Meet America’s Hidden Progressive Revolution

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http://thinkprogress.org/economy/2014/01/24/3199891/kenworthy-social-democracy/




Is America turning into a Scandinavian-style social democracy? Political scientist Lane Kenworthy thinks so and has written a new book, Social Democratic America, that makes the case (summarized here and here). But while there’s a lot to like about Kenworthy’s prediction, it doesn’t quite come to grips with the reality of slow, unequal economic growth since conservative economic theories won the day.

By social democracy, Kenworthy means an economic system featuring “a commitment to the extensive use of government policy to promote economic security, expand opportunity, and ensure rising living standards for all… t aims to do so while also safeguarding economic freedom, economic flexibility, and market dynamism, all of which have long been hallmarks of the U.S. economy.” He calls this “modern” social democracy, contrasting with “traditional” social democracy in that it goes beyond merely helping people survive without employment to also providing “services aimed at boosting employment and enhancing productivity: publicly funded child care and preschool, job-training and job-placement programs, significant infrastructure projects, and government support for private-sector research and development.”

Modern social democracy is most developed in the Nordic countries of Europe — Sweden, Denmark, and Norway, for example. But Kenworthy thinks it’ll eventually reach apple-pie levels of Americanness. He anticipates that over time we will do most of the following:

1) Increase the minimum wage and index it to inflation.

2) Increase the Earned Income Tax Credit while making it available to middle income families and indexing it to GDP per capita.

3) Increase benefit levels and loosen eligibility levels for Temporary Assistance for Needy Families, general assistance, food stamps, housing assistance, and energy assistance.

4) Mandate paid parental leave.

5) Expand access to unemployment insurance.

6) Increase the Child Care Tax Credit.

7) Universalize access to pre-K.

8) Institute a supplemental defined contribution plan with automatic enrollment.

9) Increase federal spending on public child care, roads and bridges, and health care; and mandate more holidays and vacation time for workers.