Further, here are notable historical examples that demonstrate how elites have benefited from the public's misunderstanding of liberalism and neoliberalism:

1. The Reagan Era (1980s): President Ronald Reagan used the rhetoric of freedom, a core liberal value, to justify neoliberal policies such as deregulation, tax cuts for the wealthy, and reductions in social welfare. These policies were framed as liberating the economy and individuals from government overreach, appealing to liberal ideals while advancing a neoliberal agenda that ultimately widened income inequality.

2. Clinton's Welfare Reform (1996): President Bill Clinton's welfare reform, officially the Personal Responsibility and Work Opportunity Reconciliation Act, was presented as a liberal effort to empower individuals through work. However, the reform, which included stricter work requirements and time-limited benefits, reflected neoliberal principles of reducing government assistance. This shift was masked by the language of personal responsibility, a concept resonating with liberal values.

3. Financial Deregulation in the 1990s: The Gramm-Leach-Bliley Act of 1999, signed by President Clinton, was another example where neoliberal policies were enacted under liberal rhetoric. The act, which repealed parts of the Glass-Steagall Act and allowed commercial and investment banks to merge, was justified as modernizing the financial industry. The language used suggested increased efficiency and growth, liberal ideals, while the policy favored financial elites and laid groundwork for the 2008 financial crisis.

4. Global Trade Agreements: Trade agreements like NAFTA, promoted by Democratic administrations, were presented as liberal efforts towards global cooperation and prosperity. However, these agreements often prioritized corporate interests and free trade (neoliberal principles) over labor rights and environmental concerns, which are more aligned with traditional liberalism.

5. The Affordable Care Act (ACA): The ACA, while a significant healthcare reform, also illustrates this dynamic. It was framed as a liberal policy expanding access to healthcare (a core liberal value). However, the ACA heavily relied on market mechanisms and private insurance companies, reflecting neoliberal ideologies. This blending obscured the lack of more progressive, liberal options like universal healthcare.

6. Response to the Financial Crisis (2008): The bailout of banks and financial institutions after the 2008 financial crisis used liberal rhetoric of saving jobs and stabilizing the economy. However, these actions were essentially neoliberal, prioritizing the rescue of financial elites and institutions over direct assistance to affected individuals and communities.

These examples highlight the nuanced and often obscured ways in which the language and principles of liberalism have been used to facilitate and justify neoliberal policies, serving the interests of political and economic elites while often contradicting the more egalitarian and social welfare-oriented aspects of traditional liberalism.

The Democratic Party's specific relationship with liberalism and neoliberalism has evolved significantly over time, especially in the context of globalization.

1. Post-World War II to 1960s: Initially, Democrats were closely aligned with New Deal liberalism, advocating for government intervention in the economy and social welfare. This period saw the expansion of social programs and a regulatory state, consistent with liberal values of equality and government responsibility for social welfare.

2. 1970s and 1980s: During this period, the Democratic Party began shifting towards neoliberalism, influenced by global economic changes and the rise of conservative ideas. This shift was not abrupt but marked by gradual adoption of more market-friendly policies, reflecting a reorientation from traditional liberalism.

3. Clinton Administration (1990s): Under President Bill Clinton, the Democratic Party embraced neoliberal policies more openly. This was evident in the promotion of free trade agreements like NAFTA, welfare reform, and financial deregulation. These policies, while positioned as modernizing liberalism, actually reflected a significant move towards neoliberal principles, emphasizing market solutions and reduced government intervention.

4. Early 21st Century: The party faced internal divisions between those favoring traditional liberal policies (like expanding social programs) and those advocating neoliberal approaches (focusing on market-based solutions). The Obama administration, for instance, navigated these divisions, particularly in healthcare reform and responses to the financial crisis.

5. Response to Globalization: Democrats have consistently supported globalization, but the party's stance has been a mix of liberal and neoliberal approaches. While advocating for international trade and global economic integration (a neoliberal stance), many Democrats have also pushed for labor standards, environmental protections, and human rights (aligning more with traditional liberalism).

6. Recent Trends: In recent years, there's been a resurgence of progressive liberalism within the party, challenging the neoliberal consensus. This is evident in the growing popularity of figures like Bernie Sanders and Elizabeth Warren, who advocate for stronger government intervention in the economy, more robust social welfare programs, and a critical stance on unregulated globalization.

The Democratic Party's relationship with liberalism and neoliberalism is complex and has evolved in response to changing economic, social, and political contexts. This evolution reflects the party's attempts to balance traditional liberal values with the realities of a globalized economy, often resulting in policies that blend elements of both ideologies.

Economic and political elites have derived several benefits from the public's misunderstanding of the shift from liberalism to neoliberalism:

1. Legitimizing Economic Policies: Neoliberal policies such as deregulation, privatization, and austerity measures have often been presented under the banner of liberalism's socially egalitarian principles. This has been a strategy to gain public acceptance or mitigate resistance, as these policies are portrayed as necessary for progress and equality, even when they may lead to increased inequality and reduced social welfare.

2. Consolidation of Power and Wealth: By framing neoliberal reforms as liberal, elites have been able to pursue agendas that consolidate their wealth and power. For example, tax cuts for the wealthy and deregulation of industries have often been justified as promoting growth and benefiting everyone, despite primarily advantaging the upper economic echelons.

3. Reducing Public Scrutiny: The complexity and often technical nature of neoliberal policies can be obscured by liberal rhetoric. This rhetoric emphasizes rights, freedoms, and equality, diverting attention from the specifics of policy changes that might be more contentious or unpopular.

4. Shifting Blame for Negative Outcomes: When neoliberal policies result in negative outcomes like increased inequality or economic instability, political and economic elites can deflect criticism by pointing to external factors or the purported inevitability of market dynamics, rather than acknowledging the role of their policies.

5. Manipulating Public Opinion: The ambiguity and overlap in the use of terms like "liberal" and "neoliberal" allow elites to manipulate public opinion. They can align themselves with popular liberal values when convenient and then pivot to neoliberal policies without clear public understanding or accountability.

6. Undermining Progressive Movements: By co-opting the language of liberalism, elites can undermine progressive movements that seek to address the inequalities exacerbated by neoliberal policies. This is done by presenting these movements as radical or unrealistic, while positioning neoliberalism as a moderate and pragmatic continuation of liberal values.

The use of socially egalitarian principles of liberalism to mask the harsher economic realities of neoliberalism is a complex and multifaceted strategy. It involves rhetoric, policy framing, and the manipulation of public discourse to maintain a status quo that benefits the elite at the expense of broader social and economic equality.