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The Retreat of Liberal Democracy: Authoritarian Capitalism and the Accumulative State in Hungary

  • January 2020
DOI: 10.1007/978-3-030-48752-2
  • ISBN: 978-3-030-48751-5
Authors:
Gabor Scheiring at Università commerciale Luigi Bocconi
Gabor Scheiring
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Abstract

This book is the product of three years of empirical research, four years in politics, and a lifetime in a country experiencing three different regimes. Transcending disciplinary boundaries, it provides a fresh answer to a simple yet profound question: why has liberal democracy retreated? Scheiring argues that Hungary’s new hybrid authoritarian regime emerged as a political response to the tensions of globalisation. He demonstrates how Viktor Orbán’s Fidesz exploited the rising nationalism among the working-class casualties of deindustrialisation and the national bourgeoisie to consolidate illiberal hegemony. As the world faces a new wave of autocratisation, Hungary’s lessons become relevant across the globe, and this book represents a significant contribution to understanding challenges to democracy. This work will be useful to students and researchers across political sociology, political science, economy and social anthropology, as well democracy advocates.
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1st ed. 2020, XXVII, 367 p. 48 illus.
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Gábor Scheiring
The Retreat of Liberal
Democracy
Authoritarian Capitalism and the Accumulative State in Hungary
Series: Challenges to Democracy in the 21st Century
Describes how Hungary’s international economic integration led to an
internal socio-economic disintegration, the rise of working-class neo-
nationalism and the revolt of the national bourgeoisie
Offers a new conceptualisation regarding the political-economic nature and
stability of the post-2010 Hungarian regime
Presents the results of three years' of robust mixed-method empirical
research
This book is the product of three years of empirical research, four years in politics, and a
lifetime in a country experiencing three different regimes. Transcending disciplinary boundaries,
it provides a fresh answer to a simple yet profound question: why has liberal democracy
retreated? Scheiring argues that Hungary’s new hybrid authoritarian regime emerged as a
political response to the tensions of globalisation. He demonstrates how Viktor Orbán’s Fidesz
exploited the rising nationalism among the working-class casualties of deindustrialisation and
the national bourgeoisie to consolidate illiberal hegemony. As the world faces a new wave of
autocratisation, Hungary’s lessons become relevant across the globe, and this book represents
a significant contribution to understanding challenges to democracy. This work will be useful to
students and researchers across political sociology, political science, economics and social
anthropology, as well democracy advocates.
Part of
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‘Gabor Scheiring’s book is a gift to all of us trying to understand a key puzzle of the 21st-century
political-economy: how are regressive authoritarian regimes successfully constructed within formal
democratic facades? Conceptually bold, theoretically nuanced, built on firm empirical foundations,
the book is a model of how to research and theorize authoritarianism.’
Peter B. Evans, Professor
Emeritus, Department of Sociology, University of California, Berkeley
‘This book is a tour de force, illuminating the internal hypocrisies of Hungary’s post-2010 regime
and the external complicities that have sustained it for the last decade.’
Chris Hann, Director, Max
Planck Cambridge Centre for Ethics, Economy and Social Change, University of Cambridge
‘If Hungary is the avant-garde case of illiberalism in Europe, this book is the ultimate analysis of it.
The message: it’s not immigrants, it’s class! A model of the new cultural political economy.’
Don
Kalb, Professor of Social Anthropology, University of Bergen
‘This book will set the agenda for the study of right-wing populism, an essential reading for those
wishing to understand this phenomenon in Central Europe and indeed the world.’
Lawrence P.
King, Professor of Economics, University of Massachusetts Amherst
‘Scheiring rehabilitates the concept of class in the post-socialist context and develops his
fascinating analysis on three pillars – class, state, dependency – interpreted in a novel way.’
András Bozóki, Professor of Political Science, Central European University
... Many connect the rise of populism in Eastern Europe to 'the failure of liberalism to deliver' (cf. Krastev, 2016;Scheiring, 2020). Workers' physical and mental suffering in left-behind areas is a critical correlate of anti-liberal, populist attitudes (Koltai et al., 2020;Kavanagh et al., 2021). ...
... 39-40). Industrial employment also contributed to social integration, vibrant work-and neighbourhood communities (Kideckel, 2008;Scheiring, 2020). Thus, although industrial working-class culture was also associated with harmful behaviours, industrial plants contributed to health and well-being in many ways. ...
Deindustrialisation and the post-socialist mortality crisis
Article
Full-text available
An unprecedented mortality crisis struck Eastern Europe during the 1990s, causing around seven million excess deaths. We enter the debate about the causes of this crisis by performing the first quantitative analysis of the association between de-industrialisation and mortality in Eastern Europe. We develop a theoretical framework identifying deindustrialisation as a process of social disintegration rooted in the lived experience of shock therapy. We test this theory relying on a novel multi-level dataset, fitting survival and panel models covering 52 towns and 42,800 people in 1989-95 in Hungary and 514 towns in European Russia in 1991-99. The results show that deindustrialisation was directly associated with male mortality and indirectly mediated by hazardous drinking as a stress-coping strategy. The association is not a spurious result of a legacy of dysfunctional working-class health culture aggravated by low alcohol prices during the early years of the transition. Both countries experienced deindustrialisation, but social and economic policies have offset Hungary's more immense industrial employment loss. The results are relevant to health crises in other regions, including the deaths of despair plaguing the American Rust Belt. Policies addressing the underlying causes of stress and despair are vital to save lives during painful economic transformations.
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... Buna karşın, sağpopülist siyasetler ilginçtir, ulus-devlet temelli bir piyasa ekonomisi anlayışına ve serbest ticareti kontrolleri altına alan korumacı ekonomi politikalarına dayandırdıkları bu post-neoliberal popülist anlayışlarıyla neoliberal ekonomik düzenin çelişkilerine ve çözülmelerine yanıt olabildiklerini düşünmüşlerdir. Bu popülist yanıt çoğunlukla da adil olmayan rekabetçi bir düzeni benimsemiş ve neoliberal-küresel serbest ticaret düzenine zarar verme pahasına ulusal ekonomilerin belli katmanlarını güçlendirmeyi amaçlamıştır (Scheiring, 2020;Robotham, 2020). ...
... Yine Macaristan örneğinde Orban'ın Fidesz partisi, yeni anayasa hamlesiyle anayasa mahkemesi ve savcılık kurumu gibi pek çok alanda hukuki birtakım değişikliklere giderek hukuk devletinin dengeleyici ve denetleyici rolü ve işlevini ortadan kaldırmıştır. Böylelikle, siyasal çoğulculuk ve rekabet bütün kurumsal ve finansal önkoşullarıyla yok edilerek partinin kontrolünde güçlü-merkezi bir devlet yönetimi ortaya çıkmıştır (Scheiring, 2020). Ekonomik alanda bu tür sağ-eğilimli siyasetlerin post-neoliberal düzen inşalarında neoliberalizmin temel ilkelerinden kopularak daha fazla devlet müdahalesi ve düzenlemesine ve daha az piyasa-güdümlü bir ekonomi yönetimine doğru yönelim söz konusu olmuştur. ...
Post-Neoliberal Otoriter Rejimde Sınıf Dinamikleri ve AKP-TÜSİAD İlişkilerinde Yeni Gerilimler
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Full-text available
  • Dec 2022
zet Bu çalışma, Türkiye'de siyasal iktidar(lar) ve sermaye grupları arasında sıklıkla karşılaşılan gerginliklerin ve çatışmaların belirli bir dönemine odaklanır. Bu dönem, genel olarak 2013-sonrası olarak ifade edilse de daha çok içerisinde bulunduğumuz yakın dönemi ve tartışmalarını kapsar. Bu kapsamda, burada yapılan tartışmalar son dönemlerde AKP iktidarı ve TÜSİAD arasındaki ilişkilerde meydana gelen çatışmaların ve gerilimlerin üzerinde durur. Bu yapılırken, öncelikle siyasal, ekonomik ve ideolojik yönleriyle dünyada ve Türkiye'de sağ-eğilimli siyasetlerin kurmuş oldukları otoriter rejimlere işaret eder ve bu rejimlerde Türkiye örneğinden yola çıkarak oluşan yeni bir sınıf dinamiğinden bahseder. Neoliberal ekonomik düzene içkin birtakım çelişkilerin ortaya çıkardığı bu post-neoliberal dönemin sınıf dinamiklerine, sağ-popülist siyasetlerin otoriter bir rejim inşa ederek yanıt verdiklerini savunur. Post-neoliberal otoriter rejim olarak adlandırılan bu rejimlerin sınıf dinamiklerinde yeni gerilim ve çatışmaların temellerini attığını ileri sürer. Bu gerilim ve çatışmaların belli bir toplumsal sınıfın kendisinde barındırmış olduğu siyasal, ekonomik ve ideolojik tüm yönleriyle TÜSİAD-AKP ilişkilerine yansıdığını göstermeye çalışır. AKP'nin kurduğu post-neoliberal otoriter rejimin neoliberal ekonominin sorunlarına ve çelişkilerine sunduğu çözümlerin, ilişkilerde giderek gerilime ve çatışmaya neden olduğunu vurgular. Bu gerilimin temelde sınıfsal bir karakteri olduğuna işaret eder. Bunun siyasal, ideolojik ve ekonomik görünümleriyle AKP ve TÜSİAD'ın karşılıklı açıklamalarına yansıdığını belirtir. Bir süredir devam eden siyasal ve ideolojik açıklamalara yakın zamanda ekonomiyle ilgili açıklamaların da eklemlenmesiyle ortaya çıkan gerilimin tam anlamıyla güçlü bir sınıf karakteri taşıdığını iddia eder. AKP'nin post-neoliberal otoriter rejiminde ortaya çıkan gerilim(ler)in siyasal, ideolojik ve ekonomik bakımlardan TÜSİAD-AKP ilişkilerine sınıfsal karakterini verdiğini öne sürer. Bu sınıfsal karakterin başta siyasal ve ideolojik olmak üzere ekonomik temellerinin izini sürer. Post-neoliberal otoriterlik ve/veya otoriter rejim tartışmalarına dayanarak sınıf karakterinin bütün bu temellerini ortaya koymayı amaçlar. Bu amaçla, çalışma Türkiye'nin post-neoliberal rejiminde tüm bu
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... In this regard, I have my doubts, for the case of Hungary equally reveals a synthesis between Orbán's autocratic rule and the EU-a prime institution of neoliberal multilateralism, yet (via Orbán and others) equally subject to illiberal corrosion. As exemplified by German carmakers using Hungary as an export platform based on cheap labor and low taxes, Hungary is one of the cases where a continuing rollout of neoliberal economic policies parallels the political rollback of liberal democracy (Scheiring 2020), giving rise to what I have called neo-illiberalism (Hendrikse 2021a). Indeed, the decade-long cultivation and protection of Orbán within the center-right European People's Party (EPP) reflects "strategic interaction" (Cooper 2021: 12) between illiberal Orbán and the neoliberal EU, lubricated by an "ideological and organizational convergence between the far right and Content courtesy of Springer Nature, terms of use apply. ...
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... In Hungary, a few years after the post-socialist transition, an authoritarian political system emerged (Scheiring, 2020;Todosijević & Enyedi, 2008). The situation of the Hungarian rule of law has been a topic at the European Parliament for years: in its resolution adopted in May 2017, the EP stated that the situation in Hungary justifies the initiation of the procedure under Article 7, and it must be examined whether there is a clear risk of a violation of the EU's core values: i.e.: those of freedom, democracy, equality, rule of law, respect for human dignity and human rights. ...
The impact of social-relationship patterns on worsening mental health among the elderly during the COVID-19 pandemic: Evidence from Hungary
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Full-text available
  • Jan 2023
Evidence indicates the coronavirus pandemic has severely affected the oldest age group: in Hungary 92.7 per cent of those who died due to COVID-19 infection were 60 years of age or older. The age structure of the deceased was very similar in other countries. As, due to their underlying health status, elderly people are more vulnerable to the serious diseases caused by the coronavirus, strict government restrictions were introduced worldwide to protect them when the epidemic broke out. However, this social isolation can cause severe psychological and emotional strain. The study aim was to examine how patterns of social relationships were related to changes in mental health of the elderly during the COVID-19 pandemic in Hungary. We used the database of SHARE COVID-19 for our analysis. Descriptive and multivariate analyses were conducted. Findings of this study suggest that the network lacking contacts increases the severity of depression, anxiety, sleeping disorders, and loneliness the most among the elderly. Interestingly, the group with an intense close-knit network had a higher risk of worsening mental symptoms compared to multiple contact actives. Moreover, electronic communication - telephone, Skype - did not help either: there was a particularly high probability of worsening depression in this group. Another interesting result is that both in the group dominated by family contacts and among those with multiple relationships, the chances of worsening mental symptoms were lower, thus, personal contact - whether they include family members or other acquaintances - is truly protective. Results demonstrate that both the network characterised by lack of contact network and electronic contact activity contribute to greater risk of worsening mental health within elderly. A network pattern characterised by various types and forms of contacts is the most beneficial to mental health, and intensive contacts of limited scope alone are not sufficient to protect mental health.
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Rent Streams and Institutional Development in the (Semi-)periphery: Iran and Hungary
Chapter
  • Feb 2023
Institutional economics attributes outstanding importance to the quality of market institutions in enhancing the economic performance of countries. Among many factors the existence of rents also exercises an important impact. If rents are of significant magnitude like in the case of resource-rich countries they usually stimulate economic agents to concentrate on securing the future expropriation of the rent source. Instead of engaging in burdensome market competition it is easier to secure the rentier position and income be it scarcity, regulatory, or geopolitical rent. This fact entangles serious moral hazards, especially if the rentier position is granted by governments. The collusion of business and polity over the rent sources can thwart the development of the institutions of the competition state. In this paper we compare a classic rentier state Iran and Hungary, another emerging market economy from East-Central Europe, from the viewpoint of retrograde institutional development impacts of rents. The comparison proved the pervasive impact of rents, especially in the case of large-scale concentrated rent sources like Iranian oil reserves. The negative institutional impacts were more limited in Hungary, mainly because of the smaller scale of the rent sources and the still existing control institutions’ activity. Iran suffered from repeated growth collapses, but also Hungary seemed to be endangered by entering the middle-income trap.
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Populism and/or Developmentalism: Past and Present Experiences
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  • Feb 2023
Thirty years ago, the concept of “economic populism” was an original approach to understand the failed development trajectories of Latin America. At the heart of that research programme was the analytical description of the boom-and-bust cycles and the main elements of the adopted economic policy package that favoured income redistribution along with structural changes in the economy. Contemporary populism has become a worldwide phenomenon. By now, however, populist policies can hardly be judged as irresponsible; yet, certain distinct characteristics can still be identified. One field where populists have been rather active is developmentalism. Whereas scholarly work has been vigorously studying the demand side of populism, no such determined interest can be experienced with regard to the supply side, i.e., what populists actually do in power. The chapter addresses this challenge by comparing the most recent experiences of populists in power to the original elements of the populist developmental package.
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A Critique of Gellner’s Neo-Liberalism: Economy, Equality, Epistemology
Chapter
  • Oct 2022
This chapter locates Ernest Gellner in a liberal tradition that originates in the pre-industrial era and culminates philosophically in the ‘open society’ imaginary of Karl Popper, which was a formative influence. Following the collapse of the Soviet bloc, Gellner placed particular emphasis on the ideal of civil society. But the wellbeing of the masses in the twenty-first century is not served by neoliberal market economy or elitist intellectual agendas. Post-socialist experiences of privatization and social polarization confirm the illusory character of Gellner’s defence of liberal meritocracy. The ‘partial historicism’ he proposed in his belated critique of Popper is also found wanting.
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Conceptualising the conservative housing regime: the case of Hungary
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Compared to liberalism and social democracy, conservative ideology is presented in the literature to have had an ambiguous and much less significant influence on housing policy-making. The article argues that alongside measures facilitating the commodification of housing based in liberal ideology and those fostering the de-commodification of housing rooted in social democracy, the conservative idea of promoting little-commodified family property ownership as an antidote to proletarianisation brought about by capitalism and the guarantee of social stability has also underlain housing policy-making in various countries and eras. Based on works synthesising conservative political philosophy and the housing literature, characteristics of a conservative housing regime are defined. The construction, deconstruction and reconstruction of the Hungarian conservative housing regime over the past 120 years is then reviewed to trace mechanisms and conditions contributing to the enduring significance of the paradigm. The article concludes that strong conservative orientation of the country’s early housing policies, the forceful retrenchment of this housing paradigm during state socialism and the disillusionment with neoliberalism after the 2009 mortgage crisis are the main causes behind the (re-)construction of a markedly conservative housing regime in Hungary in the past decade.
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Race, racialisation, and the East of the European Union: an introduction
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Racial capitalism requires that the subaltern periphery, providing cheap labour and new markets, be placed behind an imagined racial barrier, so that the full protection of the liberal state is not extended to it. This has applied also to the ‘Eastern enlargement’ of the EU. The East has had to compete with a much richer and more powerful West. When, inevitably, the East was unable to ‘catch up’, its ‘failure’ was attributed to its alleged historical and cultural incompatibility with the West. Such racist discourse has penetrated global and European politics, economics, and media. It also affects people who move from the East to the West. Unfortunately, many Eastern Europeans project their own racialisation onto others. This dynamic is articulated from the equivocal position of Eastern Europe, between the core West and the Global South. It aims to affirm the threatened whiteness of people in the region by distancing them from the Global South. But also, it functions within Eastern Europe, with each country to the East imagined as more ‘Eastern European’ until one reaches the prototypical Eastern European nation, Russia. For racism against Eastern Europeans reflects, in the final analysis, the long-standing imperial rivalry between the West and Russia.
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