Rand Paul is Right About the Nazis and Socialism

by David Gordon
Mises.org

In “No, the Nazis Were Not Socialists,” which appeared online in Jacobin, the philosopher Scott Sehon makes a surprising claim. In the course of criticizing some remarks by Senator Rand Paul, Sehon says,

Paul seems to quote the mid-century economist Ludwig von Mises:

Under national socialism there was, as Mises put it, “a superficial system of private ownership…[sic] but the Nazis exerted unlimited, central control of all economic decisions.” With profit and production dictated by the state, industry worked the same as if the government had confiscated all the means of production, making economic prediction and calculation impossible.…

It turns out that Paul’s most clear assertion about Nazi control of the economy was, apparently, just something that the senator made up and falsely attributed to Ludwig von Mises. (blockquote ellipses and brackets in Sehon)

Had Sehon looked into Mises’s views more carefully, he would have found that Mises did indeed believe that Nazism was a form of socialism, marked by state direction of the economy rather than collective ownership. In Omnipotent Government (p. 56), Mises says,

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