If you thought MSNBCommunism couldn’t get any more pathetic, you thought wrong.
The network, which became the official laughing stock of the political community after Rachel Maddow’s nothingburger over President Trump’s tax returns, decided to blame the unrest in Venezuela over Donald Trump instead of the most obvious culprit: socialism.
The notion that unrest in Venezuela is due to Trump is too insane for words. Great job Maddow. pic.twitter.com/tw0VchNQGf
— Elliott Schwartz (@elliosch) April 21, 2017
Beginning in the 1970s, the South American nation began nationalizing numerous industries, including their most precious one- petroleum. Over the next few decades, Venezuela would suffer a rapid economic demise, leading to mountains of debt, hyperinflation, and now today, starvation.
Every form of socialism fails for the same reason. Central planners cannot predict human behavior.
It’s difficult enough to even predict your own behavior, and new businesses constantly rise and fall due to the fact that they cannot accurately predict the wants and needs of consumers. In a free market, consumers at least have the ability of purchasing goods from new enterprises as old ones fall, while in a socialist economy, they have no choice but to continue “purchasing”, so to speak, from the same failed enterprise- the government.
Since resources are scarce and value is subjective, a price system naturally arises to properly allocate resources in an economy. A man in the desert would be willing to pay much more for a water bottle than he would if he were in New York City – hence, the water bottle has no objective value, and no central planner can determine its price. Economic calculation and market competition allows enterprises the tools to best determine how to allocate their resources and price their goods, while socialism erodes this. The government’s monopoly over essential services thereby leads to shortages, due to their failure to predict consumer behavior and accurately price goods.
As Ludwig von Mises once wrote,
“The paradox of ‘planning’ is that it cannot plan, because of the absence of economic calculation. What is called a planned economy is no economy at all. It is just a system of groping about in the dark. There is no question of a rational choice of means for the best possible attainment of the ultimate ends sought.”
Furthermore, in a socialist economy, there is no incentive to produce. Why get a job and be productive member of society if your paycheck is going to be stolen from you and given to somebody else? And why work if the government is just going to give you somebody else’s money?
This issue, coupled with the aforementioned problems with economic calculation, creates an unprecedented recipe for disaster. This is why socialism has failed, and will fail, everywhere it is tried.
Socialism is why riots are underway in Venezuela right now. Not Donald Trump.
Free the markets and you will free the people.