Responding to Classical Liberalism
Chapter # 4
Is child labour like this present today?
where?
Child Labour
• 218 million child labourers
• 70% in agriculture, 22% in service industries and 8% in
industry.
• Asia-Pacific claims the greatest share of underage
workers (122million)
• Analyzing the evolution of classical Liberalism
• Analyzing ideologies that developed in response to
classical Liberalism
Key Concepts
•
•
•
•
•
•
•
•
•
•
•
•
Classical conservatism
Command economy
Communism
Feminism
Human rights
Labour standards
Marxism
Mixed economy
Progressivism
Socialism
Universal suffrage
Welfare capitalism
Key terms
• RM. 4.1
• You will assess an historical excerpt form the Sadler
Committee Report of 1832 and a contemporary news
release by the Ontario Government, “McGivney
Government strengthens Ontario’s Child Care System”.
• Read p.129
• Assess historical content, author’s concern for the
individual, the common good, or both and the authors’
point of view on child labour or child care.
Exploring Historical and Contemporary
Views
• During the IR a number of groups claimed collective
rights
• Workers rights
• The right to a minimum wage
Industrial Revolution
• Four ideologies that arose in opposition to classical
liberalism– utopian socialism, Marxism ( scientific
socialism or communism), moderate socialism, and
classical conservatism.
• Classical liberalism was challenged by grassroots
movements of Luddites and Chartists
• a society established on the beliefs and values of
utopian socialists such as Robert Owen
• A revolutionary society lead by Karl Marx
• A society founded on ideals of classical conservatism
as envisioned by Edmond Burke
Opposition to Liberalism
Classical Liberalism
theory
practice
Opposition to liberalism
Luddites
Chartists
Socialists
Classical
Conservatism
Reaction by Liberals
Overview
Welfare capitalism
Welfare state
Keynesian economics
Ideologies that developed in reaction to liberalism
Response
Luddites
Chartists
Utopian.
Socialism
Socialism /
Marxism
Classical
Conservatism
Ideas /Actions
Supporting Classical
Liberalism
Ideas/Actions Critiquing
Classical Liberalism
Response
Ideas /Actions
Supporting Classical
Liberalism
Luddites
Ideas/Actions Critiquing
Classical Liberalism
Protested economic actions by factory
owners to replace workers with machines
(profit motive). Broke into factories and
destroyed machines that threatened their
quality
Chartists
Supported principles of individual
rights and freedoms and extended
economic freedoms to benefit larger
society.
Advocated for greater political and social
reform to include working classes and not
only the wealthy. Viewed by government
(ruling elite) as rebels because of their
attacks on established order. Greater
equality eventually granted by 1880’s
Utopian.
Socialism
Supported principles of individual
rights and freedoms and extended
economic freedoms to benefit larger
society.
Argued gains inequality and subsequent
social injustices in classical liberalism. Aimed
to reform rather than eliminate economic,
political and social systems. Worked to
decrease abuses of capitalism.
Socialism/
Marxism
Classical.
Conservatism
Radical form of socialism that believed in the
eradication of classical liberal ideas such as
capitalism. Views capitalism as incapable of
reform. A confrontation between the
proletariat (workers) and the bourgeoisie
(owners) was inevitable and would lead to
the restructuring of society in the interests of
the collective (group) over the individual.
Equality for all could only be attained
through a revolution, likely a violent one.
Advocated for governments to be
responsive to individual rights and
freedoms but only so far as to avoid
Individualism subjected to rule of society
incorporating past present, and future
considerations. Hierarchy within society
Opposition to Liberalism
luddites
Luddites
The Luddites were a social
movement of British textile artisans
in the early nineteenth century who
protested—often by destroying
mechanized looms—against the
changes produced by the Industrial
Revolution, which they felt were
leaving them without work and
changing their entire way of life.
Chartist
• Chartism was a movement for political and social reform in
the United Kingdom during the mid-19th century between
1838 and 1850. It takes its name from the People's Charter of
1838, which stipulated the six main aims of the movement
as:[1]
• A VOTE for every man twenty-one years of age
• THE BALLOT. - To protect the elector in the exercise of his
vote.
• EQUAL CONSTITUENCIES, securing the same amount of
representation for the same number of electors, instead of
allowing small constituencies to swamp the votes of large
ones.
Chartists
Supported
principles of
individual rights
and freedoms
and extended
economic
freedoms to
benefit larger
society.
Advocated for
greater political and
social reform to
include working
classes and not only
the wealthy. Viewed
by government
(ruling elite) as
rebels because of
their attacks on
established order.
Greater equality
eventually granted
by 1880’s
• Associated with the writings of Karl Marx.
• Based on the concepts of class struggle.
• Where Marxism focused on violent revolution to create a
classless society, Socialism focused on peaceful social
change in the interest of the working class.
• Belief that resources should be controlled by the public
for the benefit of everyone in society.
Socialism
• Examples
• Utopian Socialism
• Marxism
Socialism
• refers to any one of various theories of economic organization
advocating state, public or common worker ownership and
administration of the means of production and distribution of
goods
• Modern socialism originated in the late 18th-century
intellectual and working class political movement that
criticized the effects of industrialization and private
ownership on society, however, socialism itself is not a
political system; it is instead an economic system distinct
from capitalism.
Utopian Socialist
• :is a term used to define the first currents of modern
socialist thought.
• the term is most often applied to those utopian socialists
who lived in the first quarter of the 19th century. From
the mid-19th century onwards, the other branches of
socialism, most notably Marxism, overtook the utopian
version in terms of intellectual development and number
of adherents. Utopian socialists were important in the
formation of modern movements for cooperatives.
Utopian.
Socialism
Supported
principles of
individual rights
and freedoms
and extended
economic
freedoms to
benefit larger
society.
Argued against
inequality and
subsequent social
injustices in classical
liberalism. Aimed to
reform rather than
eliminate economic,
political and social
systems. Worked to
decrease abuses of
capitalism.
• Robert Owen believed that the harshness of life under
capitalism corrupted human nature.
• Believed that education was the key to a humane society.
• Belief that everyone should be beneficially employed.
• Believed that living and working conditions needed to
improve for all.
Proponent of Socialism
• no one was responsible for his will and his own actions,
because his whole character is formed independently of
himself; people are products of their environment, hence
his support for education and labour reform, rendering
him a pioneer in human capital investment.
Robert Owen
• a clean, healthy industrial environment with a content, vibrant workforce
and a prosperous, viable business venture all rolled into one. Owens's
philosophy was contrary to contemporary thinking, but he was able to
demonstrate that it was not necessary for an industrial enterprise to treat
its workers badly to be profitable. Owen was able to show visitors the
village’s excellent housing and amenities, and the accounts showing the
profitability of the mills.
New Lanark
http://learnalberta.ca/content/sspes/index.html
MARXISM
http://www.learnalberta.ca/content/a
eve/movieLauncher.html?movie=smil
/communism.mov
• Radical form of socialism
• According to Karl Marx, the only way to overthrow
capitalism was through a class struggle between the
proletariat and the bourgeoisie—which would then
bring about significant change to society.
• Belief that society should be classless.
• The state should direct the economy to achieve
economic equality for all citizens.
Communism
• Karl Marx and Friedrich Engles elaborated on the ideas
of Marxism in the Communist Manifesto.
• Ideas such as abolition of private property, centralization
of factories and free education for all were promoted.
• Vladimir Lenin expanded on Marx’s ideas for the purpose
of carrying out the Russian Revolution and establishing a
dictatorship of the proletariat in the USSR.
Proponents of
Communism
• Centrally planned economy
• Distribution of income according to work
performed
• Increasing economic equality
• A gradual disappearance of the classes
• An increasing desire to work for the good of
society rather than for personal profit
Dictatorship of
the Proletariat
• Poverty and crime would disappear
• Human history would replace class history: A
classless society
• “from each according to his ability, to each
according to his need”. At first individuals might
tend to be greedy, but as they discover that there
would always be sufficient goods to meet their
basic needs, such feelings would disappear.
Withering Away of the
State
• What societal conflicts caused by classical liberalism
could be resolved by the adoption of Marxism?
• Pause and Reflect p.137
• How are these Marxist ideas a response to classical
liberal ideas in society?
Marxism
Ideologies that developed in reaction to liberalism
Response
Socialism /
Marxism
Ideas /Actions
Supporting
Classical
Liberalism
Ideas/Actions Critiquing Classical
Liberalism
•Radical form of socialism
•Eradication of classical liberal ideas
such as capitalism.
•Views capitalism as incapable of
reform. A confrontation between the
proletariat and the bourgeoisie
•lead to the restructuring of society in
the interests of the collective.
• Equality for all could only be attained
through a revolution, likely a violent
one.
• Figure 8:1 Ideologies pg. 319 into your
notes
• Table 8:1 Ideologies pg. 323 into your
notes
Marx’s: Theory of
the Decline of
Capitalism
• Classical conservatism as a reaction (reactionary) to classical
liberalism
• Wanted to revert back to the way things were before
• Edmund Burke and classical conservatives beliefs:
• Society should be hierarchical (people are not equal—some
people suited for leadership)
• Limited electorate to choose government
• Care for the welfare of others
• Stability of society is paramount—achieved through law and
order and the maintenance of the customs and traditions that
bind society together.
Classical Conservatism
Ideologies that developed in reaction to liberalism
Response
Ideas /Actions
Supporting Classical
Liberalism
Classical
•Advocated for
Conservatism governments to be
responsive to individual
rights and freedoms but
only so far as to avoid
tyrannical political
systems.
Ideas/Actions Critiquing
Classical Liberalism
•Hierarchy within society needed,
as only certain individuals are fit
to lead
•government chosen by limited
electorate who hold specific
rights, responsibilities, and
privileges
•humanitarianism required by
leadership
•societal stability achievement
through established laws and
customs that bind society
together.
New Ideologies challenged the following
classical liberal beliefs and values READ
• Supremacy of the individual; as challenged by socialism
• Economic freedoms found in capitalism; as challenged by
Luddites and socialism.
• Humans can by themselves make rational decisions that
benefit themselves and society; as challenged by socialism.
• Welfare capitalism refers either to the
combination of a capitalist economic system
with a welfare state or, in a strictly American
context, to the practice of businesses providing
welfare-like services to employees.
• The Social Safety Net is a term used to describe
a collection of services provided by the state,
including welfare, unemployment benefit,
universal healthcare, homeless shelters, and
sometimes subsidized services such as public
transport.
The Liberal Response
NOTES
• Generally refers to a classical liberal economic system
combined with a government that uses legislation to give
workers protections such as limited working hours and a
minimum wage, and a safety net with features like
pensions and medical insurance.
• Further develops out of great depression—we see the
establishment of welfare states
Welfare Capitalism NOTES
• CBC News in review April 2001
Reinventing the left in
Canada
• How progressive was the platform of the Progressive
Party of 1912?
• Read each plank in the party platform
• It what way were they progressive?
Reforms of the Progressive Party 1912
•
•
•
•
•
Legislation protecting workers
Establishing safety and health standards
Prohibition of child labour
Setting minimum wage standard for working women
Promoting government intervention in the economy to
promote public health
The National Progressive
Party
Points you should have picked up
What Role should the Government
play in a Capitalist Economy
?
The Welfare State and the Great Depression
1929-1939
We will discuss this in more detail in Chapter 6
•
•
•
•
•
•
A direct result of a free-market economic system
Stock market crash
Banks failed
Factories closed, causing unemployment
International trade declined
Is this 2009?
Discss
The Great Depression
HANDOUT TO FILL IN
FROM NEXT SLIDE
DISCUSS
• This 7-month strike, involving all but one mine in Alberta's
CROWSNEST PASS, was the most bitter strike in the region's
turbulent history. It began in Coleman in January 1932 with
demands that companies divide available work in the depressed
coal-mining industry equally among miners rather than playing
favorites. Coal companies refused to deal with the workers' militant
union, the Mine Workers' Union of Canada, and showdowns
between the coal operators and the MWUC caused the strike to
spread through the Pass. The RCMP were required to separate
strikers and "scabs" and numerous confrontations came to pass. The
strike left a left-wing legacy in the Pass because of resentment
against the companies, the RCMP and provincial authorities.
Crowsnest Pass Coal Strike 1932
Fig. 4-10
p.146
What was at stake for both strikers and employers in this strike?
Indicative Planning
READ DISCUSS
• The government indicates certain policies depending on the state of
the economy. Government can manipulate the economy through such
devices as altering the interest rates, and spending on “ public works
programs.”.
• Increase spending during times of high unemployment.
• This is called “Deficit Spending”, where governments spend even at
the risk of going into debt.
Monetary Policy
Bank of Canada NOTES 
• May Raise the Bank
Rate
• Commercial Banks
Must Raise the Prime
Rate
• Costs more to borrow
money
• Discourages
Borrowing
• Decreases Consumer
Spending
• CURE FOR
INFLATION
• May Lower the bank Rate
• Commercial Banks may lower
the Prime rate
• Costs Less for businesses and
individuals to borrow
• Encourages Borrowing
• Increased Consumer Spending
• CURE FOR A RECESSION
OR DEPRESSION
Fiscal Policy: Taxation &
Government Spending
NOTES 
• Governments can:
• Increase taxes
• Decreases “Disposable
Income”
• Decreases Consumer
Spending
• Lowers Inflation
• Governments can:
• lower taxes
• Increase “Disposable
Income”
• Increases Consumer
Spending
• Helps get the economy
out of a recession or
depression
READ PAGES 145-150

A supporter of Keynesian economics believes it is the
government's job to smooth out the bumps in business
cycles. Intervention would come in the form of
government spending and tax breaks in order to
stimulate the economy, and government spending cuts
and tax hikes in good times, in order to curb inflation.
• John Maynard Keynes—British economist
• Recession deepened through the 1930s
• Observing this, Keynes believed that classical
liberal economic theory was based on a
fundamental error. He believed that when supply
and demand were in balance, that this would not
necessarily result in full employment, etc.
Keynesian Economics
• Keynesian Economics
• Keynes believed that in order to lesson the severity of a
recession, governments should spend more money and reduce
taxes. This would leave individuals more money to spend and
invest into the economy.
• He also believed that in times of inflation (boom times),
government should spend less money and raise taxes.
• Also known as demand-side economics
• To what extent can Keynes be considered the originator of the
mixed economy (modified market economy)?
Figure 4-11, pages 146-147
BOLD GO IN NOTES 
Keynesian Model
• Demand Side Economics
• Government spending
• reduce taxes to “kick start” the
economy
• higher social security benefits
• Pause and Reflect p.148
• To what extent can Keynes be considered the originator
of the mixed economy, also referred to as the modified
market economy?
Keynesian Economics
Keynes Chart
Business Cycle Chart
NOTES 
• INFLATIONARY PERIOD
• “BOOM”
CHARACTERISTICS
• full employment
• high inflation
• high investment
• high demand
• RECESSION
• “BUST”
CHARACTERISTICS
• high unemployment
• low inflation
• low investment
• low demand
President Roosevelt and Keynesian
Economic APPICATION
• The alphabet agencies were the U.S. federal
government agencies created as part of the New Deal
of President Franklin D. Roosevelt. The earliest
agencies were created to combat the Great
Depression in the United States and were established
during Roosevelt's first 100 days in office in 1933;
• Some alphabet agencies were established by
Congress, such as the Tennessee Valley Authority.
The agencies were sometimes referred to as alphabet
soup
Ways in which classical liberalism
responded to competing ideologies NOTES
• Economic principles were adapted to provide workers with
limited working hours, minimum wages, pensions and
medical insurance.
• Economists such as keynes developed rationale for
adapting laissez-faire capitalism to moderate the boom and
bust cycles
• P. 150
• Figure 4-13
• Draw the spectrum into your notes and answer question #
3.
• Answers: Marxism/ karl Marx
•
Socialism/Robert Owen and Claude Saint-Simon
•
Modern Liberalism/Roosevelt
•
Welfare Capitalism/Keynes and Roosevelt
•
Classical Conservatism/ Burke
Explore the Issues
• Assignment
• P151-153
• Questions 1-3
Nineteenth-Century Conflict between
Labour and Capital HOMEWORK
•
•
•
•
•
•
Excerpt 1
Reflects classical conservative perspective:
It views Fieden’s actions as a threat to the established order.
Excerpt 2
Reflects modern liberalism
Police and labour are presented as willing to co-operate.
Willing to work for the good of all.
• Excerpt 3
• Reflects Marxist
• Advocating for action to be take to fight for the causes of the
labourers so their future lives my be improved.
• Excerpt 4
• Reflects classical conservatism.
• Condemning groups because the threaten the established
order.
• Excerpt 5
• Moderate socialist / Marxist
• Does not advocate any kind of violent action
• His potion may also be considered a Marxist view because
he leaves little hope for any changes unless the workers take
things into their own hands to change the oppressive system.
• READ PAGES 154 TO 159 TAKE NOTES 
The Extension of Equality
• http://www.histori.ca/minutes/theme.do?id=10004&class
Name=ca.histori.minutes.entity.ClassicMinute.
• Students will record how the featured women—Agnes
Macphail, Emily Murphy, Jennie Trout, Laura Secord and
Nellie McClung impacted change and reform in Canada.
The Extension of Equality
The Extension of Equality
54/55
19th century, Laws governing the conditions of
employment which outline the minimum rights and
obligations of the employer and employee.
• How would a capitalist or a supporter of
classical liberalism likely have responded
to the UN Declaration in the 19th century?
• A capitalist would not support the UN
Declaration because it supplants economic
freedoms of the marketplace.
• How does the recognition of this new right
to organize demonstrate the extension of
equality rights?
• It expanded political rights to economic rights to form
bargaining groups to negotiate for increased wages and
or improved working conditions in the interests of the
workers.
In 1911, the Triangle
Shirtwaist Company fire
• Working conditions at the turn of the
twentieth century bordered on the appalling.
• Brought working conditions to public prominence.
• Fire escape doors locked by an employer concerned that they
would slip away for brief breaks
• Having no other choice, the women ran to the windows only to
find no fire escapes on the side of the building.
• One hundred and forty-six women died, consumed by flames or
leaping to their death on the ground below.
USE OF SONG
Workers used song
They found that street corner meetings drew more
attendance if a Salvation Army-type band was there to
attract attention." They also learned that when people sing,
they remember the message of the song.
http://www.youtube.com/watch?v=0VtAhrq9S0w
Solidarity forever! Solidarity forever!
Solidarity forever! For the Union makes us strong.
When the Union's inspiration through the workers' blood shall run,
There can be no power greater anywhere beneath the sun,
Yet what force on earth is weaker than the feeble strength of one?
But the Union makes us strong.
For the union makes us strong.
Is there aught we hold in common with the greedy parasite,
Who would lash us into serfdom and would crush us with his might?
Is there anything left to us but to organize and fight?
For the union makes us strong.
Chorus
It is we who plowed the prairies; built the cities where they trade;
Dug the mines and built the workshops, endless miles of railroad laid;
Now we stand outcast and starving midst the wonders we have made;
But the union makes us strong.
Chorus
All the world that's owned by idle
drones is ours and ours alone.
We have laid the wide foundations;
built it skyward stone by stone.
It is ours, not to slave in, but to
master and to own.
While the union makes us strong.
Chorus
They have taken untold millions that
they never toiled to earn,
But without our brain and muscle not
a single wheel can turn.
We can break their haughty power,
gain our freedom when we learn
That the union makes us strong.
Chorus
In our hands is placed a power
greater than their hoarded gold,
Greater than the might of armies,
magnified a thousand-fold.
We can bring to birth a new world
from the ashes of the old
For the union makes us strong.
Bob Dylan
Times they are a Changin
This became an anthem for frustrated youth. It summed up the
anti-establishment feelings of people who would later be known
as hippies. Many of the lyrics are based on the Civil Rights
movement in the US
Times they are a Changin
Come gather 'round people
Wherever you roam
And admit that the waters
Around you have grown
And accept it that soon
You'll be drenched to the bone.
If your time to you
Is worth savin'
Then you better start swimmin'
Or you'll sink like a stone
For the times they are a-changin'.
http://www.youtube.com/watch?v=vCWdCKPtnYE
Come writers and critics
Who prophesize with your pen
And keep your eyes wide
The chance won't come again
And don't speak too soon
For the wheel's still in spin
And there's no tellin' who
That it's namin'.
For the loser now
Will be later to win
For the times they are a-changin'.
Come senators, congressman
Please heed the call
Don't stand in the doorway
Don't block up the hall
For he who gets hurt
Will be he who has stalled
There's a battle outside
And it is ragin'.
It'll soon shake your windows
And rattle your walls
For the times they are a-changin'.
Come mothers and fathers
Throughout the land
And don't criticize
What you can't understand
Your sons and your daughters
Are beyond your command
You old road is
Rapidly agin'.
Please get out of the new one
If you can't lend your hand
For the times they are a-changin'.
The line it is drawn
The curse it is cast
The slow one now
Will later be fast
As the present now
Will later be past
The order is
Rapidly fadin'.
And the first one now
Will later be last
• To what extent is the Worker’s Party
supportive of, or a reaction to, classical
liberalism.
• Answer: argues against the actions of the capitalist
class and would attract workers who felt that capitalist
policies discriminated against them
Pause and Reflect p.155
• What perspective on classical liberalism do DiLorenzo’s
comment reflect?
• To whom would each of these points of view on unions
seems attractive and to whom would they appear a threat?
• argues that capitalism can raise the overall standard of living and
improve working conditions, which would attract those favouring
capitalism.
• the term universal suffrage is associated only with the
right to vote the frequency that an incumbent
government consults the electorate. Historically,
universal suffrage often in fact refers to universal adult
male suffrage.
• From 1867-1919 the classical liberal idea that voting
was a privilege for the few.
• First nations were provided the right to vote in 1960.
Universal Suffrage
Boss. "You have the liberty of Voting for any one you please;
but we have
the Liberty of Counting in any one we please." Do your Duty as
Citizens, and leave the rest to take its course." - New York
Times.
• Define the term Feminism
• What role did the “suffragists” play in helping women
acquire rights?
• Is women’s suffrage common in Middle east countries?
• Can you suggest why these counties may not be overly
supportive of suffrage in general and female suffrage in
particular?
Equality Rights for Women In Western
Democracies
Chapter 3-4 Test
End