Socialism 101 (or, why our country is falling apart)

Socialism and capitalism are opposites. Socialism is an economic system in which

the government owns or directly controls the means of production. Socialism is based on force. Capitalism is an economic system in which the means of production are privately owned and operated. Capitalism is based on voluntary exchange. Some say that a blend of these two economic systems is the solution to the world’s problems. They call for a “mixed economy.”  But mixing opposites is a recipe for disaster. Socialism (force) and capitalism (voluntary exchange) are like oil and water, they do not mix.

Capitalism is the economic system that has created more prosperity for more people than any economic system ever tried in the history of mankind. Socialism, even when expertly administered has never created prosperity. If you mix Capitalism (voluntary exchange) with Socialism (force) you get a dysfunctional, special interest favoring, poor people exploiting, unethical "third way" hybrid called Crony-Capitalism.

Broadly speaking there are two main types of socialism. Marxist Socialism and National Socialism (and there are countless variations of each). Marxism is the form of socialism in which the government assumes ownership of the means of production, i.e. nationalization. This is the model that the Soviet Union (Union of Soviet Socialist Republics), Cuba, North Korea, and many other nations have embraced. Marx and Engels wrote about socialism as a stage between capitalism and communism but in my opinion communism is simply a political name for full-blown Marx-Style socialism.

National Socialism is the form of socialism in which the government assumes control of the means of production without formally taking ownership (think Post Office, Fannie Mae before it was nationalized, The Student Loan Industry, the Federal Reserve, General Motors, and ObamaCare). This is the type of socialism that was employed by Mussolini in Italy and by Hitler in Germany. Mussolini didn’t want to call his system socialism. He used the terms Corporatism and Fascism. Hitler’s party was the National Socialist German Workers’ Party or NAZI Party for short. Hitler also used the term Fascism to describe his version of socialism.

“We are socialists, we are enemies of today’s capitalistic economic system for the exploitation of the economically weak, with its unfair salaries, with its unseemly evaluation of a human being according to wealth and property instead of responsibility and performance, and we are all determined to destroy this system under all conditions.” —Adolf Hitler, [144] 1927 speech.

On paper socialism looks great. It looks like utopia. You simply put a benevolent philosopher king into power and let him and his chosen few centrally plan all things toward the “the greater good.” Unfortunately for socialists everywhere socialism does not work in the real world, just ask the North Koreans. The greater the percentage of the means of production that is controlled by the government the lower the level of prosperity the people enjoy (see Index of Economic Freedom).

Those who argue for a “mixed economy” (a third way) are arguing for an inherently unstable and corrupt economic system because capitalism and socialism are like oil and water. Capitalism is based on voluntary exchange. Socialism is based on force. Liberty and force don't mix.

Capitalism (voluntary exchange under rule of law) is not perfect but capitalism, even when poorly administered, is the economic system that has created more prosperity for more people than any system ever tried in the history of mankind. Socialism, (force) even when expertly administered had never created prosperity. Socialism, whether Marxist or National has done more harm to more people than any system ever tried in the history of the world. Our country is suffering, some say falling apart, because it is rapidly sliding down the slippery slope of socialism.

Mark VanSchuyver

Tell It like it is Mr. Government-Man!

Ever notice how government programs deliver exactly the opposite thing than that for which they a
re named? Consider these three examples, The "Affordable" Health Care Act, The "Patriot" Act,

and Social "Security."

The "Affordable Health Care Act" (aka ObamaCare) is providing anything but affordable health care. Most of those few who were able to get into the Affordable Health Care "Market Places," i.e. government run insurance distribution sites got big-time sticker shock.  The Affordable Health Care Act is projected to run up trillions in debt over the next few years, create incentives that encourage established doctors to fold up their tents and would-be doctors to go into banking or something else that smart people can make money at.  Shortages, shortfalls, and long waiting lines are projected by experts from all sides.  In short the Affordable Health Care Act is anything but affordable.

The Patriot Act resulted in a massive increase in governmental intrusion. The government has admitted reading every email that every American writes, listening to every phone call, watching everyone do everything with visible and hidden cameras, grabbing US citizens in the dead of night and renditioning them off to black interrogation sites, and much, much more.  The Patriot Act violates the individual liberty of US Citizens in countless ways.  The Patriot Act is anything but patriotic.

Social Security was intended to provide retirement insurance for folks who were not able to save enough money to fund their own retirement, a "safety-net." But the Social Security "trust fund" was raided by the government long ago.  This massive, centrally planned program is now trillions of dollars in the hole.  Social Security in its current form is doomed. Unless major reforms are made soon it will collapse under the weight of massive unfunded liabilities.  Social Security does anything but make society more secure.

Since government programs tend to deliver exactly the opposite thing than that for which they are named I say why not cut to the chase? Why not give them names that represent the thing that they will actually do?  For starters, I propose renaming these three major government programs.  Instead of the Affordable Health Care act, call it what it is the Unaffordable Health Care Act, Instead of Patriot Act, call it what it is, the Unpatriotic Act, instead of Social Security, call it what it is Social Insecurity!

Mark VanSchuyver