To what extent did classical liberalism meet the needs of society?

Modern liberalism developed because people sought to achieve greater equality of

opportunity for all individuals through government intervention

Beginnings of Modern Liberalism

• While classical liberalism was concerned with granting economic freedom to business owners in a market system, modern liberalism developed over time to address the inequalities created by laissez-faire capitalist society.

• Although people were free to participate in the economy, many still lived in poverty and worked long hours for little to no pay, children were exploited in the work place…

“Nouveau Riche”

• As the industrial Revolution progressed, ideas of lassiez-faire capitalism were put into practice.

• Business owners were able to risk investments etc. Many made a fortune in profits.

Challenges of the Income Gap and the cost of living

• Vast wealth was generated during the 19th century by capitalists.

• The gap between those with money and those without is became wider.

• Standard of living – based on the amounts of goods and services people can buy. Liberal economic ideas increased this overall.

• Cost of Living – how much money it costs to provide: food, shelter and clothing.

How the other Half Lives – Jacob Riis

• Read the excerpt from the book on page 120 and answer the following questions:

1. What evidence is there in the source that you would identify as fact? What might have been Jacob Riis’ interpretation of the situation?

2. For what reasons do you think people lived in such extreme poverty?

3. What role might government intervention play to prevent this?

Challenges of the working class

• Government intervention was seen as meddling and harmful to the economy, so industrialists and manufacturers were given the economic freedom to run their businesses according to their self interest because this was seen as the best way to benefit the common good in society

• Workers were treated cruely and sometimes inhumanely. Pollution increased. Unreasonably long working hours ensued, child labour and unjust firing processes occurred.

Child Labourers Speak pg.123• Answer both questions on page 123 and

Charles Dickens’ response on page 124

Responses to conditions created by classical liberalism

• Luddites – rejected the replacement of skilled workers with technology, which they saw as a threat to their way of life and livelihood.

Improving conditions for the working class: Labour Standards and Unions

• Factory Acts and Labour Unions

• King Harvest has surely come – The Band

Welfare State

• Government programs - unemployment insurance and old age pensions

Evolution of individual rights and collective rights

• Early feminism – Because of the industrial revolution the role of women within society changed. Instead of traditional jobs, which now belonged to men in factories, women also worked in factories under the supervision of men.

Human Rights

• Declaration of Human Rights 1948– Right to take part in democratic elections– Equal treatment by law– Liberty and freedom of thought and religion– The right to own property

• By mid 20th century individual rights such as those guaranteed in the declaration became the focus of modern liberal movements

From Classical to Modern Liberalism

• Oral Quiz again!

Robert Owen• A British industrialist who felt

that it was his responsibility to operate profitable and productive work places while treating his workers well. Without workers there would be no products to sell.

• Once people embraced socialist values, they could eventually progress to where they would achieve the perfect balance between satisfying economic needs and physical and social needs

Robert Owen• 8 hour work day – children at the time worked 12-16 hours a day

• 6 days a week

Charles Fournier

• French Socialist -Utopia – perfect place. Birthplace of cooperative communities.

– “In this new order, people possess a guarantee of well being, of a minimum sufficient for the present time and future. This guarantee will free them from the uneasiness concerning themselves and their families.”

Karl Marx

• Wrote on the failings of capitalism. The negative effects on the working class.

• People vs their oppressors – historically. The most significant struggle, Marx believed, was between classes.

• Proletariat and the Bourgeoisie – under capitalism the proletariat was oppressed and the solution was revolution to overthrow the bourgeoisie.

Marx’s socialist society included

• Proletariat had to take control of the social political and economic systems of a country in order to be completely free. – Shift from private to public property– Government controlled banking– Factories were owned by the gov’t– Gov’t controls transportation and communication– Free education for all.

Marx

• Socialism was a response to inequalities produced by capitalism and working class living conditions during the Industrial Revolution

Chart pg. 147

Early Democratic Socialism

• Developed during the 1800’s – socialists believed that modern liberalism did not provide gov’t intervention that would address collective interests. – Declaration of the principles of the social

democracy of America 1897• Men are free and have rights to life liberty and

happiness• Political rights to all. But greater economic equality

should exist in society

Canadian Examples

• Depression in Canada