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#14802650

Liberalism in One Country

Since World War II, the globalist agenda has reigned. Is it time to strengthen democracy at home?

By Leon Hadar • April 11, 2017

Literary analysts and historians use the term “presentism” to refer to an intellectual exercise that uses interpretations of past history to validate contemporary political ideas and perspectives. Seeing the past through our existing lenses carries the risk that we will view historical developments as a prelude to what is taking place now. The so-called “Whig history,” for example, presents Western history as an inevitable progression towards enlightenment, political liberty, religious freedom, and women’s rights, with liberal democracy being the culmination of this process. There seems to be an element of this kind of presentism in the way that many liberal pundits today discuss what they see as the growing power of nationalism. There is particular alarm about the pushback against free trade and open immigration reflected in the rise of Trumpism in the United States as well as the electoral successes of right-wing political movements in Europe and elsewhere.

This critique tends to embrace the notion that these new nationalist forces are challenging the so-called post-war international order. It resembles the Whig interpretation of history in suggesting that the founders of post-1945 security and economic institutions—acting in the aftermath of the defeat of Nazi Germany, Fascist Italy, and Imperial Japan—set out to transform the traditional international system that had come out of the 1648 Peace of Westphalia. That old system was based on the principle of sovereignty and the right and obligation of national governments to pursue independent policies that would protect their national security and grow their economies. Such presentist history assumes that the leaders of the victorious World War II powers, who created institutions such as the United Nations (UN), the International Monetary Fund (IMF), and the North Atlantic Treaty Organization (NATO), were the forerunners of today’s globalists. It suggests that the founders of these organizations of were idealist and internationalist statesmen committed to the principles of open markets, the free flow of people across borders, and the construction of supranational organizations that would erode the power of the nation-state. Based on this interpretation, one could make the argument that what mostly worried U.S. Presidents Franklin D. Roosevelt and Harry Truman, British Prime Minister Winston Churchill, French leader Charles de Gaulle, and their respective aides was the possible resurgence of nationalism in its various forms—including protectionism, nativism, and racism. These of course are seen by today’s globalists as the main threat to international peace and stability.

If you buy into this historical analysis, then it is easy to see President Trump in a certain light. He has challenged the notion that the nation-state will and should disappear sooner than later; demanded that the U.S. government take steps to protect its national sovereignty and economic interests by placing restrictions on immigration; pursued a national economic strategy; and questioned whether the commitment to antiquated multilateral security and economic institutions serves the U.S. national interest. From this viewpoint, it seems that Trump is violating the internationalist spirit that motivated the likes of Truman or Churchill and attempting to destroy the liberal international order they created.

There is an almost manic onslaught against “nationalism” launched by today’s proponents of globalism, who advocate increases in immigration, free trade, the lowering of tariffs, military interventionism in the name of protecting human rights, and the many forms of global governance that evolved after the end of the Cold War and China’s entry into the global economy. Meanwhile, there is little mention of the notion that the international order should provide governments with the power to protect their nation’s sovereignty. Much of this flawed analysis has been integrated into an idealized history of World War II, which sometimes creates the impression that the United States entered into the war as part of an international liberal crusade (and in order to liberate the Nazi concentration camps).

Yet this ignores the fact that the U.S. was responding to an attack on the homeland by Japan, and disregards the inconvenient truth that Americans allied with the one leading world dictatorship, the Soviet Union, in order to defeat the other one, Nazi Germany. At the same time, the post-World War II international arrangements involved the United States and the Soviet Union dividing Europe into spheres of influence; the establishment of an international security organization, the UN, where the great powers maintained veto power through the Security Council; and the formation of two military alliances, NATO and the Warsaw Pact, to maintain this new balance of power. All of this had more to do with protecting strategic interests than with advancing an international liberal agenda.

Ironically, much of what the UN engaged in during the first two decades of its existence had to do with the destruction of the most powerful supranational institutions of the time, the Western imperial systems, while supporting national movements in the Third World in achieving their goal of creating new nation-states. Similarly, the initial steps taken to foster cooperation in Western Europe was part of an effort to encourage economic collaboration between nation-states—and diffuse the tensions between the two most powerful states by forming a Franco-German duopoly. More importantly, contrary to the presentist history embraced by the globalists, the main lesson of the political and economic developments that led to World War II, a military conflagration that destroyed many national economies, was not the need to celebrate free trade as a universal principle. There was a consensus that promoting international trade could increase economic prosperity under certain conditions. But as political scientist John Ruggie pointed out, the new order was based on the assumption that governments needed the capacity to intervene to ensure equitable allocation of economic gains. In practice, this meant providing workers with social protections against inequalities and excesses of the market. Similarly, the IMF was created in order to help governments manage balance of payments difficulties that had the potential to develop into financial crises.

Indeed, the focus of the post-war project was to strengthen and not to weaken national governments in pursuing liberal-democratic principles along the lines of the welfare state, while preventing domestic economic and political problems that could ignite economic downturns and political disorder of the kind that engulfed Germany’s Weimar Republic and other European nations in the 1930s. As the leading Western military and economic power and a global superpower, it was in the interest of the United States to help create and sustain this international project. Covering the costs of doing that, even if that meant subsidizing military allies and treating unfair trade practices with benign neglect, was consistent with the national interest and helped expand the U.S. economy and raise its citizens’ living standards.

From that perspective, what is being described as the rise of nationalism in the West reflects sentiments among citizens that their governments and elites should return to the original strategy of the post-war project, which included a good deal of economic nationalism and restraint in the use of military power. This reaction basically summarizes what Trumpism is all about.

Communist-party intellectual Nikolai Bukharin is recalled today for his 1920s plea to Soviet leaders to move away from the Marxist position that socialism must be established globally. Bukharin argued that the Soviet Union should strengthen itself domestically and turn toward national communism. It was called “Communism in One Country.”

In the aftermath of the expensive Cold War, Western countries had a chance to consolidate liberal democracy at home, rebuild their economies, and reassess global commitments. But the political and intellectual classes in the United States and Europe, backed by government technocrats and business executives, adopted globalism as the new governing policy. They are now facing pressures from voters to switch gears and focus on the nation-state as the primary tool for achieving political legitimacy and growing the economy—in other words, to commit themselves to the principle of “Liberal Democracy in One Country.”

http://www.theamericanconservative.com/ ... e-country/

I think this summarises the current debate quite nicely.

There is even a nod to our hard lefties in there, who never tire to point out that communism - or at least their version of it - has nothing to do with today's internationalism.
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#14802674
Not a very insightful article.

If globalization did go too far, which is rather subjective, the question is why it happened, namely how "democracy at home" failed, and how it can be stopped without electing nutcases like Trump into office.
#14802690
If we view the current trend in western countries as a potential correction, then "democracy at home" hasn't failed (yet). Societies are inert, so that correcting a trend takes time.

Also, in representative democracies politicians can and do often ignore the wishes and opposition of the population. Hence, in my view, a partial remedy is direct democracy which would quite likely prevent a good chunk of the "visionary" and "society transforming" experiments our leaders come up with and also prevent them from simply ignoring the electorate on certain issues (e.g. immigration).
#14802740
Such a course correction is not possible, given what we know about liberalism and its imperatives. It is not efficient to manufacture electronic devices (for instance) domestically, nor is it efficient to employ native workers to harvest crops - at least at the wages western consumers are willing to pay. Internationalism is baked into the pie. If you are not willing to give up the pie, then you can't ask for it to be un-baked according to your specifications.

Neither left nor right will be able to definitively tackle such issues without addressing the underlying structure that powers them: free movement of capital, free movement of goods, and free movement of labor. This trifecta powers both liberalism and internationalism, and there is little sign that Trump or Le Pen either understand this or are willing to change it.

We went down the fake populist road with Trump. Will the French have to endure the same cold shower of reality?
#14802932
As you might imagine, @quetzalcoatl, your fatalism is not for me.

And as I said before, without the liberal left/progressives and their irrational passions and phobias, we wouldn't have a problem reigning in the push for ever more openness and the "freedom" dogmas.
#14802934
Kaiserschmarrn wrote:As you might imagine, @quetzalcoatl, your fatalism is not for me.

And as I said before, without the liberal left/progressives and their irrational passions and phobias, we wouldn't have a problem reigning in the push for ever more openness and the "freedom" dogmas.


Fair enough. I'm not so familiar with the situation in Europe, but in the US conservatives have taken a strong lead in promoting internationalism, both in trade and the projection of military force. There is indeed an anti-immigrant sentiment within the Republican Party, but this sentiment has always been regarded as rogue by its establishment. Trump has played to this sentiment, but has taken no effective* measures to counter immigration.

*(An example of an effective measure would be prosecution/fines directed at employers who make hiring illegal aliens part of their business model [Tyson Chicken, for example]. The fact that they absolutely refuse to address the demand side of the equation illustrates their lack of seriousness. I strongly suspect Trump's "nationalism" is the sizzle to sell the steak. And the actual steak is good old-fashioned neoliberalism of the Obama/Romney/Bush template.)

It's quite self-defeating to equate nationalism with controlling left/liberalism. All the evidence indicates that conservatives and other liberals have shared internationalist agendas, based on similar views of economic "freedom."

Of course, Le Pen is an unknown factor, when it comes to actually governing. Anybody can say anything, as Trump proved so well. She might actually come down on the side of the radical right, but it is far more likely that, like Trump, she will represent business interests who aren't well-served by the nationalist right. Liberalism is not just an affectation of certain elements of the oligarchy. It represents real financial interests on a very large scale. It is not a matter of fatalism to note that these interests can't be effectively 'controlled' without major structural reform.

You realize, of course, that the dogmas of openness and inclusion are propaganda techniques? They are used to mask the real interests being served. You can attempt to counter their propaganda with your own, and never come close to stopping those who serve those interests. This technique is quite familiar, and has proven very effective. It is called "grounding" or "short-circuiting" - it co-opts threatening popular concerns and channels them into harmless activism.
#14802944
Kaiserschmarrn wrote:If we view the current trend in western countries as a potential correction, then "democracy at home" hasn't failed (yet). Societies are inert, so that correcting a trend takes time.


We'll see.

Kaiserschmarrn wrote:Hence, in my view, a partial remedy is direct democracy which would quite likely prevent a good chunk of the "visionary" and "society transforming" experiments our leaders come up with and also prevent them from simply ignoring the electorate on certain issues (e.g. immigration).


A funny thought, but I don't see it happening. It goes against the interests of representatives and it requires supermajorities in most countries. Tough hurdles to overcome. Not impossible, but it would have to be high up in the priority list of the electorate. I know a lot of political parties in Europe include it in their program, no doubt because it enjoys popularity in some countries (e.g. in Germany), but it's something that is always easily dropped in coalition talks.

quetzalcoatl wrote:You realize, of course, that the dogmas of openness and inclusion are propaganda techniques?


Economic realities are not dogma or propaganda. Find me an economist who wouldn't subscribe to the notion that free trade is generally beneficial.
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Rugoz wrote:Economic realities are not dogma or propaganda. Find me an economist who wouldn't subscribe to the notion that free trade is generally beneficial.


There are no laws of economics. Economic systems are designed to promote the interests of the designers. The key thing to remember is that they are designed. You can't study them in the way you would study orbital mechanics. The laws of gravity are independent of human intention, the "laws" of economics are not.

The issue of trade is a complex one. It may be beneficial to some parties under some circumstances. It is, generally speaking, most beneficial when the parties are at similar levels of economic development. Even under those most ideal conditions, it benefits certain members of society and severely penalizes others.

There is nothing wrong with trade when properly managed. What is wrong, severely wrong, is the enshrinement of free trade as a moral principle.
#14803015
quetzalcoatl wrote:Even under those most ideal conditions, it benefits certain members of society and severely penalizes others.

Rugoz's claim was that it is generally beneficial. I agree that it has distributional consequences, costs are especially steep for the subset of individuals who enter competition with more-efficient foreign competitors, but efforts should be made to correct for these through transfers from the winners to losers.

If you believe that it is possible for The People to take control of the system, then that (free trade with transfers), and not protectionism as frequently proposed, is optimal.

quetzalcoatl wrote:The key thing to remember is that they are designed.

The entire field of Econometrics is basically just devices aimed at addressing this issue.

It's not a reason that we can't study economic systems.
#14803023
Vlerchan wrote:If you believe that it is possible for The People to take control of the system, then that (free trade with transfers), and not protectionism as frequently proposed, is optimal.


Agree mostly. Free trade is not optimal for developing economies, however..., such as the pre-Civil War US.

It's not a reason that we can't study economic systems.


As long as you study them critically. Economic systems are not God-given, they are human created. We can choose to design them to benefit the majority, or to benefit a chosen few. This last alternative is what the West has chosen, and it is a direct consequence of a certain economic belief system.

Cui bono is the critical question of economics, and the answer is the particular mechanisms that enable the winners to win.

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