About Social Democracy
Contrary to some notions in the US, the above phrase as used in Europe
does not mean "socialist". Socialism is founded upon the belief that all the means of production are owned by the state and private enterprise is either not allowed or is heavily regulated.
The difference between a Communist and a Socialist state is that the Communist Party rules the country and the only electoral vote is for local members of the Communist Party (from which national leaders are selected).
A Social Democracy pertains to a political party that espouses its particular set of principles (as stipulated here:
Social Democracy) - but it is only one party (often dominant) amongst a
plurality of parties in most European countries.
Democracies, over time, have evolved into two main-parties, one on the Left the other on the Right. That of the Left in Europe, often dominant, espouses the principles of a Social Democracy. (France is typical, where the major-parties are both Left ("Socialist") and Right ("Republicans"), but electors can vote Centrist and Far-Left and Far-Right parties.)
A Social Democracy accommodates capitalism within its market-economy as long as
fiscal-policy is managed by a directly elected Executive and Legislative bodies.
Which means, ipso facto, that in a Social Democracy:
*
Truly progressive taxation is applied to the both income and net wealth along with inheritance. And,
*The central government remains responsible for key Public Services that the private-sector is unable to guaranty at a cost that is necessarily low (even free) for the general public. Which is typically meant to be (but not only) Universal Health Care as well as Primary, Secondary and Tertiary Education.
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