Kudlow: Socialism Brings Poverty, Not Prosperity

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WASHINGTON—Top White House economic adviser Larry Kudlow denounced socialism, which has become popular among Democratic presidential candidates, calling the political ideology “a loser.”

“Look, I am an ex-Democrat,” Kudlow said. “Actually, I have worked for two presidents who were ex-Democrats, Ronald Reagan and Donald Trump.”

“I will say this, socialism is a loser. I don’t want us to forget the lessons of the past.”

Speaking at a National Press Club event on April 23, Kudlow said collectivist, central planning, and government-run economies throughout history have failed.

“They sap our morale, they reduce our freedom, they tend to turn into really tyrannical political situations.”

Kudlow’s remarks came amid rising support for policies among members of the Democratic Party such as Medicare for All and the Green New Deal. The Trump administration repeatedly has accused Democrats of going “far to the left” and becoming “radical” for embracing such ideas.

“But most of all, from my standpoint as an economics guy, they don’t have prosperity. They generate poverty,” Kudlow said.

“We are at the beginning of a new prosperity wave in this country. We are the hottest economy in the world. Confidence is building,” he said. “Why would we want to pursue policies that could—I think in total—slice 15 percent of GDP right out within 10 years?”

The Medicare for All plan would cost the economy more than $32 trillionover a decade, according to a study by the Mercatus Center at George Mason University, a libertarian policy center. Historic tax increases would be required to pay for the price tag, stated the report. And these tax hikes would lower household incomes by $17,000 annually, according to the estimates of the White House Council of Economic Advisers.  more