Why Socialism Is the People’s Choice

Capitalism works by protecting private property and freedom of contract, thereby encouraging people to use their abilities and resources to produce goods and services that are most likely to be urgently demanded by others. Capitalism works because, unlike competing systems, it does not depend on the quality of its overseers. Capitalism’s overseer is the price system, which, far from being dependant on the will of a small number of politicians, is the expression of the totality of all human knowledge about the value and scarcity of goods, services, and resources.
(...)
In contrast, socialism does not work, because it acts, as it must, through the coercive apparatus of the state. Therefore, in its interactions with people, there is always at least one party forced to participate and who is, therefore, abused and exploited.

Why then is socialism so popular?

Reason No. 1: Socialism allows people to spend other people’s money without feeling guilty about it:

Yes, I know some socialists deny the very concept of private ownership. But even they realize that socialism takes money and property that is possessed by some and transfers possession to others so they can spend or use it.

Reason No. 2: Socialism satisfies the deeply felt and widely held emotion of envy.

Because no one admits to acting on the basis of envy, the term “equality” — robbed of its original and legitimate meaning in classical liberal thought — is used instead.

Reason No. 3: Socialism purports to relieve people of the burden of worrying about their economic well-being.

...free-market capitalism emphasizes the individual’s responsibility for his own economic welfare. Socialism professes to place this responsibility outside the individual and with the state.

Reason No. 4: Socialism is a secular substitute for religion and offers people (false) solace against the traumas of this life.

Utopian socialism — all socialism is utopian — purports to offer a solution to virtually all human problems. In contrast, the claims of capitalism are seen as too modest, and hard work is required as well. There is no need to quote a Marxist on the all-encompassing promises of socialism. Lyndon Johnson will do fine. In a speech given on May 22, 1964, Johnson promised that his Great Society would “pursue the happiness of our people,” conquer “boredom and restlessness,” and satisfy the “desire for beauty” and the “hunger for community.” All this and beat the Viet Cong too. Amazing!

James Ostrowski is an attorney in Buffalo and serves as a policy advisor for The Future of Freedom Foundation.