs. The outsiders are increasing numbers young people, women, and immigrants, who cannot find good jobs and do not enjoy the full social protections. This bargain is not stable, either economically or politically.

The short term winners are the center-right parties, which form the governing party in most of the nations of the European Union. But they hardly offer the voters much either. The leader of the British opposition, Tory David Cameron, hasn't a clue how to help Britain recover from economic collapse. But he is likely to win the next election. The ruling coalitions in France, Germany, and Italy are not delivering economic recovery. But absent a believable left, they will continue to govern.

The EU, once a possible instrument of social democracy on one continent, itself has become something of a Trojan Horse. Its basic document, the Maastricht Treaty, makes free movement of capital, goods, services, and persons a core constitutional doctrine. Social protections are secondary.

Thus, the European Court of Justice has recently issued rulings defending the rights of nations such as Poland, Estonia and Latvia, with lower social protections, to impose their standards on the core nations of the EU. German contractors can end-run Germany's good labor standards by hiring Polish sub-contractors. Construction and transport firms from the Baltics can undermine Sweden's system of collective bargaining. Hedge funds based in London can buy Scandinavian firms and erode the local social compact. This has become Europe's version of a race to the bottom.

The politics of the EU compound the constitutional problem. The Commission of the EU, based in Brussels, could adopt stronger social defenses if it so chose. But center-right parties currently have a strong majority of governments of Europe's 27 member states. So policies to constrain the regime of global finance cannot win support. The British Labour government, nominally part of the center-left, invariably votes newer member states that have center-right governments, against anything that could be considered a restraint on free capital movements.

The exceptions to this sorry picture are the Social Democratic parties of Scandinavia and to some extent of Spain. The Nordic Social Democrats have insisted on a social model that spends enough money to provide security combined with flexibility. Denmark supports liberal trade, but there are powerful quid pro quos. When a Danish worker changes jobs, it is usually to move to a better job, with the mobility subsidized by the state. There are hardly any low-wage workers in Denmark, and no welfare state of insiders and outsiders, except for some immigrant groups. And Denmark did not suffer a financial collapse because it did not abandon bank regulation.

There are currently conservative governments in Stockholm and Copenhagen, but they don't dare tamper with the basic formula. The former Danish Social Democratic Prime Minister, Poul Nyrup Rasmussen, is currently Europe's leading advocate of much tougher regulation of financial capital.

Rasmussen might have been the next president of the Commission of the EU, had the left not been trounced. And so the vicious circle continues. The left offers little to voters, and the right keeps being elected.

This is surely a moment for a compelling program to constrain capital in the broad public interest. Capitalism has demonstrated once again why it is not capable of being self-regulating. American progressives used to look longingly to Europe, with its stronger trade unions and its more comprehensive social protections. Those are still there, but unraveling under assault. What's missing on most of the continent is political leadership, vision, and nerve.

Robert Kuttner is co-editor of The American Prospect www.prospect.org, a Senior Fellow at Demos, www.demos.org, and author of "Obama's Challenge" www.obamaschallenge.com .

 

 

Comments

[jeanrenoir]

Nostalgic as Boomer veterans of the '68 barricades like Kuttner are, the days of the "left" per se are over. Thank God America never needs to look to Europe for direction again. Obama's humane pragmatism is just what the doctor ordered for genuine political progress in America across the board. He's got enough vision and nerve to lead the West forward. Obama has no more need to look to Old Europe for direction than Jackson Pollock did.

[nickmantas]

Until the Progressives or however we call them (Center-Left,Left, Liberals) here and in Europe grow a pair and stand up for principles and put the peoples' interests ahead of the corporate interests, we and the next couple generations are all screwed!

[graphicnovel]

The right is winning because socalism does not work, and Europe is finally realizing that, as we are trying to adopt it 20 years too late.

[scott63]

Europe has been able to spend lavishly on it's citizens low these many decades because the US has spent trillions safe gaurding there freedoms, hey if your niehbor is going to foot the bill for your home security that leaves alot of extra cash around to spoil your children with, bemoan this fact all you like but it is a fact.

[ultrabop]

How about stealing their oil and fomenting world chaos while ignoring the security of Americans in their homeland? 9/11 was proof of that.

[Jannsmoor]

I don't know if you people have noticed, but there is no left party in America.
There is a group of right wing extremists who get a lot of press coverage advocating torture, unnecessary foreign wars, laws forcing public and school religion, criminalizing birth control, gay bashing, banking deregulation, etc. The "moderate" group of Republicans are being voted out of office. Then you have the "blue dog" democrats, what used to be the Republican Party, and finally, you have the Democrats, a center right party that has pretty much accepted the far right agenda.
Thus, we have an unnecessary 3 trillion dollar war in Iraq, Cheney getting front page treatment for his "torture tour," Wall Street ownership of Washington D.C. (yeah, self regulation of greed will work, what could possibly go wrong with that?) to the point of world wide recession and decline of the American middle class, a failed public health care system, interest rates and gasoline prices that are strangling our nascent recovery, etc.
The left perspective almost never has a seat at the table in any political debate in any media. Thus the mainstream media has deceived the American people to believe what are usually center right positions are "left" positions.
It has to be somewhat amazing there is a left party remaining in Europe. Apparently the people with money over there didn't get the message that an avalanche of lies from the right wing can actually sway an entire nation.

[CompashCat]

I've been thinking the same thing for a long time now! It drives me friggin' insane. I was hoping things would change when Obama got into office, but the media is still focused more on the right-wing bloviators and liars than people with common sense and a sense of the common good.

[BBinMT]

Jannsmoor put it very well. The right got so far right, that they call centrists "left wing" and "liberal". True lefties and liberals are getting kicked around by the democratic majority in congress.

[squarebird]

You've got to be kidding me. The problem is that there is no right party in America. George W. and the neo-cons (i.e. "new conservatives" so-named because they are still socialist in domestic party but hawkish in foreign policy) took over the Republicans .. with the result that we all can see: a huge national debt and a loss in domestic freedom (adults are not even allowed to flavor their cigarettes, or board an airplane without being x-rayed!). So we fired Bush and kicked out the neo-cons .. but now we have a regime that wants even MORE government control and provide MORE government benefits .. at the point of a gun. Although W. was a lefty, at least he didn't make his gargantuan prescription medicine program medicine. The new leadership that we installed hoping to overturn Bush's programs has instead pushed them even further .. to the point of proposing the REQUIRE individuals to purchase health insurance - that changed a simply dumb and expensive idea of George W. Bush into a fascist idea. Anyone who purchases (or provides) health insurance at the point of a gun is trading freedom for slavery. When the slaves were freed, they lost their caretakers, but it was a worthy trade. Why do we want to return to that? We need a true rightwing party; that is one that is not based on maintaining power by bribing the voters and lobbyists.

[Bladernr1001]

Well said....but you probably won't convince any of the hard core socialists on this site.

We aare witnessing the failure of the so-called third way. It is still socialism (or semi-socialism) and it is still taking one citizens hard earned money and handing it to someone who did not earn it. This has been a failure everytime it has been tried.

[rattler99]

too true - right on the money!

[research]

Check out the "progressive Coalition" that includes Kucinich.

[lemonyashes]

Jansmoor those my thoughts too only you articulated them well. With Obama I sometimes feel used, or that he used the left to get elected, but that he's really center right. I hear people say the left get nowhere because they don't have a backbone, perhaps that's true. However we can't sustain a world with the right-wing agenda because it serves to few and is not well thought out.

[Nofuzzydreams]

Glad that socialists lost in Europe - who wants to go back to the Soviets except this author?

[Garioch]

Why not just post that you didn't read the article, don't know what a soviet was or understand anything about the broad scope of European politics. We would have got just the same message from that.

[squarebird]

I read the article and I got the same impression as Nofuzzy. Perhaps you should read the article.

[ultrabop]

The "socialists" have not lost anything. They still have their free health care, more efficient and producing better results than ours, and they still have a social safety net, meaning less crime, happier people.

What's not to like?

Are you confused by the word?

[bob225]

Another example of senselss left right thinking I’d point out in this article, is the issue regarding east european workers. The author argues it as a left position that it hurts the western european workers and that it is an evil right initiative to lower labor standards. However isn’t it usually the right point of view to keep out foreign workers who steal jobs. As a left leaning european I think it is important that the east european workers can’t be stopped from getting jobs in the western nations. After all that would defeat the point that all europeans should be equal and have equal opportunitys.

IT'S grey not black and white.
I must admit though that your american politics are much more exciting.

[squarebird]

Exactly! Leftists in the USA are ironically the ones who advocate the most protectionist, anti foreigner policies, on the basis that an American life is worth more than ten foriegn ones. The salary of one unionized worker in Detroit would support ten families in China or Burma. But Democrats would prefer those families starve than allow an American car company to pay those Chinese any less than the fat Detroit unionist.

[taliesnin]

muslims are now the ultimate scapegoat. they are the new jews. there is afinancial crisis who are we going to blame? muslims of course...but i don't think it will last. i think the chinese will be the new muslim. we can already sense an antichinese hatred in france. because they are hypocrites it's officially about the dalai lama and the hulan rights, but it's just bullshit. europe used to rule the world now it's over. they had a dream: the unification of europe, but euro caused inflation so they are angry and now these chinese, thes indians, these muslims..so now the mood in europe is fear and xenophobia and no collective dream

[rattler99]

not true - there is a large contingent of east european and muslim content using the social services provided by the high taxation - not sustainable

[bob225]

This is a very distorted view of the european election and ignores certain realitys
1 The turnout is very bad for every european election, because it is well known that the european parliment is very ienffective. So the far the right party always gain compare to national elections. 2 In Germany where I come from the left partys on the whole actually gained a couple a seats compared to the last european election. 3 There were certain scandals that have led to the center left falling out of favor. For example in Germany after Schröder’s described leaning toward the right, a part of his center left party broke off to join the far left. In Britain you can’t even count the scandals.
The biggest error of course which has already often mentioned. is comparing are center right partys to the present reublicans. Don’t get angry at us europeans because we have “conservative right” parties that you can vote for with a good conscience. You have to get rid of your two party system. It just helps seeing everything black and white instead of the grey that everything really is. Black and white is what the author of this blog saw, left good, right bad. Besides you just voted the democrats in to power a party probally further to the right than our center right party the CDU. Want proof check out who is pushing for more regulation of the financial market now? The americans or the germans.

[KoolAidAmerica]

Its all about islam in europe.
people are sick and tired of their welfare and healthcare systems being overwhelmed by people who want to impose sharia on europe.
they dont integrate european women and gays are treated very badly by these muslim immigrants so much so that even in places like amsterdam which has full gay rights 2 gays can't hold hands without something happening to them.
rather than tackling these issues the left asks us to keep quiet since their treatment of gays and women is a cultural issue and not a law and order issue. well we dont think so.

[HansB]

No, it's not all about islam in Europe, in fact it has nothing to do with it, and gays do hold hands in Amsterdam without anything happening to them.

[KoolAidAmerica]

The left has been clobbered over its refusal over its open immigration to people who want to impose sharia on europe
the dhi mmis of europe have had enough of islam and its quisling supporters in europe

[ditraiano]

Lets hope that this is a prelude of things to come here in the U.S.

[swift goat pet for truth]

That the right wing parties support the welfare state?

I certainly agree

[Loobie]

It is absolutely hilarious to watch the comments on this article. Usually there is just names and tons of exclamation points. It does my heart good to see you all try and dance around the "we won't encounter those same pitfalls", in the same vane as the heroin addict upon first trying it saying "it will be different for me, I can handle this". It comes down to Margerat Thatcher's quote "the bad thing about socialism is eventually you run out of other people's money".

You can't adopt a pure leftist approach in the same way that you can't adopt a pure right wing approach to governing. That's why this country worked when there was a balance between the two. Now one party gets in power and goes ape poop. Let's leave the checks and balances in place and get them back. Swinging wildly far left and then back far right, and then back again, we will always be in a state of complete uproar and full on devisiveness.

[DuaneBidoux]

did you actually READ the article?

He is making the point that the parties of the "left" have been NOMINALLY of the left but activing under the same misdirected deregulation policies of the anacrchy in the American banking system since regulation was abrigated.

The entire point of the article IF you read it is that the left has acted LIKE the right and that is why they are in the mess they are in. In any case, immigration is the real issue for Europe.

[LeftWingX10]

It's perfectly Simple . people Finally Get Tired of someone always sticking their hand in your pocket

[DuaneBidoux]

I know that's how I feel with the credit card companies, my health insurance company, and every other corporation that has beein raping me since I can remember.

[squarebird]

Duane, there is a gaxaxy-difference between a hand sticking itself in your pocket, and you reaching over and putting that hand there. All those companies are there offering you services you do not have to take .. indeed, if you think they are not good deals, then you can start your own company and get rich by beating their over-priced goods. I don't know you at all, but I might be willing to lend you unsecured money at a 100% interest rate - if you ask me for it, I reluctantly give it to you .. and you are broke in a year, that is not my fault, it is yours. Those companies if they did not exist would not change your situation one iota .. except that it would be harder for you to find someone to take the risk of lending you money or gambling that you will pay them more in insurance premiums that you will cost them in medical costs. Raping you? Give me an example. The only entity that can do extreme things, such as killing you, legally is the government.

[rattler99]

just typical lefty pap - blame others for one's own choices

[taliesnin]

in europe the left electoral base ,the working class didn't vote beacause they don't believe in the democracy of european institutions...the parliement of strasbourg is powerless, the real power is in the hand of non-elected technocrats. we, in France voted against the constitution but no one respected this vote.
in france, the campaign of the right was about immigration, islam as usual...the left was absent and no one cared anyway
We can't talk about europe because all the establishment are on the same page and they can't admit it: it's what we call "la pensée unique".