National Socialism Genesis?

The Daily Reckoning has a fine article on the growth of government sector jobs compared to goods producing jobs.  You can read it here: Daily Reckoning

What struck us when we viewed the chart was that massive growth not only in goverment jobs, but in  dependancy on the state that these figures imply.

The common notion that America is a capitalist, free-market economy is quashed by a single chart.
It appears that the "state capitalism" system that developed since the 1980's, has morphed into outright socialism.  The tax increase that will be necessary to keep such a mammoth bureaucracy fed would be shocking.  Compounding the issue is the continuous ventures overseas by our military in a series of what seems to be almost continual war in the Middle East, and the observer could ask a single question:

Are we headed down the same path as 1920's Germany - toward National Socialism?  All we need is someone to blame for all our woes.