">
 
 
|
|
|
|
Search: 
Latin American Herald Tribune
Venezuela Overview
Venezuelan Embassies & Consulates Around The World
Sites/Blogs about Venezuela
Venezuelan Newspapers
Facts about Venezuela
Venezuela Tourism
Embassies in Caracas

Colombia Overview
Colombian Embassies & Consulates Around the World
Government Links
Embassies in Bogota
Media
Sites/Blogs about Colombia
Educational Institutions

Stocks

Commodities
Crude Oil
US Gasoline Prices
Natural Gas
Gold
Silver
Copper

Euro
UK Pound
Australia Dollar
Canada Dollar
Brazil Real
Mexico Peso
India Rupee

Antigua & Barbuda
Aruba
Barbados
Cayman Islands
Cuba
Curacao
Dominica

Grenada
Haiti
Jamaica
Saint Kitts and Nevis
Saint Lucia
Saint Vincent and the Grenadines

Belize
Costa Rica
El Salvador
Honduras
Nicaragua
Panama

Bahamas
Bermuda
Mexico

Argentina
Brazil
Chile
Guyana
Paraguay
Peru
Uruguay

What's New at LAHT?
Follow Us On Facebook
Follow Us On Twitter
Most Viewed on the Web
Popular on Twitter
Receive Our Daily Headlines


  HOME | Venezuela (Click here for more Venezuela news)

TalCual: New Economic Measures by Venezuela’s Maduro Only Benefit Importers, 'Bachaqueros'
Persisting in some economic "policies" that only result in inflation and shortages is not just a coincidence. Some people close to Nicolás Maduro are benefiting from the price freeze

By TalCual

The economic measures announced by Nicolás Maduro on Thursday night are only aimed at favoring the different mafia organizations controlling various "business" being conducted in Venezuela. One of them are food importers and the other the so-called "bachaqueros," or resellers of foodstuff and other consumer staples at higher prices than those regulated by the Government or previously sold by retailers. Both of them were conceived under the "socialism of the 21st century."

Controlling prices is the same recipe they have been using for years without any positive results, because Venezuela’s "socialist" inflation is the highest in the world. It stood at 33.7% in August of this year alone, according to data collected by the Finance Committee of the Parliament (aka National Assembly).

Price controls have resulted in shortages. Such shortages are due to the fact that domestic producers have decided to go out of business for not being cost-effective. Those still in business are struggling to survive trying to meet domestic demand, since they cannot make new investments. This increases the dependency on imports of what the country needs, while shortages is the best way to foster "bachaqueo" activities.

At first we thought that Maduro took such measures because of his ideological formation, but now we are convinced that he did to favor the mafias that are helping him cling to power and who profit from this kind of business. That is the explanation in light of the evidence that his economic "policies" only result in shortages and inflation. Persisting in this error is no coincidence.

 

Enter your email address to subscribe to free headlines (and great cartoons so every email has a happy ending!) from the Latin American Herald Tribune:

 

Copyright Latin American Herald Tribune - 2005-2015 © All rights reserved