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Modern liberalism in the United States

Modern liberalism in the United States is based on the combined ideas of civil liberty and equality with support for social justice. It is one of two major political ideologies of the United States, with the other being conservatism. Economically, modern liberalism supports government regulation on private industry, opposes corporate monopolies, and supports labor rights.[1] Its fiscal policy opposes any reduction in spending on the social safety net, while simultaneously promoting income-proportional tax reform policies to reduce deficits. It calls for active government involvement in other social and economic matters such as: reducing economic inequality, increasing diversity, expanding access to education and healthcare, regulating economic activity, and environmentalism.[2] Modern liberalism is a large and mainstream ideology in the Democratic Party and nation. Modern liberalism was formed in the 20th century in response to the Great Depression.[3] Major examples of modern liberal policy programs include the New Deal, the Fair Deal, the New Frontier, the Great Society, the Affordable Care Act, the Infrastructure Investment and Jobs Act, and the Inflation Reduction Act.[4][5]

This article is about the ideology normally identified in the United States today as liberalism. For the origin, history and development of American liberalism, including its various forms, see Liberalism in the United States.

In the first half of the 20th century, both major American parties shared influential conservative and liberal wings. The conservative northern Republicans and Southern Democrats formed the conservative coalition which dominated the Congress from 1937 until the Johnson administration. After World War Two, northern Democrats began to support civil rights and organized labor, while voters and politicians in the formerly "Solid South" opposed them from within the Democratic Party.[4][6] Following the passage of the Civil Rights Act of 1964, conservative Democrats began an exodus from the party, and supported Republican candidate Richard Nixon in 1968.[7] By the 1970s the Democratic Party became predominately liberal and the Republican Party adopted conservatism at the party's main ideology.[8] As a group, "liberals" are referred to as left or center-left and "conservatives" as right or center-right.[9] Starting in the 21st century, there has also been a sharp division between liberals who tend to live in denser, more heterogeneous urban areas and conservatives who tend to live in less dense, more homogeneous rural communities, with suburban areas largely split between the two.[10][11] Since the 2000 election, blue and red have been the party colors of the Democrats and Republicans respectively, in contrast to the use of blue for conservatism and red for leftism in the rest of the Western world.[12]

Relief was the immediate effort to help the one-third of the population that was hardest hit by the depression. Roosevelt expanded 's Federal Emergency Relief Administration (FERA) work relief program and added the Civilian Conservation Corps (CCC), the Public Works Administration (PWA) and starting in 1935 the Works Progress Administration (WPA). Also in 1935, the Social Security Act (SSA) and unemployment insurance programs were added. Separate programs such as the Resettlement Administration and the Farm Security Administration were set up for relief in rural America.

Herbert Hoover

Recovery was the goal of restoring the economy to pre-Depression levels. It involved greater spending of government funds in an effort to stimulate the economy, including deficit spending, dropping the and efforts to increase farm prices and foreign trade by lowering tariffs. Many programs were funded through a Hoover program of loans and loan guarantees, overseen by the Reconstruction Finance Corporation (RFC).

gold standard

Reform was based on the assumption that the depression was caused by the inherent instability of the market and that government intervention was necessary to rationalize and stabilize the economy and to balance the interests of farmers, businesses and labor. Reform measures included the (NIRA), regulation of Wall Street by the Securities Exchange Act (SEA), the Agricultural Adjustment Act (AAA) for farm programs, the Federal Deposit Insurance Corporation (FDIC) insurance for bank deposits enacted through the Glass–Steagall Act of 1933 and the 1935 National Labor Relations Act (NLRA), also known as the Wagner Act, dealing with labor-management relations. Despite urgings by some New Dealers, there was no major antitrust program. Roosevelt opposed socialism in the sense of state ownership of the means of production and only one major program, namely the Tennessee Valley Authority (TVA), involved government ownership of the means of production (that is power plants and electrical grids). The conservatives feared the New Deal meant socialism and Roosevelt noted privately in 1934 that the "old line press harps increasingly on state socialism and demands the return to the good old days".[95]

National Industrial Recovery Act

American Left

Conservatism in the United States

Economic interventionism

List of American liberals

Progressive talk radio

Progressivism in the United States

Social liberalism