Hanson, a senior fellow at the Hoover Institution, said Tuesday on "Tucker Carlson Tonight" that the conservative movement, however, did a "poor job" proving socialism's failures.
The Republican Party, he charged, "did a very poor job - I know they're the traditional stewards of market capitalism - of explaining why market capitalism creates wealth and makes all our lives better."
"So, when the entire Midwest was hollowed out, it was almost a callous message of 'go learn to code' or 'go to the fracking fields' or 'China is getting us cheap stuff that we can afford even if we don't have good wages'," Hanson said.
He continued, saying the right wing never showed empathy or compassion in explaining why the free market system is "the only system that works."
"Five years ago, Bernie Sanders was a joke, and now he is a serious contender," Hanson said. "That proves your point. That's what's happened."
However, Hanson also took aim at what he described as "ignorance" about the left-wing political system now championed by some in the Democratic Party, saying some people: "sort of glorify [socialism] as a fuzzy-wuzzy, Robin Hood-like taking from people who really didn't build that and giving it to more deserving victims."
"And, because it's contrary to human nature, it requires a degree of coercion. That's pretty scary," he said.
Hanson said that the supporters of a socialist or democratic socialist system never tell the public that "it ultimately ends up like Venezuela and Cuba."