The socialist utopia must be just around the corner…
Venezuela’s socialist dictatorship continues to provide a masterful example of how not to run an economy. The country – which should be very rich considering their gigantic oil reserves – has fallen into an economic abyss, with mass malnutrition, shortages of basic medicines and even toilet paper, and a complete collapse of the Venezuelan people’s standard of living.
This is the direct result of socialism taken to its logical conclusion: A small governing elite plunder what little wealth remains in the country while the masses suffer. And there’s no sign that things are going to get any better.
According to an IMF estimate, Venezuela’s inflation rate is set to reach a staggering 2,300% or worse in 2018. GDP is expected to decline a further 6%, after falling by 12% so far in 2017.
As noted in a Bloomberg report, “While Venezuela’s central bank stopped publishing inflation data in December 2015, the IMF argues the country’s consumer prices are estimated to leap 2,349.3 percent in 2018, the highest in their estimates, followed by the Democratic Republic of the Congo’s 44 percent. As oil production declines and uncertainty increases, unemployment is forecast to increase to about 30 percent in 2018, also the highest and followed by South Africa’s 28 percent and Greece’s 21 percent.”
This is real socialism. This is the result of concentrating all power in the hands of government. Venezuela has been a chance for the world to watch true socialism in action, and as always, it has resulted in poverty and suffering.