capitalist West. In the 1940s and 1950s there were many observers who
genuinely believed that communist planning methods had solved the
problems posed by the boom and bust pattern
commonly observed under
capitalism, but by the 1970s it had become increasingly difficult to believe
that this was the case – the regimes of ‘really-existing socialism’ were very
obviously not providing the kind of material success to be found in the
capitalist West. Neither was it possible to argue that these societies were
more socially just than their competitors in the West; the terrifying repres-
sion of the Stalinist totalitarian era may have passed in Eastern Europe by
the 1970s and 1980s, but personal freedom was still very limited and the
regimes were widely perceived by their own citizens as lacking legitimacy.
In any event, in the course of the 1980s and 1990s, communist regimes in
Europe unravelled and were replaced by political systems that aspired to be
like the political systems of the advanced capitalist world. The reasons for
this collapse are complex and inevitably disputed; the impact of Western,
especially American, pressure, the internal dynamics of a process of change
that
got out of hand, the role of particular individuals (Gorbachev,
Pope John Paul II, Ronald Reagan), the role of ideas: the list of candidates
for the role of prime agent of change is long and debates will continue, but
the key point is that communism as a system of rule fell apart. The kind of
convergence between East and West that many had envisaged as the proba-
ble outcome of the Cold War did not take place. Instead, the East adopted
the ideas of the West. The significance of this was immediately noted by
some of the more perceptive thinkers of the period. A key text here is ‘The
End of History’ a much misunderstood piece by the American political
philosopher and policy analyst Francis Fukuyama (1989).
This was a Hegelian analysis of the consequences of the end of the
Cold War which
temporarily captured the Zeitgeist, attracted immense
media interest and led to a major book,
The End of History and the Last
Man (1992). In essence, Fukuyama argues that in vanquishing Soviet
communism, liberal democracy removed its last serious competitor as a
conception of how an advanced industrial society might be governed. In the
early nineteenth century, the shape of liberal
democracy emerged as a com-
bination of a market-based economy, representative institutions, the rule of
law and constitutional government. Since then there have been a number of
attempts to go beyond this formula, but each has failed. Traditional autoc-
racy, authoritarian capitalism, national socialism and fascism each failed in
wars against liberal societies. Liberalism’s most powerful enemy (and also
one of its earliest)
was Marxian socialism, which held that the freedoms
which liberalism offered were insufficient and could be transcended –
specifically that political freedoms were undermined by economic inequality
and that ways of running industrial society without the market and via the
rule of the Party rather than representative government were viable.
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