In Latin America, liberalism is associated with the idea of free market, small government and less taxes. On the other side, I continuosly see in United States democratic party politicians being called liberals, for supporting increasing government care in social issues, several times proposing creation of taxes or increase of them to do so. Is this a valid interpretation of liberalism, or in United States are using a distorted version of the term, and these ideas are instead progressivism or socialism?
Does liberalism support the idea of small government, or it's just an interpretation of it?