The Attack on Sovereignty: Liberalism and Democracy in Hayek, Foucault, and Lefort

AuthorAnnabel Herzog
Date01 August 2021
DOI10.1177/0090591720958124
Published date01 August 2021
Subject MatterArticles
https://doi.org/10.1177/0090591720958124
Political Theory
2021, Vol. 49(4) 662 –685
© The Author(s) 2020
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DOI: 10.1177/0090591720958124
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Article
The Attack on
Sovereignty: Liberalism
and Democracy in Hayek,
Foucault, and Lefort
Annabel Herzog1
Abstract
This essay examines and challenges some of the theoretical arguments of
the neoliberal attack on the concept of popular sovereignty. I argue that
in order to resist both the neoliberal reaction against popular power and
the subsequent resurgence of populist rhetoric, we need to rework the
concept of popular sovereignty. I focus on three groups of texts written in
the early years of the neoliberal shift—namely, from the mid-1970s to early
1980s—which deal with the question of sovereignty: Hayek’s Law, Legislation
and Liberty; Foucault’s works of the late 1970s; and Lefort’s reflections on
the symbolic dimension of power. While Hayek and Foucault defend similar
views on sovereignty and argue that it is or should be replaced by technics of
management, Lefort proposes a de-essentialized conception of democracy
based on redefining sovereignty as the possibility of continually refiguring
the space of power.
Keywords
sovereignty, neoliberalism, Hayek, Foucault, Lefort, democracy
Introduction
The popular discontent that has been expressed of late in many countries, and
that has been exploited and exacerbated by populist leaders, tends to be
1University of Haifa, Haifa, Israel
Corresponding Author:
Annabel Herzog, School of Political Science, University of Haifa, Mount Carmel, Haifa 31905,
Israel.
Email: aherzog@poli.haifa.ac.il
958124PTXXXX10.1177/0090591720958124Political TheoryHerzog
research-article2020
Herzog 663
explained in either cultural or economic terms. In the latter case, inquiries
emphasize the frustration and humiliation caused by the economic reforms of
the last fifty years, which have resulted in the shuttering of local businesses,
financial crises, etc. The present essay shares common ground with such
analyses, but rather than focusing on the economic effects of neoliberalism, I
concentrate on its political consequences. My assumption is that neoliberal-
ism has affected the framework of liberal democracies by weakening and
dislocating popular sovereignty or, more properly, its expression in participa-
tion and deliberation, thereby provoking anger and mistrust toward elites and
institutions. The purpose of this essay is not to describe these empirical pro-
cesses, which are taken as given, but to examine and challenge some of the
theoretical arguments for the neoliberal attack on the concept of popular sov-
ereignty. I argue that in light of this attack, and the consequent resurgence of
populist rhetoric, liberal democracies must rethink the meaning of popular
sovereignty.
Recent discussions of neoliberalism highlight the ways it differs from
classical liberalism as well as from libertarianism. These discussions show
that neoliberalism is not merely a theory of deregulation, free trade, and glo-
balization.1 Rather, it holds at its core a coherent understanding of the role of
the state with regard not only to markets but also to other aspects of collective
existence.2 Far from advocating a reduced role for political power, it reformu-
lates the functions of power, with the first of these functions being to allow
for the perpetual expansion of economic competition.3 As such, the goal of
the neoliberal state is to ensure that competition is enhanced at every level of
the market—an objective that requires intervention in all areas that make
economic processes possible.4 The fact that the neoliberal state is not itself an
economic player does not mean, therefore, that it is minimal or weak, or that
the economic and political spheres are disconnected.5 Rather, “all the while,
the state actually facilitates and makes possible the new order.”6 Moreover,
since “economic freedom and civil liberties [can] flourish in conditions in
which political freedom [is] absent,”7 neoliberalism accommodates different
modes of political interventions.8 As a result, it is not a kind of regime but a
“series of ideas about socio-economic order”9 that modify but also work in
tandem with different regimes.
The question that I raise in this context refers to how we imagine and con-
ceptualize democratic power. More precisely, what happens to the concept of
popular sovereignty in theories of neoliberal democracy? To address this
question, I turn to three groups of texts written in the first years of the neolib-
eral shift—namely, from the mid-1970s to early 1980s—that deal with the
question of sovereignty. The first group consists of Friedrich Hayek’s book
Law, Legislation and Liberty, originally published in three volumes between

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