I think the guy in the video said it all. The reason Socialism doesn't work is because in creates less incentive. This is what welfare has become. It has created less incentive for many to continue on the system.
He also stated about who owns all the investments. It takes money to make money. Which is why the rich get richer and the poor get poorer. Rich people and the upper middle class tend to invest their disposable income. Way too many people are just consuming their disposable income.
I see it all too often people crying poor but yet driving newer cars and spending continuously to try and stay up with the latest technology. Watching their $150 plus in cable channels, talking on cell phone plans that are costing $100 plus.
While I have a good paying job, good investments and manage my money pretty well, I could easily lop $300 a month off my bills.
I have never read Dave Ramsey but I would bet that the folks dumping their debt have eliminated a lot of the things like expensive cable TV and Cell phone plans.