Third Way

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Third Way
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{{distinguish|Third camp|Third Position}}{{about|the political philosophy|other uses|Third Way (disambiguation)}}{{use dmy dates|date=August 2017}}{{use British English|date=May 2019}}File:Clinton Blair.jpg|thumb|upright|Bill Clinton and Tony BlairTony BlairFile:Manuel Valls and Matteo Renzi - Festival Economia 2015.JPG|thumb|upright|Manuel Valls and Matteo RenziMatteo RenziThe Third Way is a position akin to centrism that tries to reconcile right-wing and left-wing politics by advocating a varying synthesis of centre-right and centrist economic platforms with some centre-left social policies.Bobbio, Norberto; Cameron, Allan (1997).Left and Right: The Significance of A Political Distinction. University of Chicago Press. p. 8. {{ISBN|0-226-06245-7}}. {{ISBN|978-0-226-06245-7}}.NEWS,weblink BBC News — UK Politics — What is the Third Way?, BBC News, 27 September 1999, 16 June 2019, The Third Way was created as a re-evaluation of political policies within various centre-left progressive movements in response to doubt regarding the economic viability of the state and the overuse of economic interventionist policies that had previously been popularised by Keynesianism, but which at that time contrasted with the rise of popularity for neoliberalism and the New Right starting in the late 1970s and throughout the 1980s. Lewis, Jane; Surender, Rebecca (2004). Welfare State Change: Towards a Third Way?. Oxford University Press. pp. 3–4, 16. The Third Way is promoted by social liberalsRichardson, James L. (2001). Contending Liberalisms in World Politics: Ideology and Power. Lynne Rienner Publishers. p. 194. and some social democratic parties.Whyman, Philip (2005). Third Way Economics: Theory and Evaluation. Springer. {{ISBN|978-0-2305-1465-2}}.Major Third Way social democratic proponent Tony Blair claimed that the socialism he advocated was different from traditional conceptions of socialism and said: "My kind of socialism is a set of values based around notions of social justice. [...] Socialism as a rigid form of economic determinism has ended, and rightly".Hastings, Adrian; Mason, Alistair; Pyper, Hugh (2000). The Oxford Companion to Christian Thought. Oxford University Press. p. 677. Blair referred to it as a "social-ism" involving politics that recognised individuals as socially interdependent and advocated social justice, social cohesion, equal worth of each citizen and equal opportunity.Freeden, Micharl (2004). Liberal Languages: Ideological Imaginations and Twentieth-Century Progressive Thought. Princeton University Press. p. 198. Third Way social democratic theorist Anthony Giddens has said that the Third Way rejects the traditional conception of socialism and instead accepts the conception of socialism as conceived of by Anthony Crosland as an ethical doctrine that views social democratic governments as having achieved a viable ethical socialism by removing the unjust elements of capitalism by providing social welfare and other policies and that contemporary socialism has outgrown the Marxist claim for the need of the abolition of capitalism.Giddens, Anthony (1998). Beyond Left and Right: The Future of Radical Politics. Cambridge, England, United Kingdom: Polity Press. pp. 71–72. In 2009, Blair publicly declared support for a "new capitalism".WEB,weblink Speech by Tony Blair at the 'New world, new capitalism' conference, Tony Blair Office, dead,weblink" title="">weblink 10 March 2013, dmy-all, The Third Way supports the pursuit of greater egalitarianism in society through action to increase the distribution of skills, capacities and productive endowments while rejecting income redistribution as the means to achieve this.Lewis, Jane; Surender, Rebecca (2004). Welfare State Change: Towards a Third Way?. Oxford University Press. p. 4. It emphasises commitment to balanced budgets, providing equal opportunity which is combined with an emphasis on personal responsibility, the decentralisation of government power to the lowest level possible, encouragement and promotion of public–private partnerships, improving labour supply, investment in human development, preserving of social capital and protection of the environment.Rosenau, Pauline Vaillancourt (2003). The Competition Paradigm: America's Romance with Conflict, Contest, and Commerce. Lanham, Maryland, United States; Oxford, England, United Kingdom: Rowman & Littlefield Publishers, Inc. p. 209. However, specific definitions of Third Way policies may differ between Europe and the United States. The Third Way has been criticised by certain conservatives, liberals and libertarians who advocate laissez-faire capitalism.WEB,weblink Bashan, Patrick, 5 November 2002, Is the Third Way at a Dead End?, Cato Institute, 7 July 2007, dead,weblink" title="">weblink 13 June 2007, BOOK,weblink Leisure, Sport and Tourism, Politics, Policy and Planning, Veal, A. J., 2010, 34–35, 9781845935238, It has also been heavily criticised by other social democrats and in particular democratic socialists, anarchists and communists as a betrayal of left-wing values,Black, Bill (28 March 2013). "Gender Wage Gap is Shrinking - Male Wages are Going Down". The Real News Network. Retrieved 31 March 2013.Black, Bill (10 January 2013). "Third Way's" "Fresh Thinking": The EU Is Our Model for Austerity". The Huffington Post. Retrieved 10 January 2013.Black, Bill (3 March 2013). "Seriously? New York Times Calls Wall Street Front Group "Center-Left". AlterNet. Retrieved 3 March 2013. with some analysts characterising the Third Way as an effectively neoliberal movement.Barrientos, Armando; Powell, Martin (2004). "The Route Map of the Third Way". In Hale, Sarah; Leggett, Will; Martell, Luke (eds.). The Third Way and Beyond: Criticisms, Futures and Alternatives. Manchester University Press. pp. 9–26. {{ISBN|978-0-7190-6598-9}}.Romano, Flavio (2006). Clinton and Blair: The Political Economy of the Third Way. Routledge Frontiers of Political Economy. 75. London: Routledge. {{ISBN|978-0-415-37858-1}}.Hinnfors, Jonas (2006). Reinterpreting Social Democracy: A History of Stability in the British Labour Party and Swedish Social Democratic Party. Critical Labour Movement Studies. Manchester University Press. {{ISBN|978-0-7190-7362-5}}.Lafontaine, Oskar (2009). Left Parties Everywhere?. Socialist Renewal. Nottingham, England: Spokesman Books. {{ISBN|978-0-85124-764-9}}.Corfe, Robert (2010). The Future of Politics: With the Demise of the Left/Right Confrontational System. Bury St Edmunds, England: Arena Books. {{ISBN|978-1-906791-46-9}}.


{{liberalism sidebar}}The term third way has been used to explain a variety of political courses and ideologies in the last few centuries. These ideas were implemented by progressives in the early 20th century.The term was picked up again in the 1950s by German ordoliberal economists such as Wilhelm Röpke, resulting in the development of the concept of the social market economy. Röpke later distanced himself from the term and located the social market economy as first way in the sense of an advancement of the free-market economy.Röpke, Wilhelm (1951). Die Lehre von der Wirtschaft, Erlenbach-Zürich (in German). pp. 56–59.During the Prague Spring of 1968, reform economist Ota Šik proposed third way economic reform as part of political liberalisation and democratisation within socialist society.Subsequently, Enrico Berlinguer, General Secretary of the Italian Communist Party in the 1970s and 1980s, used the term third way to advocate a vision of a socialist society that was more pluralist than the real socialism which was typically advocated by official communist parties whilst being more economically egalitarian than social democracy. This was part of the wider trend of Eurocommunism in the official communist movement and provided a theoretical basis for Berlinguer's pursuit of the Historic Compromise with the Christian Democrats.MAGAZINE, Sassoon, Donald, July 1984, Berlinguer: architect of Eurocommunism,weblink Marxism Today, Communist Party of Great Britain, 14 November 2016, Most significantly, Harold Macmillan, British Prime Minister from 1957 to 1963, based his philosophy of government on what he summarised in the 1938 book The Middle Way.

Modern usage

The Third Way has been defined as such:

Usage by social democrats

{{social democracy sidebar|development}}A social democratic variant of the Third Way which approaches the centre from a social democratic perspective has been advocated by its proponents as an alternative to both capitalism and what it regards as the traditional forms of socialism, including Marxian and state socialism, that Third Way social democrats reject.Arora, N. D. (2010). Political Science for Civil Services Main Examination. Tata McGraw-Hill Education. pp. 9, 22. It advocates ethical socialism, reformism and gradualism that includes advocating the humanisation of capitalism, a mixed economy, political pluralism and liberal democracy.The Third Way has been advocated by proponents as competition socialism, an ideology in between traditional socialism and capitalism.Döring, Daniel (2007). Is 'Third Way' Social Democracy Still a Form of Social Democracy?. Norderstedt, Germany: GRIN Verlag. p. 3. Anthony Giddens, a prominent proponent of the Third Way, has publicly supported a modernised form of socialism within the social democracy movement, but he claims that traditional socialist ideology (referring to state socialism) that involves economic management and planning are flawed and states that as a theory of the managed economy it barely exists any longer. In defining the Third Way, Tony Blair once wrote: "The Third Way stands for a modernized social democracy, passionate in its commitment to social justice".Lowe, Rodney (1993). The Welfare State in Britain Since 1945. Palgrave. {{ISBN|978-1403911933}}.



Under the nominally centre-left Australian Labor Party (ALP) from 1983 to 1996, the Bob Hawke and Paul Keating governments pursued many economic policies associated with economic rationalism such as floating the Australian Dollar in 1983, reductions in trade tariffs, taxation reforms, changing from centralised wage-fixing to enterprise bargaining, heavy restrictions on trade union activities including on strike action and pattern bargaining, the privatisation of government-run services and enterprises such as Qantas and the Commonwealth Bank and wholesale deregulation of the banking system. Keating also proposed a Goods and Services Tax (GST) in 1985, but this was scrapped due to its unpopularity amongst both ALP and electorate. The party also desisted from other reforms such as wholesale labour market deregulation (e.g. WorkChoices), the eventual GST, the privatisation of Telstra and welfare reform, including Work for the Dole which John Howard and the Liberal Party of Australia were to initiate after winning office in 1996.Various ideological beliefs were factionalised under reforms to the ALP under Gough Whitlam, resulting in what is now known as the Labor Left, who tend to favour a more interventionist economic policy, more authoritative top-down controls and some socially progressive ideals; and Labor Right, the now dominant faction that is pro-business, more economically liberal and focuses to a lesser extent on social issues. The Whitlam government was first to use the term economic rationalism.WEB,weblink John Quiggin â€” Journal Articles 1997 - Economic rationalism,, The Whitlam government from 1972 to 1975 changed from a democratic socialism platform to social democracy, their precursor to the party's Third Way policies. Under the Whitlam government, tariffs across the board were cut by 25 per cent after twenty-three years of Labor being in opposition."The Whitlam Institute: The Whitlam Collection: Tariff Reduction". {{webarchive|url=|date=20 July 2005}}Former Labor Prime Minister Kevin Rudd's first speech to parliament in 1998 stated: Competitive markets are massive and generally efficient generators of economic wealth. They must therefore have a central place in the management of the economy. But markets sometimes fail, requiring direct government intervention through instruments such as industry policy. There are also areas where the public good dictates that there should be no market at all. We are not afraid of a vision in the Labor Party, but nor are we afraid of doing the hard policy yards necessary to turn that vision into reality. Parties of the Centre Left around the world are wrestling with a similar challenge—the creation of a competitive economy while advancing the overriding imperative of a just society. Some call this the "third way". The nomenclature is unimportant. What is important is that it is a repudiation of Thatcherism and its Australian derivatives represented opposite. It is in fact a new formulation of the nation's economic and social imperatives.WEB, Kevin, Rudd, First Speech to Parliament, Parliament of Australia, 11 November 1998,weblink 9 December 2006, dead,weblink" title="">weblink 23 December 2007, While critical of economists such as Friedrich Hayek,WEB, Rudd, Kevin, What's Wrong with the Right,weblink 15 May 2019,weblink" title="">weblink 4 December 2006, 16 November 2006, WEB, Peter, Hartcher, Howard's warriors sweep all before them, Sydney Morning Herald, 14 October 2006,weblink 4 December 2006, Rudd described himself as "basically a conservative when it comes to questions of public financial management", pointing to his slashing of public service jobs as a Queensland governmental advisor.WEB, New Labor Leader Outlines Plan, The 7.30 Report, 4 December 2006,weblink 5 December 2006, WEB, Labor elects new leader, The 7.30 Report, 4 December 2006,weblink 5 December 2006,


File:Matteo Renzi 2015.jpeg|thumb|right|upright|The former Italian Prime MinisterItalian Prime MinisterThe Italian Democratic Party is a plural social democratic party including several distinct ideologic trends. Politicians such as former Prime Ministers Romano Prodi and Matteo Renzi are proponents of the Third Way."All aboard the Third Way". BBC News.Under Renzi's secretariat, the Democratic Party took a strong stance in favour of constitutional reform and of a new electoral law on the road toward a two-party system.It is not an easy task to find the exact political trend represented by Renzi and his supporters, who have been known as Renziani. The nature of Renzi's progressivism is a matter of debate and has been linked both to liberalism and populism.WEB, Concita De Gregorio,weblink Il populista di centro, La Repubblica, 31 October 2011, 17 May 2014, WEB,weblink La cura omeopatica Renzi per battere Berlusconi, Europa Quotidiano, 6 September 2013, 17 May 2014,weblink" title="">weblink 6 October 2014, dead, dmy-all, According to Maria Teresa Meli of Corriere della Sera, Renzi "pursues a precise model, borrowed from the Labour Party and Bill Clinton's Democratic Party", comprising "a strange mix (for Italy) of liberal policy in the economic sphere and populism. This means that on one side he will attack the privileges of trade unions, especially of the CGIL, which defends only the already protected, while on the other he will sharply attack the vested powers, bankers, Confindustria and a certain type of capitalism".WEB,weblink Ma Renzi pensa che il premier punti a un futuro in Europa, Corriere della Sera, 17 May 2014, Renzi has occasionally been compared to former British Prime Minister Tony Blair for his political views.WEB,weblink Tony Blair: "Renzi mio erede, con la sua corsa alle riforme cambierà l'Italia, Enrico Franceschini; John Lloyd, 3 April 2014, La Repubblica, Renzi himself has previously claimed to be as supporter of Blair's ideology of the Third Way, regarding an objective to synthesize liberal economics and left-wing social policies.WEB,weblink Intervista a Matteo Renzi di Claudio Sardo, L'Unità, dead,weblink" title="">weblink 1 July 2015, dmy-all, WEB,weblink Irpef, Imu e la terza via di Gutgeld, "guru" economico di Renzi, Formiche Net, 9 June 2013,

United Kingdom

{{see also|New Labour}}In 1938, Harold Macmillan wrote a book entitled The Middle Way, advocating a compromise between capitalism and socialism which was a precursor to the contemporary notion of the Third Way.WEB,weblink Some reflections on the third way, Brittan, Samuel, 20 November 1998, 10 March 2010, dead,weblink" title="">weblink 19 July 2011, dmy-all, Former Prime Minister Tony Blair is cited as a Third Way politician.NEWS,weblink Leader: Blair's new third way, the Guardian, 2005-05-08, NEWS,weblink BBC News — UK Politics — All aboard the Third Way, BBC News, According to a former member of Blair's staff, Blair and the Labour Party learnt from and owes a debt to Bob Hawke's government in Australia in the 1980s on how to govern as a Third Way party.WEB,weblink How the British came, saw and helped Rudd, The Age, 17 December 2007, Blair wrote in a Fabian pamphlet in 1994 of the existence of two prominent variants of socialism, namely one based on a Marxist–Leninist economic determinist and collectivist tradition and the other being an ethical socialism based on values of "social justice, the equal worth of each citizen, equality of opportunity, community".Stephen D. Tansey, Nigel A. Jackson. Politics: the basics. Fourth Edition. Oxon, England, UK; New York, New York, USA: Routledge, 2008. Pp. 97. Blair is a particular follower of the ideas and writings of Giddens as was his successor Gordon Brown.File:Bill Clinton with Professor Anthony Giddens (Joint Chair), 2001.jpg|thumb|Two Third Way proponents, namely Professor Anthony Giddens and former United States PresidentUnited States PresidentIn 1998, Blair, then Labour Party Leader and Prime Minister of the United Kingdom, described the relation between social democracy and Third Way as the following: In 2002, Anthony Giddens listed problems facing the New Labour government, naming spin as the biggest failure because its damage to the party's image was difficult to rebound from. He also challenged the failure of the Millennium Dome project and Labour's inability to deal with irresponsible businesses. Giddens saw Labour's ability to marginalise the Conservative Party as a success as well its economic policy, welfare reform and certain aspects of education. Giddens criticised what he called Labour's "half-way houses", including the National Health Service and environmental and constitutional reform.NEWS,weblink Architect of 'Third Way' attacks New Labour's policy 'failures', Grice, Andrew, 7 January 2002, The Independent, 13 June 2017,

United States

{{see also|New Deal|New Democrats|Rockefeller Republican|Third Way (United States)|l4=Third Way}}{{New Democrats}}In the United States, Third Way adherents embrace fiscal conservatism to a greater extent than traditional economic liberals, advocate some replacement of welfare with workfare and sometimes have a stronger preference for market solutions to traditional problems (as in pollution markets) while rejecting pure laissez-faire economics and other libertarian positions. The Third Way style of governing was firmly adopted and partly redefined during the administration of President Bill Clinton.The Survivor:Bill Clinton in the White House, John F Harris, Random House, 2005. The term Third Way was introduced by political scientist Stephen Skowronek.Skowronek, Stephen (1993). The Politics Presidents Make. {{ISBN|0-674-68937-2}}.Valelly, Rick (31 October 2013). "An Overlooked Theory on Presidential Politics". {{webarchive|url=|date=25 February 2016}}.Regime change, a 23 November 2003 article by Christopher Shea Third Way Presidents "undermine the opposition by borrowing policies from it in an effort to seize the middle and with it to achieve political dominance". Examples of this are Richard Nixon's economic policies which were a continuation of Lyndon B. Johnson's Great Society as well as Clinton's welfare reform later.WEB, The Federal Deficit Mess, Richard, Posner, Richard Posner,weblink The Becker-Posner Blog, 17 July 2011, Obama resembles such Presidents as Nixon and Clinton in the following respect. They are what the political scientist Stephen Skowronek calls practitioners of "third way" politics (Tony Blair was another), who undermine the opposition by borrowing policies from it in an effort to seize the middle and with it to achieve political dominance. Think of Nixon's economic policies, which were a continuation of Johnson's "Great Society"; Clinton's welfare reform and support of capital punishment; and Obama's pragmatic centrism, reflected in his embrace, albeit very recent, of entitlements reform., 22 July 2011, Clinton along with Blair, Prodi, Gerhard Schröder and other leading Third Way adherents organized conferences to promote the Third Way philosophy in 1997 at Chequers in England.The Clinton Wars, Sidney Blumenthal, Farrar, Straus and Giroux, 2003.NEWS,weblink BBC News — EUROPE - 'Third Way' gets world hearing, BBC News, The Third Way think tank and the Democratic Leadership Council are adherents of Third Way politics.DLC: "About The Third Way".

Other countries

File:Wim Kok 1994.jpg|thumb|upright|Wim Kok led two purple Third Way coalitions as Prime Minister of the NetherlandsPrime Minister of the NetherlandsOther leaders who have adopted elements of the Third Way style of governance include Gerhard Schröder of Germany, Wim Kok of the Netherlands,NEWS, Goodbye, third way, David, Walker, The Guardian, 3 September 2001, 21 November 2012,weblink António Guterres and José Sócrates of Portugal,JOURNAL, Costa Lobo, Marina, Magalhães, Pedro C., 2001, The Portuguese Socialists and the Third Way,weblink 7 November 2016, European Consortium for Political Research, NEWS, Steven, Pearlstein, Steven Pearlstein, In Portugal, as in America, a 'Third Way' Is Reemerging,weblink The Washington Post, 6 May 2009, 11 May 2009, Ehud Barak, Ehud Olmert and Tzipi Livni in Israel,NEWS,weblink As Clinton exits, 'third way' faces setback, Christian Science Monitor, Brown, Justin, January 2001, BOOK,weblink Dispatches from the War Room: In the Trenches with Five Extraordinary Leaders, Greenberg, Stanley B., Thomas Dunne Books, 2009, 313, The stories and reality increased the pressure on the government to make investments to relieve poverty, but Barak was self-consciously committed to 'Third Way' economic policies of lower spending, inflation, and interest rates that produced such growth in the United States and Britain., 9780312351526, David Lange, Roger Douglas and Helen Clark in New Zealand,JOURNAL, Dalziel, Paul, December 2001, Third Way Economic Management in New Zealand,weblink Economic and Labour Relations Review, 12, 2, 193–207, 10.1177/103530460101200203, 7 November 2016, NEWS,weblink An interview with Helen Clark, 8 May 2003, The Economist, 7 November 2016, François Hollande, Dominique Strauss-Kahn, Manuel Valls and Emmanuel Macron in France,WEB,weblink Presidential hopeful Strauss-Kahn seeks third way à la française, Arnold, Martin, 18 November 2005, Financial Times, 7 November 2016, WEB,weblink Hollande chooses 'third way' on economy, Lohrenz, Carolin, 15 January 2014, Deutsche Welle, 7 November 2016, WEB,weblink France's and Italy's New 'Tony Blairs': Third Way or No Way?, Alcaro, Riccardo, Le Corre, Philippe, 25 November 2014, Brookings Institution, 8 November 2016, WEB,weblink Emmanuel Macron and the building of a new liberal-centrist movement, Milner, Susan, 6 February 2017, London School of Economics, 23 May 2017, Costas Simitis in Greece,JOURNAL, Tassis, Chrisanthos D., December 2015, Transformation of Policies and Politics in Greece towards and inside the European Union 1950-2012,weblink Review of History and Political Science, 3, 2, 41–49, 10.15640/rhps.v3n2a5, 8 November 2016, Viktor Klima and Alfred Gusenbauer in Austria,WEB,weblink Letter from ... Vienna, Novak, Philipp, 5 February 2016, Progress Online, 7 November 2016, Ingvar Carlsson and Göran Persson in Sweden,JOURNAL, Andersson, Jenny, September 2006, The People's Library and the Electronic Workshop: Comparing Swedish and British Social Democracy,weblink Politics & Society, 34, 3, 431–460, 10.1177/0032329206290472, 8 November 2016, JOURNAL, Kuisma, Mikko, Ryner, Magnus, 3 September 2012, Third Way decomposition and the rightward shift in Finnish and Swedish politics, Contemporary Politics, 18, 3, 325–342, 10.1080/13569775.2012.702975, Paavo Lipponen in Finland, Helle Thorning-Schmidt in Denmark,JOURNAL, Herløv Lund, Henrik, 15 October 2005, Helle Thorning Schmidt: "New Labour" i Danmark?, Helle Thorning Schmidt: "New Labour" in Denmark?,weblink Danish, Kritisk Debat, 8 November 2016, Kim Dae-jung and Roh Moo-hyun in South Korea,THESIS, Chung, Johng-Eun, October 2012, From Developmental to Neo-Developmental Cultural Industries Policy: The Korean Experience of the "Creative Turn", PhD, University of Glasgow,weblink 9 November 2016, Jean Chrétien and Paul Martin in Canada,NEWS,weblink The irresistible, unassailable Third Way? Not anymore, Altman, Daniel, 6 July 2005, The New York Times, 8 November 2016, Ferenc Gyurcsány in Hungary,WEB,weblink Man who would be Blair, Condon, Christopher, 17 April 2006, Financial Times, 8 November 2016, Victor Ponta in Romania,WEB,weblink Looking to New Labour, Magdin, Radu, 19 September 2014, Progress Online, 8 November 2016, Leszek Miller and Marek Belka in Poland,WEB,weblink The false promise of a new left in Poland, Rae, Gavin, 21 August 2013, OpenDemocracy, 8 November 2016, Luiz Inácio Lula da Silva in Brazil,THESIS, Schreiber, Leon Amos, 2011, The third way in Brazil? Lula's presidency examined, Stellenbosch University,weblink 8 November 2016, Alan Garcia and Alejandro Toledo in Peru,NEWS,weblink Peru contemplates a return to a troubled future, 12 April 2001, The Economist, 8 November 2016, Thabo Mbeki in South Africa,JOURNAL, Vale, Peter, Peter Vale, Barrett, Georgina, 10 December 2009, The curious career of an African modernizer: South Africa's Thabo Mbeki, Contemporary Politics, 15, 4, 445–460, 10.1080/13569770903416521, Muammar Gaddafi in LibyaNEWS, Tony Blair listened to Colonel Gaddafi's third way theories,weblink Business Insider, Wilson, Jeremy, 11 December 2015, WEB,weblink The colonel and his third way, Giddens, Anthony, Anthony Giddens, 28 August 2006, New Statesman, 14 November 2016, and Ricardo Lagos and Michelle Bachelet in Chile.NEWS,weblink Man in the News: Ricardo Lagos Escobar; A Chilean Socialist in the Clinton-Blair Mold, Krauss, Clifford, 9 November 2018,


After the dismantling of his country's Marxist–Leninist government, Czechoslovakia's conservative finance minister Václav Klaus declared in 1990: "We want a market economy without any adjectives. Any compromises with that will only fuzzy up the problems we have. To pursue a so-called 'third way' is foolish. We had our experience with this in the 1960s when we looked for a socialism with a human face. It did not work, and we must be explicit that we are not aiming for a more efficient version of a system that has failed. The market is indivisible; it cannot be an instrument in the hands of central planners"."No Third Way Out: Creating A Capitalist Czechoslovakia". Reason. June 1990. Retrieved 22 April 2007. In historical context, such proposals were better described as liberalised centrally-planned socialism rather than the socially-sensitive capitalism that Third Way policies tend to have been identified with in the West.{{citation needed|date=June 2019}}Left-wing opponents of the Third Way argue that it represents social democrats who responded to the New Right by accepting capitalism. The Third Way most commonly uses market mechanics and private ownership of the means of production and in that sense it is fundamentally capitalistic.Romano, Flavio (2006). Clinton and Blair: The Political Cconomy of the Third Way. Oxon, England, UK; New York City, New York, USA: Routledge. p. 5. In addition to opponents who have noticed this, other reviews have claimed that Third Way social democrats adjusted to the political climate since the 1980s that favoured capitalism by recognising that outspoken opposition to capitalism in these circumstances was politically nonviable and that accepting capitalism as the current powers that be and seeking to administer it to challenge laissez-faire capitalists was a more pressing immediate concern.Romano, Flavio (2006). Clinton and Blair: The Political Cconomy of the Third Way. Oxon, England, United Kingdom; New York City, New York, United States: Routledge. p. 113. With the rise of neoliberalism in the late 1970s and early 1980s and the Third Way between the 1990s and 2000s, social democracy became synonymous with it.Lewis, Jane; Surender, Rebecca (2004). Welfare State Change: Towards a Third Way?. Oxford University Press. As a result, the section of social democracy that remained committed to the gradual abolition of capitalism and anti-Third Way social democrats merged into democratic socialism.Busky, Donald F. (20 July 2000). Democratic Socialism: A Global Survey. Praeger. pp. 7–8. {{ISBN|978-0275968861}}. "Democratic socialism is the wing of the socialist movement that combines a belief in a socially owned economy with that of political democracy."Anderson, Gary L.; Herr, Kathryn G. (2007). Encyclopedia of Activism and Social Justice. SAGE Publications. p. 448. {{ISBN|978-1412918121}}. "Some have endorsed the concept of market socialism, a post-capitalist economy that retains market competition but socialises the means of production, and in some versions, extends democracy to the workplace. Some holdout for a non-market, participatory economy. All democratic socialists agree on the need for a democratic alternative to capitalism." Many anti-Third Way social democrats overalp with democratic socialists in their committiment to an alternative to capitalism and a post-capitalist economy and have not only criticised the Third Way as anti-socialistCammack, Paul (2004). "Giddens's Way with Words". In Hale, Sarah; Leggett, Will; Martell, Luke (eds.). The Third Way and Beyond: Criticisms, Futures and Alternatives. Manchester University Press. {{ISBN|978-0-7190-6598-9}}. and neoliberal, but also as anti-social democratic in practice.Democratic and market socialists argue that the major reason for the economic shortcomings of command economies was their authoritarian nature rather than socialism itself, that it was a failure of a specific model and that therefore socialists should support democratic models rather than abandon it. Economists Pranab Bardhan and John Roemer argue that Soviet-type economies and Marxist–Leninist states failed because they did not create rules and operational criteria for the efficient operation of state enterprises in their administrative, command allocation of resources and commodities and the lack of democracy in the political systems that the Soviet-type economies were combined with. According to them, a form of competitive socialism that rejects dictatorship and authoritarian allocation in favor of democracy could work and prove superior to the market economy.BOOK, Comparing Economic Systems in the Twenty-First, Gregory, Paul, Stuart, Robert, South-Western College Pub, 2003, 0-618-26181-8, 152, Although close to New Labour and a key figure in the development of the Third Way, sociologist Anthony Giddens dissociated himself from many of the interpretations of the Third Way made in the sphere of day-to-day politics. For him, it was not a succumbing to neoliberalism or the dominance of capitalist markets.Giddens, Anthony (2000). The Third Way and its Critics. Polity Press. p. 32. {{ISBN|0745624502}}. The point was to get beyond both market fundamentalism and traditional top-down socialism—to make the values of the centre-left count in a globalising world. He argued that "the regulation of financial markets is the single most pressing issue in the world economy" and that "global commitment to free trade depends upon effective regulation rather than dispenses with the need for it".Giddens, Anthony (1998). The Third Way; A Renewal of Social Democracy. Polity Press. pp. 148–149. {{ISBN|0745622666}}.In 2008, Charles Clarke, a former United Kingdom Home Secretary and the first senior Blairite to attack Prime Minister Gordon Brown openly and in print, stated: "We should discard the techniques of 'triangulation' and 'dividing lines' with the Conservatives, which lead to the not entirely unjustified charge that we simply follow proposals from the Conservatives or the right-wing media, to minimize differences and remove lines of attack against us".WEB,weblink Most Britons want Brown to go: poll, Totaro, Paola, The Age, 8 May 2008, dead,weblink 14 May 2008, dmy-all, In 2013, American lawyer and former bank regulator William K. Black wrote that "Third Way is this group that pretends sometimes to be center-left but is actually completely a creation of Wall Street—it's run by Wall Street for Wall Street with this false flag operation as if it were a center-left group. It's nothing of the sort".

Third Way and social capital

The shift towards a political discourse heavily influenced by social capital is observable comparing the 1979 and 1997 Labour Party manifestos."1979 Labour Party Manifesto"."1997 Labour Party Manifesto". In 1979, the Labour Party professed a complete adherence to social democratic ideals and rejected the choice between a "prosperous and efficient Britain" and a "caring and compassionate Britain". Coherent with this position, the main commitment of the party was the reduction of economic inequality via the introduction of a wealth tax. In the 1990s, this agenda drastically changed with the progressive dismissal of traditional social democratic ideology. In particular, New Labour de-emphasised the need to tackle economic inequality and instead focused its political strategy on the expansion of opportunities for all, keeping public intervention in the market to a minimum. In this context, the aim to foster social capital creation by holding together the modernisation of the state and the creation of stronger social ties became the flagship of New Labour.Ferragina, Emanuele; Arrigoni, Alessandro (2016). "The Rise and Fall of Social Capital: Requiem for a Theory?". Political Studies Review.This change of political orientation was based on a profound revision of social democratic principles. These principles were considered by New Labour to be an obstacle to the activation of evidence-based policy-making. In this context, the prevention of market failures which is targeting child poverty and educational disadvantage was preferred over the redistributive approach endorsed by the Labour Party during the 1970s. The new vision implied the full acceptance of market principles and pushed traditional social democratic values even further away. This ideological shift took place despite the fact that the period between 1979 and 1995 was characterised by the sharpest increase in economic inequality since World War II. The importance attributed to the creation of social capital is symptomatic of New Labour's interest in civil society. This interest can be explained by the effect of growing individual freedom, fostered by economic and technological modernisation, in a context where traditional forms of solidarity and interdependence are needed to prevent social disintegration, a social paradox already identified by the founding fathers of sociology. For this reason, New Labour considered the creation of social capital as a good antidote to the tension between traditional and modern values.Tony Blair proposed to manage social change by unifying moral values, represented by the Tocquevillian quest for community and scientific evidence, used to inform evidence-based policy-making. According to Blair, the fusion of these two elements in the Third Way was the only remedy for the social paradox illustrated above. One could say as Émile Durkheim that during an age of modernisation and transformation the values cultivated in secondary groups need to be universally accepted because they confer a human face to a society dominated by competition and the pursuit of efficiency. In this vision, the creation of social capital balances growing individualism with the need for interdependence, serving as a sort of glue to prevent modernisation from heading towards societal disintegration. After merging social capital's argument and the Third Way discourse. New Labour also bridged theory and practice through policy making at various levels, namely in education, health and neighbourhoods; and attempting to measure the direct impact of these reforms on social capital. In this context, the objective of creating social capital through the empowerment of families and communities and the decentralisation of social services became one of the leading driving forces of New Labour's political action.

Weakening of Third Way

According to one article submitted in 2017 to open-contribution website Market Mogul, the Third Way movement was at its peak in the 1990s and 2000s, but it has since been on the decline and by 2017 it became clear that the ideology is not as popular as it used to be outside of established Third Way circles. Third Way economic policies began to be challenged following the Great Recession. The rise of right-wing populism has put the ideology into question. Many on the left have become more vocal in opposition to the Third Way, with the most prominent example in the United Kingdom being the rise of self-identified democratic socialist Labour Party Leader Jeremy Corbyn as well as Alexandria Ocasio-Cortez and Bernie Sanders in the United States.Huges, Laura (24 February 2016). "Tony Blair admits he can't understand the popularity of Jeremy Corbyn and Bernie Sanders". The Daily Telegraph. Retrieved 14 May 2019. "In a joint Guardian and Financial Times interview, Mr Blair said he believed some of Mr Sanders' and Mr Corbyn's success was due to the "loss of faith in that strong, centrist progressive position", which defined his own career. He said: "One of the strangest things about politics at the moment – and I really mean it when I say I'm not sure I fully understand politics right now, which is an odd thing to say, having spent my life in it – is when you put the question of electability as a factor in your decision to nominate a leader, it's how small the numbers are that this is the decisive factor. That sounds curious to me."Tarnoff, Ben (12 July 2017). "How social media saved socialism". The Guardian. Retrieved 14 May 2019. "Socialism is stubborn. After decades of dormancy verging on death, it is rising again in the westIn the UK, Jeremy Corbyn just led the Labour party to its largest increase in vote share since 1945 on the strength of its most radical manifesto in decades. In France, the leftist Jean-Luc Melenchon recently came within two percentage points of breaking into the second round of the presidential election. And in the US, the country's most famous socialist – Bernie Sanders – is now its most popular politician. [...] For the resurgent left, an essential spark is social media. In fact, it's one of the most crucial and least understood catalysts of contemporary socialism. Since the networked uprisings of 2011 – the year of the Arab spring, Occupy Wall Street and the Spanish indignados – we've seen how social media can rapidly bring masses of people into the streets. But social media isn't just a tool for mobilizing people. It's also a tool for politicizing them.""Democratic socialism hits the heartland: Ocasio-Cortez, Sanders to campaign in deep-red Kansas". NBC News. 20 July 2018. Retrieved 14 May 2019. A large number of Third Way politicians have been either voted out of office or forced to change their positions due to the ideology's weakening base. The election of Emmanuel Macron as President of France in 2017 gave some hope to Third Way proponents.WEB,weblink Emmanuel Macron: Third Way Redux, Mildren, William, The Market Mogul, 5 June 2017, 15 April 2018, However, Macron has become largely unpopular and his presidency has been marked by the formation of the yellow vests movement."Is this the real reason Macron is so unpopular in France?". The Local. 9 October 2018. Retrieved 23 June 2019."France's 'yellow vests' mark six months of protests with numbers dwindling". France 24. 18 May 2019. Retrieved 23 June 2019.

See also




External links

  • weblink" title="">"Third Way Debate Summary". Nexus.
  • NEWS, Why Tony is not a guitar-wielding fascist dictator, Aaronovitch, David, David Aaronovitch, The Guardian, 1 July 2003,weblink
  • WEB, The Third Way — an Answer to Blair, Harrington, Patrick, Patrick Harrington, Third Way,weblink dead,weblink" title="">weblink 13 October 2007, dmy-all,
  • NEWS, What Is the Third Way?, BBC News, 27 September 1999,weblink bbc,
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