How Socialism Destroyed Venezuela

Contact Your Elected Officials

Many in the media have blamed Venezuela worsening humanitarian crisis on corruption, mismanagement, falling oil prices, or U.S sanctions—anything but the rise of socialism in what was once the wealthiest country in South America, but truthfully, socialism destroyed Venezuela.

Yet corruption and mismanagement were the direct result of increased government control of the economy—socialism—and in reality, lower oil prices and U.S. sanctions have little to do with the crisis. Instead, the mass starvation and exodus faced by Venezuelans are the natural consequence of the socialist policies implemented by dictators Hugo Chavez and Nicolas Maduro.

There are three main policies implemented by Chavez since 1999 that produced the current crisis: Widespread nationalization of private industry, currency and price controls, and the fiscally irresponsible expansion of welfare programs.

One of Chavez’s first actions was to start nationalizing the agriculture sector, supposedly reducing poverty and inequality by taking from rich landowners to give to poor workers. From 1999 to 2016, his regime robbed more than 6 million hectares of land from its rightful owners.

Nationalization destroyed production in affected industries because no government has the capacity to run thousands of businesses or the profit motive to run them efficiently. Instead, government officials face incentives to please voters by selling products at low prices and hiring more employees than necessary, even when that’s the wrong industry decision.

Socialism run rampant—not cronyism, corruption, falling oil prices, or U.S. sanctions—caused the crisis in Venezuela.

As economic theory predicted, as state control of the agricultural industry increased, Venezuela’s food production fell 75% in two decades while the country’s population increased by 33%. This was a recipe for shortages and economic disaster. After agriculture, the regime nationalized electricity, water, oil, banks, supermarkets, construction, and other crucial sectors. And in all these sectors, the government increased payrolls and gave away products at low cost, resulting in days-long countrywide blackouts, frequent water service interruptionsfalling oil production, and bankrupt government enterprises.

Read full article on E21 at Economics21.org

The Thinking Conservative
The Thinking Conservativehttps://www.thethinkingconservative.com/
The goal of THE THINKING CONSERVATIVE is to help us educate ourselves on conservative topics of importance to our freedom and our pursuit of happiness. We do this by sharing conservative opinions on all kinds of subjects, from all types of people, and all kinds of media, in a way that will challenge our perceptions and help us to make educated choices.

CHARLIE KIRK, YOU WEREN’T PROVED WRONG

"I want to be remembered for courage for my faith,” Kirk had said in a podcast merely two months ago. May his courage spur us to be bolder in our faith.

Trump’s Proposal For NATO To Stop Buying Russian Oil & Start Tariffing China Is Unrealistic

Trump proposed on social media that NATO stop buying Russian oil and start tariffing China 50-100% as part of his plan for ending the Ukrainian Conflict.

The Choices We Make

Death and disagreement are inevitable. Love and hate are choices. We will all die. Before we do, what choices will we make?

Elon Musk Speaks at Unite the Kingdom Rally

Tommy Robinson held rally, with Elon Musk appearing virtually, calling attention to leftist politicians who allow foreign immigrants to invade England.

Doxed Democrats Are Getting Fired Left and Left

Not a misprint because a title of “left and...

ABC Suspends Jimmy Kimmel: 5 Things to Know

ABC suspended Jimmy Kimmel indefinitely over remarks about Charlie Kirk’s assassination, following an FCC warning its head would act against the network.

Judge Rules Pro-Palestinian Activist Mahmoud Khalil Should Be Deported

A U.S. judge ordered pro-Palestinian activist and Columbia graduate Mahmoud Khalil deported after finding he omitted information on his green card application.

Charlie Kirk’s Widow, Erika, Named New CEO of Turning Point USA

Turning Point USA announced it named Erika Kirk as new CEO and board chair of Turning Point USA, which late husband, Charlie Kirk, co-founded.

Shares of Intel Increase 30 Percent on $5 Billion Nvidia Investment

Shares of Intel increased by about 30 percent at the opening bell after Nvidia announced a $5 billion investment in the struggling chipmaker on Sept. 18.

Trump, Starmer Seal Record $340 Billion ‘Tech Prosperity Deal’

President Trump and British PM Keir Starmer announced a new partnership worth $340 billion in technology, nuclear power, and private equity.

Rubio Says US Visa Revocations Underway After Charlie Kirk Death Celebrations

SoS Marco Rubio said foreign nationals who made celebratory comments over Charlie Kirk’s assassination will have their U.S. visas revoked.

Trump Supports Designating Antifa a Terrorist Organization

President Trump said he would support designating the antifa movement a terrorist organization in the wake of Charlie Kirk’s assassination last week.

US Conducts Strike on Another Drug Boat From Venezuela: Trump

Three people were killed in a U.S. strike on a Venezuelan drug boat, President Donald Trump announced on Sept. 15.
spot_img

Related Articles

Popular Categories

MAGA Business Central