Posted on 12/17/2018 3:35:34 PM PST by detective
In an article about Venezuela soaring past the million-percent inflation rate (usually, when you get to about 1,000 percent, or 70,000 percent, you pretty well know you have a problem), longtime Chavista apologist and leftwing economist Mark Weisbrot has called on the regime to adopt what's generally known as a currency board. Here's the quote:
Nevertheless, Venezuela could still get rid of hyperinflation by trying to establish an exchange-rate-based stabilization program (ERBS), meaning that the bolivar is fixed to the U.S. dollar at a sustainable exchange rate, according to Washington, D.C.-based Center for Economic and Policy Research Co-Director Mark Weisbrot.
"There are different ways to accomplish ERBS. The most extreme method would be dollarization, to adopt the dollar as Venezuela's currency," Weisbrot added in an essay sent to Newsweek. "The problem with this method is that once the dollar is adopted as the national currency, it becomes politically extremely difficult to get rid of. And if a country does not have its own currency, it gives up its control of most monetary policy as well as exchange rate policy."
(Excerpt) Read more at americanthinker.com ...
El Salvador and Panama use the US dollar as national currency.
It make them attractive to American expats.
They better call Sean Penn and let him know about this.
What is using the dollar would do, is remove the governments ability to pay people with worthless paper. The same effect could be had by stopping the presses .
But then the government would not be paying the thugs who keep it in power, and would collapse in a week.
The thing about dictators like they have elected in Venezuela is, they don’t really like people.
You have to take care of people or they rise up and kill you.
To prevent that, you scare them and starve them.
Maduro only needs enough people to cut his lawn.
The Cubans are already killing for him.
No, these policies did not cause the problem. They are however quite beside the point given the impossible situation and the actual causes of the problem.
Its advice to take aspirin for a case of terminal cancer.
That’s why several countries have ceded control over their economy to the Fed.
For a while there, also Argentina.
But its not a solution to the real problems.
It’s funny that right above Hugo’s head is a “I need to get the hell out of here NOW” sign...
A report a week or so ago said they aren’t even cleaning up bodies off the streets anymore. They just die of starvation and rot in place. There’s something almost Ukranian going on down there.
A currency-based economy left years ago. This guy needs to think about converting a barter economy into a currency-based one.
Oh, and repatriating the billions Chavez and Maduro have stashed around the world.
Give a Venezuelan a fish and you feed him for a day.
Give a Venezuelan an automatic rifle and he can get rid of his country’s problems.
Watch this video, it shows how bad it got and then goes on to blame Populism.
ABC News Australia Goes Undercover in Venezuela
At the 26:00 mark, they have some stupid woman saying that the trouble is due to Maduro and Populism and that Trump is doing the same in America. WTF???
Nothing about Socialism and that this is what Bernie Sanders would do to our country economically, not Trump at all!
So does Ecuador.
If I am not mistaken,voted for what they have now. To wit: They voted for Hugo Chevez and he gave it to them.
There is a solution - get rid of the communist government in Venezuela.
Yep.
They voted for him twice.
There’s nothing I enjoy more than watching Socialists/communists run for their lives.
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