Republicans point out the long-term danger of socialism—observing that it has eventually failed wherever it has been attempted. The reason is simple and perfectly expressed by British Prime Minister Margaret Thatcher when she said, “The problem with socialism is that you eventually run out of other people’s money.”
Those on the left often see socialism as a charitable panacea for social ills and personal problems, with a powerful bureaucratic central government acting as provider. Despite the history of failure, Democrats and others who embrace government as the source of all good insist there is nothing to fear. They argue that America already benefits from socialism through programs such as Medicare, Medicaid, welfare, and even the federal highway system.
They are correct in one sense. America has been on the slippery slope toward socialism since the early 20th century. Franklin Roosevelt’s New Deal expanded federal power dramatically, introducing programs that shifted responsibility from individuals and communities to Washington. For his third term, Roosevelt had chosen Henry Wallace—an avowed socialist—as his Vice President. Later, Lyndon Johnson’s “Great Society” and “War on Poverty” programs in the 1960s added Medicare, Medicaid, and a host of welfare initiatives. Even Republican administrations joined in, with George W. Bush adding the prescription drug program in the early 2000s.
The public has consistently embraced these benefits. Promise voters money or “free” services, and they will elect you to office. Benjamin Franklin is often credited with warning, “When the people find that they can vote themselves money, that will herald the end of the Republic.” Whether Franklin or Scottish historian Alexander Fraser Tytler said it, as some claim, the point remains valid. Democracies collapse when citizens exploit the system for personal gain.
Lessons from Socialist Failures Abroad
History provides sobering examples of socialism’s failures. Here are just a few.
- Venezuela: Once the wealthiest country in South America, Venezuela collapsed under Hugo Chávez and Nicolás Maduro’s socialist policies. Nationalization of industries, strict price controls, and currency manipulation led to hyperinflation exceeding 65,000% in 2018, mass starvation, and the exodus of over 7 million citizens. Once a nation with vast oil wealth, Venezuela now struggles to provide basic food and medicine.
- Cuba: Fidel Castro’s revolution promised equality but delivered poverty. Cuba’s GDP per capita stagnated for decades, and citizens endured shortages of food, medicine, and basic freedoms. Even today, Cubans face rationing of essentials, and the average monthly salary is less than $50 USD.
- Soviet Union: The USSR’s centrally planned economy produced inefficiency, corruption, and chronic shortages. By the late 1980s, the system collapsed under its own weight, leaving behind economic ruin and political repression. The Soviet Union’s attempt to control every aspect of production led to bread lines, empty shelves, and eventually the dissolution of the state itself in 1991.
- Eastern Europe: Nations like East Germany, Hungary, and Bulgaria suffered decades of stagnation under socialist regimes, only recovering economically after abandoning socialism in favor of market reforms. East Germany, for example, had a GDP per capita less than half of West Germany’s before reunification.
Across these cases, socialism promised equality but delivered misery. According to estimates, Marxist-socialist regimes were responsible for more than 100 million deaths in the 20th century through famine, purges, and repression.
America’s Warning Signs
The trend toward socialism in the past 100 years already has had severe negative impacts on the United States. Federal spending has ballooned to over $6 trillion annually, with entitlement programs consuming the largest share. Social Security, Medicare, and Medicaid alone account for nearly 50 percent of federal expenditures. The national debt now exceeds $36 trillion, meaning every American household carries a burden of over $250,000 in future obligations.
These numbers reveal the danger of socialism. America is already paying for benefits with “other people’s money”—in this case, future generations saddled with debt. Prior to President Johnson’s Great Society socialist programs, the annual interest on the National debt was approximately $7 billion. It now exceeds $970 billion each year – and growing. That is the impact of socialist policies. Politicians find it easy to promise benefits today, knowing that the day of reckoning will not come in their lifetime.
Consider Social Security. The program was designed in the 1930s when life expectancy was much lower. Today, Americans live longer, and the ratio of workers to retirees has shrunk dramatically—from 16 workers per retiree in 1950 to fewer than 3 workers per retireetoday. By the mid-2030s, Social Security is projected to become insolvent, meaning benefits will have to be cut or taxes raised. Medicare faces similar shortfalls, with costs expected to double over the next two decades. Those programs are running out of other peoples’ money.
The Psychological Trap of Socialism
Supporters of socialism point proudly to the “benefits” of government programs while ignoring the destructive downsides. Citizens grow dependent on government largesse, eroding self-reliance and community responsibility. The more benefits people receive, the more they demand, creating a cycle of dependency that is politically irresistible but economically unsustainable. But we also see the downside in plain sight — unsustainable debt, declining productivity, and a culture of dependency.
This dynamic is already visible in America. Annual deficits exceed $1 trillion, even in years of economic growth. Yet left-wing politicians continue expanding socialist programs, knowing voters reward them for promises rather than fiscal discipline. The public’s appetite for benefits is endless, but the resources to fund them are finite.
The Greatest Generation’s Legacy
It is worth noting that the Greatest Generation—the men and women who won World War II—also became the world’s greediest generation in terms of consumption. They enjoyed unprecedented prosperity, fueled by America’s postwar dominance, but also embraced the expansion of government benefits without fully paying for them. Social Security, Medicare, and other programs grew rapidly, financed by borrowing rather than sustainable revenue.
Future generations now bear the burden. The national debt is not just a number. It represents promises made to current citizens that must be fulfilled by their children and grandchildren. In effect, America is consuming wealth that does not yet exist, mortgaging the future for present comfort.
The Slippery Slope in Real Time
The growth of the federal government illustrates the socialist dynamic at work. In 1900, federal spending accounted for less than 3 percent of GDP. Today, it consumes nearly 25 percent of GDP. Regulations have multiplied, with federal agencies overseeing everything from healthcare to education to energy. Each expansion is justified as necessary for fairness or safety, but collectively they represent a massive transfer of power from individuals to the federal government. The growth of the federal bureaucracy is exactly what the Founders hoped to avoid with a federal system in which most powers and services were reserved for the several states.
Democratic Socialism
“Democratic socialism”, at its core, is still socialism. The term is used to soften the harmful ideology by attaching “democratic,” as if voting can erase the inherent flaws of centralized economic control. Socialism, regardless of branding, relies on an authoritarian central government controlled by an entrenched bureaucracy. Calling it “democratic socialism” is an oxymoron, a rhetorical shield used by advocates who recognize socialism’s historical failures—economic stagnation, inefficiency, and erosion of liberty. The rebranding does not change the essence. It remains socialism, with the same fatal downsides, only dressed in language meant to reassure rather than to reform.
The Endgame of Socialism
The more America embraces socialism, the sooner the inevitable collapse will arrive. We already talk openly about the unsustainability of government benefits. Economists warn that entitlement spending will crowd out all other priorities, leaving little room for defense, infrastructure, or innovation.
The annual budget deficits and enormous national debt are symptoms of a deeper problem — the belief that government can provide unlimited benefits without consequence. In reality, every dollar spent must come from somewhere—either through taxation, borrowing, or inflation. Each option carries costs. Taxation reduces incentives to work and invest. It reduces the purchasing power of the working American. Borrowing burdens future generations. Inflation erodes savings and punishes the poor.
No, America is not merely entering an era of socialism—we are already halfway down the path. The evidence is clear: socialism has failed in Venezuela, Cuba, the Soviet Union, and across Eastern Europe. It has produced poverty, repression, and collapse wherever it has been tried. America’s growing debt, expanding entitlement programs, and dependence on government benefits show the same trajectory.
Socialism will be the downfall of America as the world’s most successful Republic. The lessons of history are unmistakable. Socialism does not deliver prosperity. It delivers equality only in misery. Unless America reverses course, the collapse that befell other nations will eventually arrive here.
So, there ‘tis.