Inimigos da prosperidade

Socialism suffers from four fundamental design defects. Each one of them is sufficient to make socialism inoperative.
Socialism eradicates private property and markets and thus eliminates effective economic coordination.
Second, the socialist organization of the economy allows soft budgets, which means that there is no mechanism in place that discards inefficient production units.
Third, the abolition of private property and the cult of the state promotes false incentives.
Finally, the socialist system with the absence of private property and of free markets inhibits rational economic calculation...
Interventionism hampers the dynamics of the markets and falsifies the price system. The administrative state perverts the market economy and reduces the effectiveness of the market as a coordination mechanism. The economic system gets weaker. Interventionism discourages innovation and leads to a waste of resources due to the cost of regulation and the misallocation brought about by the state intervention.
The results are perpetual fiscal and monetary crises. Mais