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So simple

You know, if you are positioned to benefit from inflation, you are virtually guaranteed it if you can either start a war or get a socialist elected. In both cases, the impulse to print money is overwhelming.

Keynes made his money predicting alterations in the value of national currencies. In his own way, George Soros does the same. If you are a predator, you want to weaken your prey, and idiotic fiscal policies–both of which are just about guaranteed in both war and socialism, but which are permanent in socialism–are just the way to do this.

Where is our inflation today, though? It was low under Bush and remains relatively low, right? Our own situation is more complicated than, say, Weimar Germany. The bulk of our inflation comes from borrowing using the fractional reserve system, whereas then it was the result of the government printing money to pay off enormous war debts. As things improve economically, I expect inflation to increase considerably. The Fed will pursue deflationary policies, and only God knows what will happen.

The main point I wanted to make here, though, is that when entities like the IMF push for currency devaluation to “boost exports”, they are simultaneously asking that country to discount itself. This is of course enormously helpful for predators. This process is facilitated by expansions of welfare programs which cannot be paid for in any way BUT inflation.

Net: socialism creates inflation which creates economic weakness. For this reason alone one would expect non-socialists to call for socialism.