The Socialization Of America Is Economically Impossible
July 3, 2012 by Brandon Smith
UPI
Supporters cheer after the U.S. Supreme Court upheld a majority of Obamacare.
I understand the dream of the common socialist. I was, after all, once a Democrat. I understand the disparity created in our society by corporatism (not capitalism, though some foolish socialists see them as exactly the same). I understand the drive and the desire to help other human beings, especially those in dire need, and the tendency to see government as the ultimate solution to all our problems.
Let’s be honest: Government is just a tool used by one group or another to implement a particular methodology or set of principles. Unfortunately, what most socialists today don’t seem to understand is that no matter what strategies they devise, they will never have control. And those they wish to help will be led to suffer, because the establishment does not care about them — or you. The establishment does not think of what it can give; it thinks about what it can take. Socialism, in the minds of the elites, is just a con game that allows them to curry the favor of the serfs.
Other powers are at work in this world, powers that have the ability to play both sides of the political spectrum. The monied elite have been wielding the false left/right paradigm for centuries, and to great effect. Whether socialism or corporatism prevails, the elite are the final victors, and the game continues onward.
Knowing this fact, I find that my reactions to the entire Obamacare debate are rather muddled. Really, I see the whole event as a kind of circus, a mirage, a distraction. Perhaps it is because I am first and foremost an economic analyst. When looking at Obamacare and socialization in general, I see no tangibility. I see no threat beyond what we as Americans already face. Let me explain.
Socialism Is Failure
A country that feels the need to socialize has, in my view, already failed culturally. It is an open admission by the public that it is unwilling or unable to take responsibility for its own prosperity. If a county cannot function in a healthy economic manner without its government creating an artificial and precarious balance using fiat stimulus and overt taxation, then the people of that country are not remotely independent and self-sufficient. That is to say, only a Nation filled with pathetic, overgrown children would actually need government to enforce mandatory charity: welfare, healthcare, etc. A truly healthy society supported by strong and self-sustainable individuals would not beg to be parented by government. If a country is so unbalanced as to stoop to socialism, then its ailments already extend far beyond anything government (even good government) could ever hope to cure.
Obamacare, its tentative application and those who blindly support its introduction in the United States, are an example of a weak people groveling for handouts they do not work for nor deserve. Socialism is defeat. It is a waving of the white flag by a society and the trading of that culture’s liberty for the illusion of fiscal security. It is the act of an adolescent and naïve populace groveling for an allowance from their “motherland.”
If one wants to consider what a socialized America would actually be like, why not examine the track record of the EU, a group of nations that have dabbled extensively in the principles of collective centralization and various levels of socialism, including the extremes of communism and fascism (and yes, folks, both are derived from a socialist/collectivist foundation, despite what pseudo-intellectuals and propagandized academics will try to tell you).
What success have they accomplished in the course of their utopian endeavors?
Well, more than half of the states of the European Union have already reached debt-to-GDP (gross domestic product) ratios well beyond the limit required to retain membership.
Several countries — including the U.K., France, Spain, Italy, Portugal and Greece — are in the midst of severe debt crises. The euro is on the verge of disintegration. And it’s likely the EU charter will be re-examined and changed. The central bankers will blame European countries and their “insistence” on maintaining sovereign control over their finances for the failure of the EU. But, ultimately, sovereignty is not what strangles the EU. Instead, the ridiculous supranational status that is entirely misapplied has created a state of interdependency that has weakened every member nation to the point of disaster.
It should be painfully clear to anyone considering socialism as a viable option for America that this kind of system requires fiscal discipline and a vast amount of savings. Notice I say “savings” and not “money.” Money is a carnival ride — an illusion of wealth that can be printed from thin air. Savings is an actual concrete storage of real capital, an ongoing surplus of manufacturing and production capability resulting in the stockpiling of working credit and ample employment. Most of the countries of the EU do not have such savings and never did. In fact, most European countries have operated for decades on a loss. They have never been able to live with the direct and indirect investments of outside players. Because of this, EU countries are utterly unable to keep up with the grand concepts of socialism, and have buried themselves under the crushing debts generated by entitlement programs.
The United States is no different.
Forget Universal Healthcare, The U.S. Is Bust
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