No Rich vs. No Poor or why socialism always fails

An older woman who was born before the Russian Communist Revolution asked her communist granddaughter:
 -   Please tell me, what do you communists fight for? What do you want to achieve?
 -   Grandma, how don't you understand? We fight for the future where there will be no more rich oppressors!
 -   How strange, the woman replied. My grandfather, Decembrist, in 1825, revolted against the Russian emperor for the future in which there should not be poor people.

Soviet Folk Story

    Everyone who knows how the law of supply and demand works knows that no government policy can overwrite it and understands that a limited supply of essential resources automatically creates inequality, meaning every human society has rich and poor people. Moreover, societies are different not by how much the rich have but by what the poor can afford, and while it's easy to exterminate most of the rich, it never helps the poor become less poor. What helps the poor be less poor and afford more is the free-enterprised economy, which is not interfered with by government regulations and reduced dependency on other people's money.

    In Gallatin County and Bozeman, the county's biggest and fastest-growing city, affordable housing for locals is the most crucial scarcity.

    If our decision makers know how the law of supply and demand works and are interested in solving the problem, their solution to making housing more affordable would be to make the poor less poor by reducing taxes and regulations to help grow the local economy, create good-paying jobs for locals, and change building codes to boost the construction of more new houses suitable for families to live and raise children.

Instead, the Bozeman city commissioners decided to choose the opposite way, blaming single-family homeowners for "oppressive systems of white supremacy, heteropatriarchy, and exploitative capitalism" and building housing projects with no indoor garages, not enough (or not at all) parking lots, no playgrounds for children to play. As a predictable result, house prices skyrocketed, real estate taxes skyrocketed with them, more people became poorer, and housing was still unaffordable for locals.

There is one more predictable result of Bozeman's policies that try to control prices to fit "poor people's needs" instead of boosting the economy and innovation and lifting poor people out of poverty: the current city development counts on the endless increase in population and forgets that the quality of life, and small-town atmosphere were, until recently the main reasons for people to move here. High-density housing destroys small-town pros but keeps their cons. It will eventually lead to people stopping coming. The city will end up with ghost neighborhoods or, if the city commissioners decide to implement their Bozeman Final Solution in practice, 'mixed-income' housing will get occupied by illegals and social welfare recipients. Bozeman will transform into inner-city Chicago, the hometown of the communist Morten group that tried to pursue equity by exterminating the rich guilty of "oppressive systems of white supremacy, heteropatriarchy, and exploitative capitalism."
 

If socialists understood economics, they wouldn't be socialists.

Friedrich August von Hayek