6 minute read
Do You Believe in a Free Market?
Do You Believe in a Free Market?
Do You Want to Protect Our
Free Enterprise System? KELLY HALL CCE, IOM, MSL President/CEO
Throughout my career I have had the opportunity to experience hearing some amazing speakers and learn about policy trends. One of the most impactful programs I have heard in recent years was in September of 2019 at a U. S. Chamber of Commerce (USCC) Committee of 100 meeting. As we prepare for our 88th legislative session I am reminded of the Chamber’s impactful programs and importance of our role in protecting our economic environment that allows businesses to thrive.
I believe we need to remain diligent in reminding this generation that our country was built on the idea that all people are created equal and that these people have fundamental rights such as liberty, free speech, freedom of religion, due process of law, and freedom of assembly. At our country’s core was the belief that free enterprise would provide individuals the ability to choose the businesses we want do business with, have the right to private property, ability to make a profit, competition is healthy, and consumer sovereignty. These principals build the foundation of capitalism. What is alarming to me is the number of individuals who do not know the meanings of capitalism or socialism. Do you and your employees?
The USCC Foundation built a new website on Civics Education called The CIVIC TRUST. The website was birthed after sharing data that had been collected in 5 areas to determine strategies moving forward:
1. Understanding the public sentiment towards
“capitalism” and socialism”.
2. Capitalism and socialism are not viewed as mutually exclusive solutions.
3. Engaging in an ideological or political fight over socialism backfires with certain audiences.
4. Socialism must be defined through practical examples, especially cost
5. We need to build-up support for capitalism
The following is a glimpse of the data collected by the USCC.
I. Understanding public sentiment towards “capitalism” and “socialism”
While overall public sentiment strongly favors capitalism over socialism, capitalism has less support among several key demographics – women, Hispanics, and 18 to 34 year old’s.
Younger Americans are concerned about their own access to upward mobility. When asked what they worry about, 45% select “not being able to make enough money to get ahead.”
Not surprisingly, only 1 in 4 said that their “personal economic situation” was getting better these days, while similar levels (22%) report it is “getting worse.” Nearly half (45%) said it is staying about the same.
Key Takeaway: We are not in the midst of a socialist wave, but there is work to do, especially with younger Americans. We should not discount their concerns about the economy and their own personal financial situation.
Many Americans do not view capitalism and socialism in distinct “eitheror” terms.
According to a Pew Research2 poll, 1 in 4 Americans have a positive view of both capitalism and socialism. Demographic groups with a near equal “favorable” opinion of both include:
• Adults under 30, • African Americans, • Hispanics, • Those making less than $30,000 annually, and • Democrats
This likely reflects the fact that many Americans see problems that they do not believe the current economic system is solving and more to the point, are not convinced that socialism cannot address some problems.
2https://www.pewresearch.org/fact-tank/2019/06/25/stark-partisan-divisions-in-americans-views-of-socialismcapitalism/
Key Takeaway: Many Americans, including our target audiences, do not view this as a fight between two mutually exclusive economic systems.
In focus groups conducted by the Chamber we learned that while older, more moderate Democrats reject the principles of socialism, they believe the term has become a smear used by Republicans. As a result, they are sympathetic to policies labeled “socialist.”
The Chamber recently tested this in a poll of likely voters in a state with a competitive Senate race. Respondents were asked in a split sample whether they would be more or less likely to vote for a candidate who supported a list of progressive policies. Half the sample were asked the question with the word “socialist” inserted to describe the policies, the other half were asked without the “socialist” descriptor.
As a topline matter, the use of the word “socialist” to describe the policies made no significant difference. However, this topline masks important movement in certain segments of voters. Strong GOP voters increased their opposition to the candidate who supported socialist policies, while independent voters were significantly more likely to support a candidate if their policies were described as “socialist.” Similarly, support for the “socialist” policies increased among soft Democrats.
In short, simply describing policies as “socialist” can boost opposition from the Republican base, but in turn, it boosts support among Independents and soft Democrats.
Majority levels of adults under the age of 40 think specific socialist policies could be “fair.” Nearly 6 in 10 think it is completely or mostly fair to tax people at a much higher rate the more they earn, provide the same insurance to someone who works as to someone who chooses not to work, cancel all student loan debt, and redistribute income between the rich and poor.
Key Takeaway: In the fight to increase support for capitalism, we lose ground with key audiences if we simply rely on philosophical or partisan terms or ideology. We must recognize that younger Americans initially view socialist ideas as “fair” and advance arguments that cause them to rethink this view.
Demonstrating the personal costs of specific socialist policies is the most effective way to increase opposition to socialism.
In the same survey of adults under 40, 51% thought that policies to provide universal healthcare, free college, forgive student debt, and combat climate change would be “unfair” if it required raising taxes on the middle class by about $19,000 a year.
A recent poll of registered voters in battleground districts revealed a significant increase in opposition to Medicare for All when survey participants were informed that “independent studies have shown that Medicare for All as proposed in Congress would mean doctor shortages, longer wait times for urgent medical care and delays in access to the latest drugs for cancer and other serious diseases.
Key Takeaway: Focusing on the personal costs of socialist policies is the most effective argument against socialism
While many younger Americans have a positive view of socialism, perhaps more disconcerting is the fact that, over the past decade, positive views of capitalism have fallen significantly.
A little education about the benefits of capitalism and the consequences of socialism, however, can significantly move the needle in support of capitalism.
It is worth noting that voters want to hear arguments about why capitalism is better and are less interested in hearing negative arguments about socialism. Also of importance is the language used in any education efforts. Adults under 40 are more favorable towards the terms “free markets” and “free enterprise.”
Q: Please indicate whether you have a favorable or unfavorable view of each of the following:
2012
Key Takeaway: Education about why free enterprise works must be front and center. Voters want to hear arguments about why capitalism works, and a simple definition can significantly move the needle. We can also strengthen the argument for capitalism with some audiences by using the phrases “free enterprise” and “free markets.”
CREATIVE VERSATILE STRATEGIC
