Red flags abound (pardon the pun) as Greece struggles with the results of decades of socialist-leaning policies.
Socialism, as Lenin taught, is the pathway to communism, but the two are distinct.
Both decry private ownership of property. Socialism puts command of industry in the hands of the government while communism gives ownership to the people (kind of.)
Both result in lower production as no single worker sees the benefit of his work. Putting in extra hours does not help him feed his family or protect his friends and putting in minimal effort offers no penalty.
So we come to Greece. Just having voted to tell the EU where to stick its bailout package, Greeks are seeking answers – and some look an awful lot like socialism.
The Greek government has thrown up trial balloons on options such as nationalizing their banks (government ownership), printing their own copies of the Euro and have recently turned to Moscow for guidance.
The Greek government upped the stakes further by revealing that the Prime Minister, Alexis Tsipras, had telephoned the Russian President, Vladimir Putin, to discuss the consequences of the referendum in which Greeks voted by 61 per cent to 39 per cent to reject the EU’s previous austerity demands.
So whether Greece is going full on socialist remains to be seen. But as Prime Minister Margaret Thatcher once said, “the problem with socialism is that you eventually run out of other people’s money.” And the Greeks are quickly running out of euros.Wake up Right! Subscribe to our Morning Briefing and get the news delivered to your inbox before breakfast!