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Socialist Paradise Venezuela Isn’t Doing So Well
HotAir ^ | May 15, 2016 | Taylor Millard

Posted on 05/16/2016 6:29:05 AM PDT by MarvinStinson

Things are not looking good at all for socialist paradise Venezuela. President Nicolas Maduro declared a state of emergency a couple days ago due to unrest and a shortage of supplies, including flour. It’s so bad, some U.S. officials told Reuters they don’t expect Maduro to stay in power that much longer.

They said one “plausible” scenario would be that Maduro’s own party or powerful political figures would force him out and would not rule out the possibility of a military coup. Still, they said there was no evidence of any active plotting or that he had lost support from the country’s generals.

The officials appeared to acknowledge that Washington has little leverage in how the situation unfolds in Venezuela, where any U.S. role draws government accusations of U.S.-aided conspiracies. Instead, the administration of President Barack Obama wants “regional” efforts to help keep the country from sliding into chaos.

“You can hear the ice cracking. You know there’s a crisis coming,” one U.S. official said. “Our pressure on this isn’t going to resolve this issue.” The biggest issue is the fact the country’s economy is in the toilet, with its debts basically forcing the state to cut imports. Venezuela’s economic czar told Bloomberg that’s the only way to save the economy.

“We’ve applied a very austere program,” Vice President for Economic Policy Miguel Perez Abad said at an interview at his office in Caracas, adding that imports would probably fall to about $20 billion this year from $37 billion in 2015. “We’re going to maintain this level of restriction to force the productive sector of the economy to increase output. Hopefully we could cut imports to as low as $15 billion.” The comments are pretty important because Venezuela relies heavily on the oil and gas sector for its economy, but has only two companies “competing” in the country. The gigantic one is PDVSA which is state-owned, while privately-owned Trebol Gas C.A. has a small share of the market. The same goes for the steel market with one company owned by the state (SIDOR), with smaller Sivensa operating as the privately-run one. The aluminum market is controlled by state-owned Alcasa. The state basically runs the economy, which is one reason why things aren’t going so well. There’s no diversification and everything goes through the government, meaning bureaucracy chokes the life out of the economy.

Maduro isn’t planning on going away, and is stealing from predecessor Hugo Chavez’ playbook by saying America is plotting against Venezuela. He’s even claiming foreign powers (aka USA) are going to try to invade. Via Bloomberg.

Speaking in Caracas’s Ibarra Square after a march Saturday by several hundred supporters, Maduro said his opponents are orchestrating foreign military intervention in Venezuela. Exercises by the army and militia groups would prepare “for any scenario,” Maduro said.

“The oligarchy’s plan is to disturb the peace so they can justify foreign intervention in Venezuela,” Maduro said in televised remarks at the rally. “I’m not an extremist for saying this, but they’re extremists for wanting to carry this out.” It’s easy for those on the Right to sit down and cackle at the failure of socialism in Venezuela. We can yell, “Told you so!” without actually thinking about possible solutions to the Venezuelan economy and if there’s a way to prevent the people from staying in poverty. This doesn’t mean the U.S. government should consider donating any money to Venezuela, but maybe businesses should look at moving into the country to help (IF the country decides to liberalize its economy). This means more people get to work, wages increase, and people enjoy the benefits of the free market. But it also means the U.S. needs to resist the urge to move towards a centralized economy or electing leaders who want this. For every politician out there promising lip service to free markets, there are plenty more who’d prefer to see the government pick winners and losers via regulations, contracts, etc. This means talking to millennials about the problems in Venezuela and how socialism caused things to fail. But those on the Right who care about free markets also have to point out what free markets actually mean (no government involvement at any level) and why it’s important to keep government and business separate.

The failure of socialism in Venezuela is just another in a long line of failures for Karl Marx’s ideology and philosophy. There are obviously lessons for the U.S. to learn from an economic standpoint, but also from a foreign policy standpoint. Maduro and Chavez are able to claim the U.S. is trying to oust them because of the 1954 Guatemalan coup, the invasion of Panama, and whatever happened in Haiti in 2004 (thanks Roosevelt Corollary to the Monroe Doctrine and more involvement in foreign conflicts we shouldn’t be involved in). Perhaps it’s time to consider going back to Coolidge’s Good Neighbor policy, instead of heavily trying to influence policy in Latin America. This way, strongmen don’t always get in power in other countries and the U.S. can show the world the best government is the one which governs least and keeps its fingers out of every pie possible.


TOPICS: Culture/Society
KEYWORDS: socialism; socialisthell; venezuela; venezuelacollapse; venezuelacrisis
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To: MarvinStinson

Perhaps Barry and his PR man can put together a bailout package…

http://www.breitbart.com/big-government/2016/04/14/obama-cronies-cash-puerto-rico-bailout/


21 posted on 05/16/2016 7:12:37 AM PDT by PGalt
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To: PGalt

Well, it can be argued that rather than a bailout, when the total failure occurs, Hissein can take credit for efforts to free the people of Venezuela from the scourge

All it takes is press release


22 posted on 05/16/2016 7:15:42 AM PDT by bert ((K.E.; N.P.; GOPc;+12, 73, ....Opabinia can teach us a lot)
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To: MarvinStinson

They’re chewing on chihuahuas in Caracas.
Kitty cat is on the menu in Caracas.
Venezuela is no place for a pet to be.

Ooooooooooh........

The socialists are eating slimy snakes.
The progressives are progressively eating parrots.
The liberals are lunching on lizards.

Oooooooooooh.......

Venezuela was going to be paradise.
But now there is no corn or beans or rice.
Now they’re eating rats and cats and mice.


23 posted on 05/16/2016 7:15:55 AM PDT by blueunicorn6 ("A crack shot and a good dancer")
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To: PGalt

Very good.


24 posted on 05/16/2016 7:18:58 AM PDT by MarvinStinson
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To: tanknetter

Yes. Ayn and anyone sensible. But it never occurred to any of today’s democrats or journalists that she might be right.


25 posted on 05/16/2016 7:21:19 AM PDT by Pollster1 (Somebody who agrees with me 80% of the time is a friend and ally, not a 20% traitor. - Ronald Reagan)
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To: bert

...when the total failure occurs…

Yes, win/win. BIG crony socialists/new world socialists can swoop in and save the baby chavismos.

https://www.youtube.com/watch?v=J-GkwIRbLw8


26 posted on 05/16/2016 7:25:17 AM PDT by PGalt
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To: tanknetter

“I can’t imagine that either internal entrepreneurs (assuming there are some left) or external companies and investors are going to be rushing back in once the doors open up again.”

I agree. What I can see happening though, is as Maduro becomes more desperate and fearful of not only being removed from power, but for his own safety as well, is that he climbs in bed with those who offer protection from The Great Satan, specifically Hamas and the Muslim Brotherhood. As Venezuela’s system of socialism crumbles, Haji is there to offer an alternative, and Barry is fully aware of it.


27 posted on 05/16/2016 7:28:55 AM PDT by Carthego delenda est
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To: MarvinStinson

Oil was their golden goose. But through nationalization and neglect the goose wasted away


28 posted on 05/16/2016 7:36:53 AM PDT by stocksthatgoup (GOPe/MSM - "When we want your opinion, we will give it to youGo to trumps websites look at issues an)
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To: MarvinStinson

Sean Penn. Dennis Rodman ......>.


29 posted on 05/16/2016 7:38:08 AM PDT by stocksthatgoup (GOPe/MSM - "When we want your opinion, we will give it to youGo to trumps websites look at issues an)
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To: MarvinStinson

FromDying Infants and No Medicine: Inside Venezuela’s Failing Hospitals

New York Times ^ | May 15, 2016 | Nicholas Casey

http://www.freerepublic.com/focus/f-news/3430929/posts

30 posted on 05/16/2016 7:49:54 AM PDT by spokeshave (Somewhere there is a ceiling for Trump.....Yeah, it's called The Oval Office)
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To: Flintlock

Badness tends to visit those who express anything less than full support for top socialist leaders. And considering how the production economy has been wrecked there, the only hope for the remaining population is more free stuff; they’ve moved into “cargo cult” mentality there.


31 posted on 05/16/2016 7:56:43 AM PDT by ctdonath2 ("Get the he11 out of my way!" - John Galt)
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To: Fai Mao

Bernie’s a nice old man who’s pushing the government system from hell...


32 posted on 05/16/2016 8:08:55 AM PDT by GOPJ (Trump wants to increase the size of the pie. Ryan wants everyone eat less.)
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To: MarvinStinson

Another example of the failure of socialism. However, academics on college campuses in the US will still insist socialism and even communism would produce an earthly paradise if it was just done right.


33 posted on 05/16/2016 8:22:54 AM PDT by The Great RJ ("Socialists are happy until they run out of other people's money." Margaret Thatcher)
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To: The Great RJ

Those campus academics would argue that the United States is the one country that has the resources to do Socialism right.

Of course that’s nonsense. But we are resource-rich to the point where it would likely take them much, much longer to bring us to the fail point.


34 posted on 05/16/2016 8:43:39 AM PDT by Buckeye McFrog
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To: MarvinStinson
There's nothing to worry about. It's democratic socialism. It's all good.
35 posted on 05/16/2016 9:21:59 AM PDT by all the best
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To: Lou L

Did the Chavez family repatriate the 4 Billion? That and the slush funds would go a long way toward alleviating the problems.


36 posted on 05/16/2016 11:10:00 AM PDT by Ozark Tom
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To: Carthego delenda est

What ever happened to their agitating for a war with Columbia?


37 posted on 05/16/2016 11:12:43 AM PDT by Ozark Tom
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To: Maceman

The place was going to hell even before Hugo assumed ambient temperature.


38 posted on 05/17/2016 12:35:46 PM PDT by attiladhun2 (The Free World has a new leader--his name is Benjamin Netanyahu)
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To: Ozark Tom

That was a bravo sierra distraction. The Venezuelan army would have gotten an @$$kickin’ and Chavez and the rest of the “Bolivarchs” knew that. The blowback from such a defeat would have probably toppled the government. Chavez may have been an incompetent clown, but he was not stupid.


39 posted on 05/17/2016 12:41:14 PM PDT by attiladhun2 (The Free World has a new leader--his name is Benjamin Netanyahu)
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