Sam:
I was actually going to comment yesterday, but I decided that “Well, at least they can’t say that only liberals are starry-eyed idealists.” wouldn’t do much to further the discussion. 
Having had more time to digest your lengthy essay, I have two comments/questions.
First, I am somewhat baffled on several levels by “Government Destroys the Social Fabric of Society.” I realize that you do not endorse the line of thought, but, well, I’m not at all sure you’ve captured an argument that anyone does endorse, and I think the argument as you’ve presented it flat out sucks. It seems to me that most of social conservatives (in North America, anyways) come at the question from a religious angle to begin with, and not from the conservative ideology as you suggest. It’s more of the sort of “This country was founded on Christian principles, and our society is going to hell in a handbasket because we’ve lost God” line that we hear from the Religious Right. Look, for example, at the 'Bama 10 Commandments hubbub.
The “government destroys the family” line is practically laughable. I don’t necessarily disagree that the changes to family structure you point to have been deleterious to some extent (some have, some haven’t, on balance the shift may well be negative - but that’s another debate), but how could anyone say with a straight face that the government has had anything to do with it?? As you point out yourself, the shift from agrarian to urban society plays a huge role. So does the decrease in family size, the increase in mobility and specialization (little Johnny becomes an aerospace engineer, moves off the farm in Nebraska to California, and just isn’t geographically situated to provide assistance for his arthritic mother), and a host of other things. (Such as the very recent phenomena of requiring a couple years of extremely expensive medical care near the end of one’s life.) Suggesting that the existence of social security and public education play any significant role in the reshaping of family structure is just ludicrous. Well, perhaps public education insofar as it has increased the overall level of education, and that correlates with a drop in birthrate/family size, but jeez, even that’s a stretch. In short, I’d say that government has had sweet fuck all to do with most of the major societal shifts we’ve seen over the past century (perhaps excluding the civil rights movement), and that anyone who thinks it does needs a solid dose of reality splashed in their face. Anyways, I get the impression that social conservatives want the government to intervene to prevent the relentless decay of society before the onset of secular humanism/hollywood debauchery/pot-smoking hippies. That is, they see the degradation of society as being driven by forces outside of government, and they see government action as being the solution - precisely the opposite of the structure you lay out.
Now, there may be some idealistic conservatives who hold the view as you describe it, I concede, but if they exist, they are few in number, and are not the people anyone thinks of when social conservatism is mentioned.
My second major comment is on the economic front, and I think I’ll approach it rather abstractly. A former classmate of mine is a staunch libertarian, and if I may be allowed to oversimplify things a bit, his rationale seemed to be something like this:
- Coercion is bad.
- All government action is coercion.
- Therefore, government action should be minimized.
Having some passing familiarity with the ideological movement as a whole, I think this is a perfectly fair, if very simple, characterization. And, indeed, it’s one which I can almost endorse. There’s just one problem - namely, what counts as coercion. For my friend, only physical coercion counted. For myself, I cannot see the difference between “Fork over the protection money or Tony here will play baseball with your kneecaps” and “If you don’t work this unpaid overtime shift you’ll be fired” (leaving unsaid that we both know that in this economy you won’t find another job quickly and you won’t be able to afford to feed your two kids). I cannot see how economic coercion is not every bit as coercive as physical coercion is. They work by precisely the same mechanism - force people to do what you want by making the alternative to doing so utterly unacceptable. Admittedly, economic coercion is much more fuzzy than physical - no one thinks that boycotting a company engaged in activities repugnant to you is a bad thing to do, for example, and there’s no sharp line between that and my previous example. Physical coercion is much more sharply delineated - either I am threatening physical harm or I am not. Nonetheless, I maintain that some levels of economic coercion are every bit as despicable as threatening to smash kneecaps is.
While you gush on about the wonders of free markets, their glorious efficiency and perfect fairness, you overlook something else about them. As I pointed out above, in any negotiation, the party who enters with greater resources will, other things being equal, have greater bargaining power, and as a result of this simple fact, in the long run markets completely unregulated will inevitably result in wealth being highly concentrated. And this, I maintain, will result in unacceptable levels of economic coercion. Now if everyone started with a blank slate, we might not be too concerned about this - “Your dire poverty is the result of your own laziness, and you’re just reaping the rewards of your past actions.” However, we don’t start with blank slates. We enter the economy with vast disparities of available resources resulting far more from the lottery of birth than our merit in grade school. Everyone will concede, I trust, that even a bright and hard-working kid born into abject poverty is at disadvantage in the marketplace. Championing the justice of the free market in this regard doesn’t make you an advocate of personal responsibility - it makes you an advocate of punishing the child for the sin of the fathers, unto the third and fourth generation.
For these reasons, I endorse some forms of wealth redistribution, most notably graduated taxation schemes. They compensate for the built-in advantage free markets give to the already wealthy, and they make merit-based upward mobility far more possible than would flatter alternatives. Perfect they may not be, but their absence would be worse.
Finally, Sam, I would like to see a cite that demonstrates that Canadians are paying for our broader safety nets with a lower standard of living. GDP/capita-wise we may have slid relative to the US, I’m not sure (a cite would still be good), but this says relatively little about overall standard of living in absence of distribution information. If Americans make 1000/year more than we do on average, but Bill Gates alone accounts for 900 of that, for example, it doesn’t mean much. (I realize he’s not quite that rich, it’s just an illustration.) Has our median fallen relative to theirs since the onset of our minor bits of socialism? Does this take into account differing crime rates, which have no small entanglement with wealth distribution patterns? Do you have any evidence that this purported slide is the result of taxation levels, as opposed to, say, the fact that our economy is based far more on natural resources than theirs is, or increased levels of US protectionism? Do you even have any evidence that the overall tax burden on the US is lower than it is in Canada if you factor medical expenses into the equation? It just seems to me that even if we are suffering compared to the US, there are a myriad of possible reasons, and the only cause to jump to your particular conclusion is ideological.
All in all, though, a very nice presentation, even though I don’t agree with nearly all of it.