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Thenew liberalism is a variant ofsocial liberalism that emerged in Europe at the end of the 19th century. It began in England driven mainly by the politician and sociologistLeonard Trelawny Hobhouse and theorized in his bookLiberalism (1920). It had reception within theLiberal Party of the United Kingdom, giving a rapprochement between it and theLabour Party on social issues.
New liberalism espouses economic reform to createwelfare states and significantstate intervention incorporate law and the overall economic health of a country, but also "the importance of personal liberty in the face of encroachment by thestate".[1]
Individualfreedom is perceived as an obligation owed by the person to society. Consequently, the moral actions of individuals hold significance for society, blurring the lines between what is suitable for the individual and what benefits the entire society, although the obligations to society are clearly defined.
In the context ofindividualism, society is regarded as a collective of interconnected individuals. Conversely, according toorganicism, society functions as an organism with its own entity, prioritizing the collective over individual interests. New liberalism, however, views society as an entity propelled by both individuals and itself, establishing an interdependent relationship between society and the individual. Thus, it occupies a middle ground between individualism and organicism.
New liberalism advocates for the pursuit of thecommon good alongside individual interests. It rejects the notion that harmony arises solely from unrestricted individual actions.
Freedom, as perceived by new liberalism, entails the absence of coercion and constraints, with the State intervening only in cases where there are violations of the natural order of competition among individuals. According to this perspective, freedom cannot exist without the assurance provided by the State, which represents society and plays a crucial role in fostering the expansion of individual personalities.
Hobhouse distinguishes betweenpower that respects individual and spiritual freedoms and power thatcoerces them. For instance, in ajob contract, the employer holds a position of power over the worker, thereby exerting coercion.
Furthermore, it delineates the scope of the State's coercive power. Issues such as poverty and mass unemployment, which are viewed as social concerns rather than individual failings, necessitate state intervention to ensure workers' access to a decent standard of living. Hobhouse advocates for the inclusion ofsocial rights—such as education, healthcare, andunemployment benefits—as fundamental rights. He also advocates for redistributive policies financed through taxation on social surplus value.