Skip to content

Socialist Bankruptcy in Greece

Jacob Hornberger
Campaign For Liberty
Friday, February 19th, 2010

How long have European socialists been telling us how successful European welfare-statism has been? The governments in Europe’s socialist countries, they tell us, take care of their people with pensions, social security, free health care and education, and job security. And everything, they say, is just hunky dory.

But as we libertarians have been telling American socialists for decades, it’s just a matter of time before socialist systems start cracking apart, which of course has now occurred in Greece.

A system in which the government doles out money to people presupposes one important factor: that there are people in the private sector with income and wealth to take the money away from, so that government officials can turn around and give it away to others.

That fact oftentimes shocks statists. They live their lives under the pretense that the government operates just like a private business. That is, they think that the government is providing valuable goods and services that people are willingly paying for, a like a private business does. Then, they figure that when the government is doling out its fruits in the form of welfare, it’s doing it with its own hard-earned money, just as a private business might use some of its profits to give to charity.

Not so! The government gets its money by force, by simply seizing it from people in the private sector. The process is called taxation. The government finds people with money and takes a portion of it. It retains a percentage of that money to pay its own expenses — government salaries, overhead, etc. — and then doles out the rest to the recipients of welfare (or warfare) largess.

Since the government gets its money by taking it away from people who have money, it’s obvious then that the whole system depends on people in the private sector having money. If everyone in society is penniless, obviously a welfare state cannot work because the government has no one to tax in order to get its welfare money.

So, in order for a welfare state to exist, the private sector must first build up a base of income and wealth. Ironically, the best way to do that is for government to leave people free to accumulate wealth. As people begin accumulating wealth by selling goods and services to others, they tend to save a portion of their income. That savings goes into capital — tools and equipment — which then makes people more productive, which then tends to raise real incomes. Over time, the overall base of wealth begins growing exponentially.

Enter the socialists. They see this gigantic base of wealth and go nutso. They simply cannot help themselves. They just want to take, take, and take. And they’re never satisfied. They always want more and more and more.

For a while their welfare system seems to work. The socialists pluck the golden goose but the goose is still able and willing to lay eggs. But inevitably, out of their insatiable thirst for more resources, the socialists over-pluck, which causes the goose to lay less eggs. Ultimately, the goose starts getting thinner and weaker, until it finally dies.

And that’s precisely what has happened in the beloved socialist paradise of Greece. They taxed and taxed and spent and spent on their socialist schemes. In fact, not satisfied with the amount of money the taxes were bringing in, the socialists went on a borrowing spree, one similar to that which U.S. officials have embarked upon to pay for their socialist and imperialist schemes.

Of course, no one cared about all that rising debt. ֻNo need to worry. We owe it to ourselvesֻ the Greek Keynesian professors undoubtedly instructed their students. Financial data was even falsified in the hopes that people would never discover what was going on.

But finally, the ever-growing spending, debt, and taxes got so inordinately high that the private sector was no longer able to bear the burden of it all. The beloved Greek welfare state cracked. Bankrupt. Busted. Another socialist success story, just like the one in the Union of Soviet Socialist Republics.

How are they resolving the welfare-state crisis in Greece? By taxing the private sector in other EU welfare-state countries in order to provide a government-to-government welfare dole to the Greek government.

But it’s just a matter of time before the same crisis strikes other European welfare states. Who will bail them out? Don’t count on the U.S. government. It’s following the same road as Greece.

Related Posts with Thumbnails

Posted in Finance & Economics, Government.

Tagged with , , , .

One Response

Stay in touch with the conversation, subscribe to the RSS feed for comments on this post.

  1. Jacob says

    Interesting analysis but… wrong…

    It was the conservative government that totally screwed up Greece with corruption and helping their fellow businessmen to profit… after ruining the economy they called elections two years early and bailed out..

    Now the Socialist government has the hot potato and takes hard austerity measures to fix the damage… using socialist methods.. taxes on the rich (who benefited most from corruption) and they are easy on poorer people…

Some HTML is OK

or, reply to this post via trackback.

Support #altnews & keep Dark Politricks alive

Remember I told you over 5 years ago that they would be trying to shut down sites and YouTube channels that are not promoting the "Official" view. Well it's all happening now big time. Peoples Channels get no money from YouTube any more and Google is being fishy with their AdSense giving money for some clicks but not others. The time is here, it's not "Obama's Internet Cut Off Switch" it's "Trumps Sell Everyones Internet Dirty Laundry Garage Sale". This site must be on some list at GCHQ/NSA as my AdSense revenue which I rely on has gone down by a third. Either people are not helping out by visiting sponsors sanymore or I am being blackballed like many YouTube sites.

It's not just Google/YouTube defunding altenative chanels (mine was shut), but Facebook is also removing content, shutting pages, profiles and groups and removing funds from #altnews that way as well. I was recently kicked off FB and had a page "unpublished" with no reason given. If you don't know already all Facebooks Private Messages and Secret Groups are still analysed and checked for words related to drugs, sex, war etc against their own TOS. Personally I know there are undercover Irish police moving from group to group cloning peoples accounts and getting people booted. Worse than that I know some people in prison now for the content they had on their "secret private group". Use Telegrams secret chat mode to chat on, or if you prefer Wickr. If you really need to, buy a dumb phone with nothing for the NSA/GCHQ to hack into. Ensure it has no GPS tracking on it and that the battery can be removed. These are usually built for old people to get used to technology storing only a set of numbers to call. However they have no games, applications to install or other ways people can exploit the computer tracking device you carry round with you most of the day - your smart phone. If you are paranoid ensure that you can remove the battery when travelling around and do so to prevent GPS tracking or phone mast triangulation. Even with your phone in Flight mode or turned off, it can be turned on remotely and any features like front or back cameras, microphones and keylogging software can be installed to trace you.

So if your not supporting this site already which brings you news from the Left to the Right (really the same war mongering rubbish) then I could REALLY do with some..

Even if it's just £5 or tick the monthly subscription box and throw a few pound my way each month, it will be much appreciated. Read on to find out why.


Any support to keep this site would be appreciated. You could set up a monthly subscription for £2 like some people do or you could pay a one off donation as a gift.
I am not asking you to pay me for other people's articles, this is a clearing house as well as place to put my own views out into the world. I am asking for help to write more articles like my recent false flag gas attack to get WWIII started in Syria, and Trump away from Putin. Hopefully a few missiles won't mean a WikiLeaks release of that infamous video Trump apparently made in a Russian bedroom with Prostitutes. Also please note that this article was written just an hour after the papers came out, and I always come back and update them.

If you want to read JUST my own articles then use the top menu I have written hundreds of articles for this site and I host numerous amounts of material that has seen me the victim of hacks, DOS plus I have been kicked off multiple hosting companies, free blogging sites, and I have even had threats to cease and desist from the US armed forces. Therefore I have to pay for my own server which is NOT cheap. The more people who read these article on this site the more it costs me so some support would be much appreciated.

I have backups of removed reports shown, then taken down after pressure, that show collusion between nations and the media. I have the full redacted 28/29 pages from the 9.11 commission on the site which seems to have been forgotten about as we help Saudi Arabia bomb Yemeni kids hiding in the rubble with white phosphorus, an illegal weaapon. One that the Israeli's even used when they bombed the UN compound in Gaza during Operation Cast Lead. We complain about Syrian troops (US Controlled ISIS) using chemical weapons to kill "beautiful babies". I suppose all those babies we kill in Iraq, Yemen, Somalia and Syria are just not beautiful enough for Trumps beautiful baby ratio. Plus we kill about 100 times as many as ISIS or the Syrian army have managed by a factor of about 1000 to 1.

I also have a backup of the FOX News series that looked into Israeli connections to 9.11. Obviously FOX removed that as soon as AIPAC, ADL and the rest of the Hasbra brigade protested.

I also have a copy of the the original Liberal Democrats Freedom Bill which was quickly and quietly removed from their site once they enacted and replaced with some watered down rubbish instead once they got into power. No change to police tactics, protesting or our unfair extradition treaty with the USA but we did get a stop to being clamped on private land instead of the mny great ideas in the original.

So ANY support to keep this site running would be much appreciated! I don't have much money after leaving my job and it is a choice between shutting the server or selling the domain or paying a lot of money just so I can show this material.

Material like the FSB Bombings that put Putin in power or the Google no 1 spot when you search for protecting yourself from UK Police with "how to give a no comment interview". If you see any adverts that interest you then please visit them as it helps me without you even needing to give me any money. A few clicks per visit is all it takes to help keep the servers running and tag any tweets with alternative news from the mainstream with the #altnews hashtag I created to keep it alive!

However if you don't want to use the very obvious and cost free ways (to you) to help the site and keep me writing for it then please consider making a small donation. Especially if you have a few quid sitting in your PayPal account doing nothing useful. Why not do a monthly subscription for less money instead. Will you really notice £5 a month?