I know that some people in the US associate the Nordic model with some sort of socialism. Therefore I would like to make one thing clear. Denmark is far from a socialist planned economy. Denmark is a market economy.” -Denmark Prime Minister Lars Løkke Rasmussen
Social Democracy is an ideology that advocates for economic and social policies that advance social justice within a market economy. Scandinavian nations are occasionally labeled democratic socialist, for example, PZ Myers wrote, "How about if the comparison is between, say, a ragingly capitalist country like the USA, and a socialist democracy like Sweden?"  Still Scandinavians are more often called social democrats. There are not universally agreed definitions of socialism or social democracy.
Social Democrat Countries
There are many successful Social Democratic countries, and their existence undermines the views of Conservatives who oppose social democracy. Sweden is a Social Democratic country which has universal health care, free college, and various other social programs. However, these social programs and benefits are funded by high taxes generated by wealth in a market economy. 
Democratic socialism can mean Social democracy as in Sweden, Denmark and other Scandinavian countries and that works, Denmark is the happiest country in the world while Sweden, Norway and Finland are among the happiest. Democratic socialism can also mean Command economies which don’t work.
Relationship with liberalism
Social democrats and Democratic Socialists have a good relationship with liberals, and share the same international association the Socialist International and the party of European Socialists . The Democratic Socialists of America and The Swedish Social Democratic party support Democratic Socialists working with liberals. Liberals and Democratic Socialists need to work together with social democrats and create a progressive coalition to defeat neo liberalism, conservatism and fascism and right wing democrats like the American Republican Party. However, Social democrats are repeatedly frustrated by centrist liberals who oppose progressive reforms like making higher education free and health care universal
There is no clear, agreed definition of Socialism and the extreme right in the USA describes a great deal including Obama's policies as socialist. Keynesian economics which aims to manage a Capitalist economy is also sometimes called socialist. Scandinavian nations are sometimes called liberal, sometimes called socialist but most often they're called social democrat.
- Market Capitalism
- Centrism Josef Stalin
- Laissez-faire economics
- Far Right