Imagining a world exactly like the current one, considering the US only (because that’s all I know), using US definitions of Liberal and Conservative, and exacting the change by just taking the existing people and changing their political leanings without removing the people or losing their knowledge and skill, what would happen? What would each society lose?
Libertopia:
There would be a rapid shutdown of coal mining, and much oil drilling, including fracking, accompanied by an aggressive shift towards fuel-efficient (at first) and eventually electric cars. After some infighting, construction of nuclear power plants would be fasttracked, alongside other greener energy sources. Economic regulations would be enacted and enforced. The effect of this would be a temporary dip in the economy, along with the shutdown of certain industries, but business would adapt to the new regulatory environment and find ways to stay profitable within the new boundaries.
Immigrants would be allowed to come in and work on work visas, much as they do now, and they would overstay them, as they do now. Border security would remain much the same as it has been for decades.
The tax burden would be shifted as much as possible to weigh on large businesses and people who have surplus wealth, proportionate to their wealth. The rich wouldn’t like it, but (pretending for a moment they have nowhere else to go), they would stick around and still be much more wealthy than everyone else. The poor would be subsidized into adequate housing (possibly government provided) with adequate food and free education. Most people would also seek gainful employment to be able to afford perks, better housing, food, and so on.
Medical would be paid by the government, with a small industry serving the wealthy and frivolous for cash. There would be no such thing as medical insurance, beyond the free government coverage.
All these government outlays will cost money - besides the tax increase, the military budget would also be greatly, greatly reduced to save cash. The military-industrial complex would shrink quite a lot, but adapt just fine, since if you can make a tank you can make a truck.
Very few people would own guns, and nobody would carry them.
Racism and bigotry will vanish. Ha ha, just kidding - but at least expressions of them would no longer be accepted by society. Even online! Religions will still exist but will have relatively little government influence and gasp will actually pay taxes. This won’t make them go away, of course.
All in all - the economy might be slowed somewhat, and it will probably take a while to fine-tune the balance of the various programs the government is funding. But things should truck on with no significant difficulty indefinitely.
Now, Conservatopia. I will try to be fair here, but it will be difficult.
Businesses will be completely deregulated, and the environment will be consumed and despoiled with reckless abandon. Within fifty years all costal cities are destroyed and agriculture becomes largely untenable. The end. Also, net neutrality is abolished, monopolies form, and business start treating people as consumable assets. Slightly more than they already do, I mean. The wealth disparity explodes. Slighty more. Okay, nothing changes too much or in any surprising way on the business front.
Immigrants and people with dark skin or strong tans will be forcibly deported. This will quickly extend to ones that have had family in the country for generations. This will create a void in the job market, where workers willing to do the dirty work before will not be present in sufficient supply. This will be compounded by:
Taxes would be cut on businesses and the wealthy, with the bulk of the tax burden pushed to the poor and lower class. Sucks to be them, especially since:
The government would get entirely out the health care game. Medicare and Medicaid would vanish; people would have to rely on unregulated private insurance to help pay the bills set by the unregulated medical community. The poor and lower class will get no medical care at all and die in droves. The middle and upper class will get insufficient medical care, be bankrupted by it, and (briefly) become the underclass. The rich, as in all other things, will do fine.
The sharp decrease in tax revenue - dead poor people don’t have a lot of money to squeeze out of them - would result in cuts being made. Road and infrastructure maintenance would suffer. However business subsidies (life for farms) and military pork spending would be maintained as long as a single penny is left to share. The police would also be as well-armed and funded as possible, but prisons will be privately owned hellholes which spend the minimum on the incarcerated and none on rehab. The death penalty will be legal but rarely carried out because more living bodies means more money.
Nearly everybody will be armed. Aside from the fact there are no flower-weilding hippies anymore, I wouldn’t expect this increase in gun owners to change much. Lots of suicides, yes, lots of gun crime, yes - but not too much more than America sees in reality. There will also be no appreciable reduction in crime due to these guns, though criminal types will be a bit more inclined to shoot preemptively and thus gun fatalities may go up a bit.
Racism and bigotry will be rampant and unchecked. Minorities will tend to band together for strength. Women will find themselves getting the short end of the stick regarding wages, harassment, job options, rapes… so little change there. Christianity will become the state religion and strongly influence law. Practice of other religion will be illegal, though it will still occur underground somewhat. Atheists will keep their heads down. Abortion will be illegal but still occur in back alleys. Contraception will be illegal but people will still have sex, and thus more back alleys. Divorce will be TOTALLY legal (there are limits).
All in all, the economy will probably do okay, as long as the middle class can still afford to buy things, but the government may find itself unable to afford basic services like police and farm subsidies. Intergroup violence will result in many fatalities. But it will all become moot within a generation or three as the damage to the environment wipes out the cornstarch fields and the coastal cities flood.