Socialist Self-Deception: Einstein and the USSR to Bernie Sanders and Venezuela 

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Even socialists who traveled to the Soviet Union and saw its immense poverty with their own eyes could not be shaken from their faith.

To explain our insane fascination with socialism, I have pointed to a growing body of academic research, which suggests that we are, by nature, envious of and resentful toward people who amass “disproportionate” wealth and power.

Moreover, research suggests that we find it difficult to comprehend, let alone appreciate, what Friedrich Hayek called extended order — or the use of specialization and trade to create “an information gathering process, able to call up, and put to use, widely dispersed information that no central planning agency, let alone any individual, could know as a whole, possess or control.”

Our minds have evolved to deal with issues faced by our hunting and gathering ancestors (e.g., an exchange of meat for favors), not to deal with issues facing us today (e.g., outsourcing the assembly of the iPhone to China to make it more affordable in America). The extended order, in other words, has evolved in spite of, not because of, our best efforts.

Today, I want to address another reason behind the persistent appeal of socialism: the power of self-delusion, or our ability and willingness to go on believing in things that are patently not true.

Soviet Five-Year Plan propaganda poster.

Soviet Five-Year Plan propaganda poster.

Consider the following two examples. In 1985, my Czechoslovak aunt Kate visited the USSR. She was a committed Communist Party member all of her adult life, and, as a reward, she was given a chance to spend a couple of weeks in the workers’ paradise. When she returned, I impetuously asked her if she had brought me anything. “Nothing,” she replied much to my disappointment, “the USSR is a very poor country.” Yet Kate never wavered in her commitment to the principles of communism and remained a party member until 1989, when her entire value system came crumbling down along with the Berlin Wall.

[Read the full story here, at Foundation for Economic Education]

Some ten years later, an American college professor of mine recalled his own visit to the USSR. In 1970, he and his wife spent two weeks in Leningrad, Moscow, and Kiev. During their stay in the communist country, he was shocked by the poverty and inefficiency he saw. (From Kiev, he wrote a letter to his parents in New York, which I have transcribed, with his permission, below.) All the other tourists that he met expressed similar sentiments.

When he returned to the United States, however, he kept on reading reports in mainstream publications, including Time magazine and The New York Times, which maintained that the Soviet economy was working. These reports were written by people who lived in the USSR, spoke Russian and had Soviet friends. As such, he concluded that the impressions he had made during his stay in the USSR were not valid.

If the above two examples failed to convince you of the power of self-delusion, consider our Nobel Prize-winning physicist from Ulm.

Einstein was a self-declared socialist. In 1949, he even published an essay titled “Why Socialism?” In it, Einstein wrote, “The economic anarchy of capitalist society as it exists today is, in my opinion, the real source of the evil [of human suffering]… I am convinced there is only one way to eliminate… [this evil], namely through the establishment of a socialist economy.”

It is striking that the most brilliant scientist of the 20th century, who escaped from national socialist Germany (Hitler called his party “socialist” for a reason) and moved to the capitalist United States, published an essay castigating capitalism and calling for socialism — while Stalin was still alive and busy butchering millions of Soviet citizens. Read the rest of this entry »