Marx was a great analyst and I respect his work. Like you say about Keynes nobody gets everything right. As for the historical record I look at a book like Cows, Pigs, Wars and Witches and think that the rules do apply. Its a use of historical materialism that I think Marx would have approved of.
As to the Neolibs I think they are Concord Republics who saw their party being hijacked by a bunch of religious nuts and switched to be Dems. Big tent and all, we need every vote we can get. I would like to see the party leadership, platform, and policies implemented be more center, center left. Bill Clinton was a Dixiecrat, Obama was in the center but surrounded himself with Neolibs. I dont know what Hillary would have done. I would love to see this be a battle between Eisenhower Concord Republicans and progressive Democrats. I wouldnt feel so bad losing elections like I do to this evil bunch of assholes. We would also be able to project a more progressive agenda.
As to the Welfare State, and I include Britain in this, I dont like the results. A great deal of it has to with racism, sexism, and the abhorrent belief that the poor are somehow worth less as human beings, it does seem to be a trap. The work force participation rate is at an all time low, and social mobility, the poor being trapped and not able to move up, is nonexistent. I maybe just complaining about the implementation, I really do want to see what happens in Finland when people are given a living wage and can actually work to build a future. Maybe the problem is its not enough. Im old fashioned, I still have that old Puritan idea that work provides dignity. I would like to see day care, training, and jobs that will lure people into the market. 8 bucks an hour and shitty benefits isnt getting anyone off the couch.
The unemployment rate during the Clinton years was right where it should have been. It meant McDonalds in Omaha had to pay 14 an hour and healthcare. We see this today here in Minnesota. The minimum wage is going up but almost all pay is above it. A labor shortage is a great thing. I got a $3.5 million grant to build a library for a small college during those years. George the second took all of the Title V money meant for colleges with 25% Hispanic populations and gave it to big institutions. Got to go, Ill try to continue later.