A compelling essay by Murray Rothbard on the history and ideology of the ‘Left & Right.’ It provides in interesting detail how Conservatism is to be regarded with the ‘Old Regime’ of kings and courts, not liberty. Perhaps most notable is the idea that Socialism is ’ a middle-of-the road because it tries to achieve Liberal ends by the use of Conservative means.’ (ie The State)
Rothbard’s critique of both left and right is great, although it seems to me he should have been a little harsher with the left =]
As to the idea that modern liberals/lefties are confused, well, Herbert Spencer made exactly that same point in The Man vs. The State.
http://www.econlib.org/library/LFBooks/Spencer/spnMvS1.html#The%20New%20Toryism