The White House Council of Economic Advisers released a blunt report warning of the opportunity costs of socialist forms of government just two weeks before the 2018 midterm elections.
At almost 55-pages, the report begins, “Coincident with the 200th anniversary of Karl Marx’s birth, socialism is making a comeback in American political discourse. Detailed policy proposals from self-declared socialists are gaining support in Congress and among much of the electorate.”
Economists generally agree on what socialism is and that’s how the report deals with it. The free market is characterized as exploitation of the worker and the solution is extensive state control.
“The proposed solutions include single-payer systems, high tax rates (“from each according to his ability”), and public policies that hand out much of the Nation’s goods and services “free” of charge (“to each according to his needs”). Where they differ is that contemporary democratic socialists denounce state brutality and would allow individuals to privately own the means of production in many industries,” they write.
“In assessing the effects of socialist policies, it is important to recognize that they provide little material incentive for production and innovation and, by distributing goods and services for “free,” prevent prices from revealing economically important information about costs and consumer needs and wants,” it continues.
IT’S WORSE THAN THEY REPORT
We take exception to the idea that American democratic socialists denounce state brutality. These DSA members have a harsher agenda than the Communist Party USA and they are harassing, intimidating, lying about, threatening punishments, and silencing their opponents. When will Bernie Sanders or Alexandria Ocasio-Cortez denounce the abuse of their opponents – they won’t. They will simply pretend Republicans are just as violent.
Other than that, we agree with the report. Read it and see for yourselves. The report doesn’t see Venezuela in our future. They base that on what the Socialists are currently demanding, but the problem is they will demand more.
The one thing about Democratic Socialists, Socialists, Communists, statists in general, is that they all end up in the same place — Venezuela. It’s just a matter of how long it takes.
This report also doesn’t address socialism in terms of the cultural changes that have allowed communist ideals to become part of the everyday lexicon, including terms like wealth redistribution, universal income, political correctness, social contract, collectivism, social control and integration, critical theory, mulitculturalism, economic-climate-whatever justice, disparate impact, and so much more.
— CEA (@WhiteHouseCEA) October 23, 2018
Featured image cartoon is courtesy Antonio Branco at net right daily