Tag Archives: Venezuela

Venezuela reaches the final stage of socialism: no toilet paper

Whether a state has a more corporatist flavor or a more “socialist” flavor (crony systems typically have both) it is the denial of prices, the denial of reality, which leads ultimately to disaster. If the pricing mechanism isn’t allowed to work distortions in the economy arise. Distortions make the system wobbly, and sooner or later the system is off the rails.

And out of toilet paper.

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Socialists (uni-corporatists) run Venezuela into the ground

Socialism is inherently a crony capitalist system. Basically a true socialist state is a uni-corporate entity. It is a monopoly (more or less) of goods and services (and most importantly force) where the cronies control the means of production. The Soviet Union for instance was basically one giant, very poorly run corporation which killed (often literally) any competitors which challenged it.

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