Category Archives: Venezuelan economic model

What a relief!

Dalrymple writes that the defeat in the general election of Jeremy Corbyn,

whose economic ideas could produce a shortage of salt water in the Pacific, was incomparably more important than the question of Brexit, a minor distraction by comparison.

He notes that

we no longer have to muse upon whether and how to leave — or escape — Britain. The prospect of crushing taxes, total government and union control of the economy, expropriation of private property without proper compensation (or any), and a general Venezuela-ization, has receded.

Even if Corbyn loses, millions will have voted for this

Labour’s frightening manifesto

Reading it, Dalrymple realises

how close Britain might be to a catastrophe that would make the Brexit episode seem of minor importance.

If Labour wins,

the party will inaugurate a quasi-totalitarian government. Chávez-admirer Jeremy Corbyn’s deputy, John McDonnell, is an admirer of Marx, Lenin, and Trotsky, whom he has described as the greatest influence on his worldview.

Labour, Dalrymple notes,

lives in a world in which, when you increase taxes, your tax receipts rise in exact proportion to the percentage increase: the taxed do not change their behaviour.

If Labour were elected and tried to put its proposals into practice, there would be

  • capital flight
  • capital controls
  • loss of confidence
  • complete absence of investment
  • forced investment (requiring ever higher taxes)
  • government control over the economy to pay for it
  • emigration of anyone who can earn a living elsewhere

The ensuing chaos and degradation

would swiftly exceed anything previously seen in the UK. The prospect of a military coup, with the support of a large part of the population, would not be far-fetched; nor, if in the meantime the government had managed to suborn or dissolve the armed forces, would be a slide into Venezuelan conditions, in the name of social justice.

The socialist menace

Britain’s Labour party, writes Dalrymple, wishes to provoke a general election, which it believes that it would win. Were it to do so,

it would bring to power people who admire the Venezuelan model and believe in confiscation as the path to universal prosperity.

They would make Brexit

seem like a minor detail in the history of British difficulties.