Socialism has 4 customized sales strategies for 4 population groups:
- social welfare
- tax rate cuts
- printing or borrowing money
- government employee revenue protection.
With each, the government coerces citizens to remain quiet or blame other groups for obvious problems created by their selfish rewards. Socialism is a reward system for blaming others and rewarding selfishness veiled inside “caring” words.
Let’s examine each of these 4 decadent, deceptive reward systems:
Social welfare encourages the poor and elderly citizens to vote for the candidate handing out the most money.
Prediction: Expect the government’s unfunded welfare programs to continue to be funded by printed money. This practice makes everyone not on welfare poorer by tiny amounts every day because creation of money using unbacked credit creates hidden inflation.
Prediction 2: Expect the poorest citizens to become increasingly violent, as Polybius observed 2300 years ago. They blame the other groups for “causing” them to be violent. Socialists never own their own behavior.
For any policy failure manifested by this form of coercion, the leadership team makes sure the non-recipients are blamed.
Tax Rate Cuts
Tax rate cuts fool the middle class citizens into thinking they are getting a special deal from the half Democrat party: the Republicans.
Yes, I know the argument that tax rate cuts actually create more revenue within a few years. But, unless all the resulting tax-rate-cut deficit is then eliminated, the population is increasingly subjugated by the hidden inflation of “unbacked” credit that was created.
Prediction: Nothing changes until the middle class becomes more abused by the other 3 groups.
Prediction 2: Middle class dies away, socialism only creates a wealthy and a poor class.
For any policy failure manifested by this form of coercion, the leadership team makes sure the recipients are blamed.
Federal Currency Printing and Borrowing
Printing and borrowing pumps up the portfolios of the rich – “portfolio inflation” – thus fooling the wealthy into thinking their wealth is growing.
Prediction: Expect ZIRP and even NIRP (Negative interest rates) to remain in order to continue the successful policy of fooling the wealthy.
Prediction 2: NIRP will be tried, because “it’s working great in Europe,” or some other cockamamie claim.
Prediction 3: Private bond market is destroyed, the government becomes the sole available lender/printer
For any policy failure manifested by this form of coercion, the leadership team makes sure the recipients of the portfolio bubble are blamed.
Government Employee Income Expansion
Government employee income expansion is implemented by keeping government employee pay ripening as the private economy fails. The government employee silently watch their former private sector, tax-paying paymasters go broke, while their new, lying, money-printing paymasters grow increasingly corrupt.
Prediction: Expect the government’s broke pension funds to be bailed out, thus quieting all police and firemen on the plump, unfunded, back-loaded, early retirement packages cities and states have deceptively offered for tens of years. These were KNOWN to be failed investment instruments from the start.
For any policy failure manifested by this form of coercion, the leadership team makes sure the uncaring “wealthy” taxpayers are blamed.
John D. Lofgren @ Junto Club: www.atlasShouts.com
Author of “Atlas Shouts” #13 rated Money book on Amazon:
Atlas Shouts, The Movie: https://www.youtube.com/watch?v=yrPgka9SBJ4