Socialism Now, Socialism Tomorrow, Socialism Forever — The Ruin Of NationsInvestor's Business DailyURL: https://www.investors.com/politics/comm ... n-nations/Category: Politics
Published: September 7, 2018
Description: Socialism in America got yet another boost last week when Florida Democrats chose "progressive" Tallahassee Mayor Andrew Gillum to be their candidate in the fall gubernatorial election. Gillum's primary win comes a little more than three months after The Nation gleefully declared that "Socialism Is on a Winning Streak." "Four candidates backed by Democratic Socialists of America won Pennsylvania primaries Tuesday, and come November they could all be legislators," The Nation said on May 18, two days after socialist Alexandria Ocasio-Cortez also won a New York City congressional Democratic primary. The socialist momentum continued last month when U.S. Sen. Elizabeth Warren, D-Mass., unloaded a bill called the Accountable Capitalism Act. It would place the boot of government squarely on the economy's throat, should it become law. Given socialism's upswing, shouldn't Warren, socialist U.S. Sen. Bernie Sanders of Vermont, Ocasio-Cortez, Gillum, and others come clean and adopt the motto "Socialism Now, Socialism Tomorrow, Socialism Forever"? After all, socialists have taken over the Democratic Party.

Yet Sanders, who has endorsed Gillum for governor, and fellow travelers tend to qualify their socialist agenda. They insist it's "democratic socialism" rather than "socialism." Publicly, they say they merely yearn for the "democratic socialism" found in Scandinavian countries. But what's found in Sweden, Norway, and Denmark is not socialism or even democratic socialism. Those nations are more accurately defined as welfare states subsidized by market economies. They need capitalism to survive, and to fund their welfare programs. Even more so, they need the power of America's capitalist engine to keep their economies moving forward. This isn't to say these nations haven't dabbled in socialism or taken their welfare states too far. They did. And it was a hard lesson that was learned. Before it built its big-government framework, Sweden "got rich first with free trade and an open economy," says Swedish economist Johan Norberg. "In the 1950s, Sweden was already one of the world's richest countries, and back then, taxes were lower in Sweden than in the United States," he says. Only later "did we start expanding the government dramatically." In 1970, Sweden was the fourth-richest country in the world. By 1995, it had fallen to 14th. During this period, no new jobs were created in the private sector. Its error acknowledged, the country quietly and gradually walked away from much of its welfare state agenda. It did so by deregulating, freeing trade, cutting taxes, partially privatizing the nation's pension system, and issuing school vouchers. "Since then," says Norberg, "Sweden has become successful again." So what about Denmark, another nation Sanders has held as the model the U.S. should follow? Turns out he was wrong there, too. Three years ago, Denmark Prime Minister Lars Lokke Rasmussen scolded those in the U.S. who would "associate the Nordic model with some sort of socialism." "Denmark is far from a socialist planned economy. Denmark is a market economy," he said while speaking at Harvard's Kennedy School of Government. While "the Nordic model is an expanded welfare state which provides a high level of security to its citizens," Rasmussen said, it is also "a successful market economy with much freedom to pursue your dreams and live your life as you wish." Does Sanders want a Danish-style market economy or a centrally planned economy? Does he want Americans to have the freedom to pursue their dreams and live as they wish? No, Denmark isn't what Sanders is looking for either. He wants the economy to be planned and controlled by a central power. Socialism, democratic or otherwise, is what is/was found in the Soviet Union (where Sanders honeymooned), Cuba, East Germany, North Korea, and Nicaragua. Those regimes have been the most brutal, impoverishing, bleak, and inhumane in history. Obviously, Democratic Socialists in America don't want to be publicly associated with these tyrannies. Embracing them would hurt their cause. But those aren't the only nations that have been ruined by a "for the people" socialism. Consider the devastation that system has left on the following nations:
Venezuela: Hugo Chavez, friend and imitator of Fidel Castro, was praised by U.S. elitists for seizing the nation's oil to eliminate poverty and provide free health care and education for the people. What he did was murder a nation. Chavez died in 2013, leaving the country in the hand of Nicolas Maduro, who made things worse. There have been food and drug shortages. And staples of the modern world, such as toilet paper and toothpaste, have become as scarce as precious jewels. The economy is a shambles, store shelves are empty, and "its citizens impoverished, malnourished, sick and desperate," says economist Mark Perry. This disaster occurred in a country with the most proved oil reserves on this petroleum-thirsty planet. Conditions have become so rotten that the U.N. estimates that since 2014, 2.3 million Venezuelans — roughly 7% of the population — have fled the workers' paradise. Another 800,000 to 1 million might leave by the end of the year. It's not that they don't want to live under socialism. It's that they can't. Only those in control of the government live well in socialist regimes.
Greece: This country remains in the midst of a true, not theatrical, Greek tragedy. The people have made bank runs, and hoarded food, money and medicine. Overwhelming debt nearly swallowed a government that needed three international bailouts to avoid default. Investment, innovation and entrepreneurship have been stymied by policies enacted by the Panhellenic Socialist Movement (Pasok), which was "founded in 1974 as a radical Marxist-inspired party" and played a large role in the crisis. "Greece is socialism on steroids," economist and IBD contributor Stephen Moore wrote in the Washington Times. It's "a place where the government gives a lot of things away for free, few people work, and millions receive government pensions, paychecks or welfare benefits." As of three years ago, half of the young were unemployed. Meanwhile, more than half of the country seemed to have no choice but to retire before 60. After all, where were the retirees going to work? "The classic weaknesses of socialism are playing out in as clear a way as you can possibly see them in Greece right now," Jake Novak wrote in a 2015 CNBC commentary. And it's still playing out today. A member of Parliament told The Guardian in July that "economically speaking we are still sputtering and there is still a lot to be done. Our creditors are not going away." A few months earlier, Marxist economist Costas Lapavitsas said that "there is no evidence at all that the country has 'turned the corner.' Practically all the macroeconomic data show an economy lodged in stagnation."
Socialism: The Pain In Spain
Spain: The Atlantic reported in 2013 that in just "a few years, Spain had gone from budget surpluses, a growing middle class, and generous social supports to wrenching austerity policies and collapsing wages, triggered by the massive failure of Spanish banks." At that time, "Spain's decades-long economic model was coming undone." Spain had been a "modern, wealthy, technologically advanced European social democracy." But then, wrote Steven Hill in The Atlantic, "the Socialists launched the largest stimulus package in the European Union, as a share of the economy. But despite this intervention, the Spanish economy was still stagnant by 2010 and the deficits were staggering." The national debt doubled "practically overnight." Banks and governments failed, taxes were raised, unemployment reached Depression-era levels, and the economy became a wreck. Spain, says Moore, is just another one of those countries that "experimented with quasi-socialist governments" and has had to pay "the bitter price" for indulging in the exercise.

Don't think that the American Democratic Party's attachment to socialism is only at the extreme fringe. A recent Gallup Poll found that 57% of Democrats and Democrat-leaning independents hold a positive view of socialism, while just 47% favorably view capitalism. It seems impossible that America could ever become one of the countries that has been ruined by socialism. But these numbers don't inspire confidence.