No, you needed to continue reading that section. That matter was fully explained. You may not agree with it, of course.
"rulers of a socialist state must live in terror of the people."

The whole thing is trashy, nonsense collection. but may work well for the illiterate, I see. He's talking about the totalitarian state and pointing THIS IS SOCIALISM. Nope, this is totalitarianism. He plays with the conceptual confusion about these terms. Interestingly, but not surprisingly, he does not mention a single company that supported the German system.