The elections of 1935 and 1984, both of which were fundamental turning points. Say no to plagiarism. Get a tailor-made essay on "Why violent video games should not be banned"? Get the original essay The 1935 election of the first Labor (wildcat) government established a Keynesian social-democratic political regime that governed politics and subsequent policy development. Conversely, the election of the fourth Labor government (Lange) in 1984 overthrew the Keynesian political regime and implemented neoliberal policies from 1984 to 1990. Since then, governments have implemented neoliberal policies at a rapid pace. slower until today. So, what is a “political regime”? "It is a concept used by scholars of political studies to refer to governmental arrangements for resolving political problems" and, as such, it encompasses "authoritative actions (executive orders, statutes, rules), provisions institutional structures, alignments of interests and shared ideas. The political regime is important in determining whether it maintains high or low levels of unemployment and whether it increases or reduces socioeconomic inequality. The first (wildcat) Labor government constructed a Keynesian political regime from 1935 to 1948. In 1935, a serious crisis in the global capitalist economy caused deep recessions creating growing socio-economic inequalities. Neoclassical economics was not going to provide the solution, thought John Keynes: “Markets make good servants but bad masters.” The Keynesian revolution was born. It viewed the capitalist market economy as inherently unstable and prone to crises. The State therefore had a legitimate role to play in the redistribution of income in order to modify social inequalities. Unions and national governments from 1935 to 1984 operated within broad parameters of the Keynesian political regime offering different viewpoints on policy. Keynesian policies worked well, the economy was booming, and unemployment was virtually nonexistent from 1945 to 1973. Then the long postwar boom collapsed amid a global recession in the mid-1970s Inflation was high, unemployment was rising rapidly, and public debt was growing. Keynesianism no longer worked. The neoliberal policy regime was put in place to combat the global recession. The policy takes a monetarist approach by taking a narrow view of market failure and identifies the failure of government, reducing inflation and then maintaining it. Neoliberalism views the capitalist market economy as inherently self-adjusting. The fourth Labor government elected in 1984 implemented neoliberal policies. Tax reform was the most important policy change. In the 1990s, households paid the same amount of tax as a percentage of their income. The progressive taxation system no longer existed. Below is a summary of how governments from 1990 to 2008 approached neoliberalism. Keep in mind: this is just a sample. Get a personalized article from our expert writers now. relations reform Reducing social spendingThe fifth Labor government from 1999 to 2008Attempts at the third way. A combination of neoliberal economic management with a more interventionist approach The government's broad approach combines elements of Keynesianism and neoliberalism The Fifth National Government 2008 The worst financial crisis since the Great Depression; the government responded from 2009 to 2011 with stimulus measures.