Social Democracy and Labour Market Policy: Developments in Britain and Germany (Routledge Research in Comparative Politics, 4)

Knut Roder's in-depth analysis of labour market policies of the British Labour Party and German Social Democratic Party in the last two decades is a masterly account of the changes, and electoral consequences. Focusing on one of the core policy areas of any political party, but in particular of Social Democrats, the author applies interesting methodological approaches, which not only prove the significance of policy change in this field for electoral success or failure, but also show interesting similarities between the two parties. Roder has put a lot of effort in, and he has spoken to many key protagonists in both parties, including several former party leaders. Whilst not easy to read, the book should nonetheless be studied by any student interested in the areas of party systems and the Third Way politics. Book Cover......Page 1 Title......Page 4 Contents......Page 5 List of illustrations......Page 10 Preface......Page 11 Acknowledgements......Page 13 List of abbreviations......Page 14 Introduction: social democracy under pressure......Page 16 The aims of this book......Page 18 Methods and the quantitative and qualitative approach to programme analysis......Page 19 Theoretical aspects: linking historical institutionalism with the decline of the Keynesian paradigm......Page 22 Changing conditions for policy design......Page 24 Challenges of post-war social democracy......Page 26 The development of Western European post-war Social Democracy......Page 27 The 1970s and the challenges to European Social Democracy......Page 34 The Europeanization and increasing policy convergence of Social Democratic parties......Page 44 'Modernization': the response of Social Democracy......Page 50 What's the difference? The 'Third Way' and 'Neue Mitte'......Page 57 Inside the party: changing conditions and strategies......Page 59 The increasing role of marketing and the media......Page 60 Domestic policy systems as conditioning factors in Labour's and the SPD's policy formation processes (the Westminster model v. German federalism)......Page 66 The Labour Party and the SPD: parties acting within the constraints of being in opposition......Page 71 Conclusions......Page 80 Institutional constraints on party behaviour: Keynesian v. neo-liberal paradigms......Page 81 Party identities and policy space......Page 85 A 'new institutionalist' approach......Page 87 The role of ideas in the policy process......Page 91 The Keynesian and neo-liberal paradigms, institutions and impacts......Page 92 Path dependence and 'picking the right horse'......Page 98 Labour's and the SPD's 'delayed' shift towards neo-liberal labour market policy approaches......Page 102 The notion of institutional history......Page 106 Conclusions......Page 110 The development of labour market policy......Page 114 The development of labour market policy in Britain and Germany......Page 116 The Labour Party's 'policy review process' and Commission on Social Justice......Page 127 The report of the CSJ......Page 130 The SPD and the 'basic programme' review process......Page 133 The significance of Looking to the Future and the Berlin Grundsatzprogramm......Page 140 Trends in policy convergence: findings from party documents......Page 144 The SPD's and the Labour Party's programme development structure......Page 154 The development of an analytical framework for a cross-national study......Page 156 The quantitative analysis of party manifestos and statements......Page 157 European Community/Union LMP initiatives: positive......Page 158 Full employment and the intention of tackling unemployment/high employment......Page 162 Pro-economic state planning and nationalization......Page 165 Pro-labour market regulation......Page 166 Pledges that are negative on economic state planning and nationalization; pro-public private; pro-deregulative on labour market measures......Page 168 Positive statements on (state initiatives for the provision of) training and education; training subsidies; and youth training......Page 170 Technology, industrial policy and competitiveness......Page 173 Social justice/social stability......Page 176 The role of labour market agencies (Arbeitsamt, Jobcentre)......Page 177 Public-sector and social employment......Page 178 Employment taxes......Page 179 Keynesian demand management......Page 180 Economic orthodoxy, government efficiency, pro-free market economy......Page 182 Corporatism......Page 185 Conclusions......Page 187 Policy reform and policy change: a comparative perspective......Page 189 The organizational and policy transformation of the SPD......Page 192 Inner-party change: different and common features between Labour and the SPD......Page 195 Actors' perceptions and evaluation of Labour's and the SPD's policy development......Page 196 Actors' evaluation of major influence components on party policy change......Page 199 Changes in actors' personal beliefs and their explanations......Page 200 Labour and SPD in office: the Blair/SchrOder 'Third Way/Neue Mitte' paper......Page 202 Conclusions from actors' beliefs, perceptions and observations......Page 204 Conclusions......Page 206 Converging social democratic strategy......Page 208 Party policy-making and the paradigmatic component......Page 209 Historical institutionalism applied......Page 212 The Labour Party and the SPD: the development of party change, economic policies and party values......Page 213 The parties' shift from a Keynesian policy approach to the acceptance of a neo-liberal policy approach......Page 218 The emergence of European-level party strategies......Page 219 Further potential for policy convergence? The future outlook......Page 220 The future of Social Democracy......Page 221 The content analysis of labour market policies in party documents......Page 225 Interviewed policy actors from the Labour Party and the Sozialdemokratische Partei Deutschlands (SPD)......Page 241 Labour market policy coding scheme for party political manifestos/manifestos and 'major' (mid-term) statements full standard coding frame (FCF)......Page 245 Labour market policy coding scheme for party political programmes/manifestos and 'major' (mid-term) statements collapsed coding frame (CCF)......Page 253 Notes......Page 260 Bibliography......Page 294 Index......Page 310 Education, Politics & IR, Sociology & Social Policy Book Cover 1 Title 4 Contents 5 List of illustrations 10 Preface 11 Acknowledgements 13 List of abbreviations 14 Introduction: social democracy under pressure 16 The aims of this book 18 Methods and the quantitative and qualitative approach to programme analysis 19 Theoretical aspects: linking historical institutionalism with the decline of the Keynesian paradigm 22 Changing conditions for policy design 24 Challenges of post-war social democracy 26 The development of Western European post-war Social Democracy 27 The 1970s and the challenges to European Social Democracy 34 The Europeanization and increasing policy convergence of Social Democratic parties 44 'Modernization': the response of Social Democracy 50 What's the difference? The 'Third Way' and 'Neue Mitte' 57 Inside the party: changing conditions and strategies 59 The increasing role of marketing and the media 60 Domestic policy systems as conditioning factors in Labour's and the SPD's policy formation processes (the Westminster model v. German federalism) 66 The Labour Party and the SPD: parties acting within the constraints of being in opposition 71 Conclusions 80 Institutional constraints on party behaviour: Keynesian v. neo-liberal paradigms 81 Party identities and policy space 85 A 'new institutionalist' approach 87 The role of ideas in the policy process 91 The Keynesian and neo-liberal paradigms, institutions and impacts 92 Path dependence and 'picking the right horse' 98 Labour's and the SPD's 'delayed' shift towards neo-liberal labour market policy approaches 102 The notion of institutional history 106 Conclusions 110 The development of labour market policy 114 The development of labour market policy in Britain and Germany 116 The Labour Party's 'policy review process' and Commission on Social Justice 127 The report of the CSJ 130 The SPD and the 'basic programme' review process 133 The significance of Looking to the Future and the Berlin Grundsatzprogramm 140 Trends in policy convergence: findings from party documents 144 The SPD's and the Labour Party's programme development structure 154 The development of an analytical framework for a cross-national study 156 The quantitative analysis of party manifestos and statements 157 European Community/Union LMP initiatives: positive 158 Full employment and the intention of tackling unemployment/high employment 162 Pro-economic state planning and nationalization 165 Pro-labour market regulation 166 Pledges that are negative on economic state planning and nationalization; pro-public private; pro-deregulative on labour market measures 168 Positive statements on (state initiatives for the provision of) training and education; training subsidies; and youth training 170 Technology, industrial policy and competitiveness 173 Social justice/social stability 176 The role of labour market agencies (Arbeitsamt, Jobcentre) 177 Public-sector and social employment 178 Employment taxes 179 Keynesian demand management 180 Economic orthodoxy, government efficiency, pro-free market economy 182 Corporatism 185 Conclusions 187 Policy reform and policy change: a comparative perspective 189 The organizational and policy transformation of the SPD 192 Inner-party change: different and common features between Labour and the SPD 195 Actors' perceptions and evaluation of Labour's and the SPD's policy development 196 Actors' evaluation of major influence components on party policy change 199 Changes in actors' personal beliefs and their explanations 200 Labour and SPD in office: the Blair/SchrOder 'Third Way/Neue Mitte' paper 202 Conclusions from actors' beliefs, perceptions and observations 204 Conclusions 206 Converging social democratic strategy 208 Party policy-making and the paradigmatic component 209 Historical institutionalism applied 212 The Labour Party and the SPD: the development of party change, economic policies and party values 213 The parties' shift from a Keynesian policy approach to the acceptance of a neo-liberal policy approach 218 The emergence of European-level party strategies 219 Further potential for policy convergence? The future outlook 220 The future of Social Democracy 221 The content analysis of labour market policies in party documents 225 Interviewed policy actors from the Labour Party and the Sozialdemokratische Partei Deutschlands (SPD) 241 Labour market policy coding scheme for party political manifestos/manifestos and 'major' (mid-term) statements full standard coding frame (FCF) 245 Labour market policy coding scheme for party political programmes/manifestos and 'major' (mid-term) statements collapsed coding frame (CCF) 253 Notes 260 Bibliography 294 Index 310 Introduction: Social Democracy Under Pressure -- Pt. I. Changing Conditions For Policy Design -- 1. Challenges Of Post-war Social Democracy -- 2. Inside The Party: Changing Conditions And Strategies -- 3. Institutional Constraints On Party Behaviour: Keynesian V. Neo-liberal Paradigms -- Pt. Ii. Development Of Labour Market Policy -- 4. Development Of Labour Market Policy In Britain And Germany -- 5. Trends In Policy Convergence: Findings From Party Documents -- 6. Policy Reform And Policy Change: A Comparative Perspective -- Pt. Iii. Conclusions -- 7. Converging Social Democratic Strategy -- App. I. Content Analysis Of Labour Market Policies In Party Documents -- App. Ii. Interviewed Policy Actors From The Labour Party And The Sozialdemokratische Partei Deutschlands (spd) -- App. Iii. Labour Market Policy Coding Scheme For Party Political Programmes/manifestos And 'major' (mid-term) Statements -- Full Standard Coding Frame (fcf) -- App. Iv. Labour Market Policy Coding Scheme For Party Political Programmes/manifestos And 'major' (mid-term) Statements -- Collapsed Coding Frame (ccf). Knut Roder. Includes Bibliographical References And Index. This highly topical study reflects on the current problems faced by social democratic parties in government when espousing policies of severe pragmatism and fiscal prudence, and provides an historical medium-term perspective to both parties'substantial changes in labour market policies. There is now a good deal of interest in the Third Way and the Neue Mitte, and this book provides much needed empirical detail, and solid analysis of the substance of these ideas. It will be of great interest to students and researchers in comparative politics, social democracy and economic policy.