Posted on 09/13/2010 7:49:03 PM PDT by neverdem
Venezuela goes to the polls on Sept. 26 in a parliamentary election that opponents of President Hugo Chavez see as “a chance to turn the tide,” as Reuters news service puts it. Chavez may be taking on more authoritarian powers, but he also has to defend what the latest data show is the worst economy in the world. And you thought the Democrats had problems!
The Economist magazine provides statistics weekly on 57 nations, from the United States to Estonia. Its most recent report forecasts that gross domestic product in Venezuela will decline by 5.5 percent in 2010. Next worst is Greece, with a 3.9 percent decline. Greece, of course, came close to defaulting on its debt earlier this year, and analysts at Morgan Stanley worry that Venezuela is moving in the same direction.
“Our new baseline of at least three years of economic contraction suggests the risks to Venezuela’s ability to honor its international financial commitments may be on the rise,” wrote Daniel Volberg and Giuliana Pardelli in a June report, at the same time predicting that GDP will fall by 6.2 percent in 2010. “While most of Latin America, in line with the globe, has been in recovery mode since last year, Venezuela has seen an intensifying downturn in activity,” they added.
So that’s GDP, the single best measure of economic health. When it comes to inflation, no one is close to Venezuela. Consumer prices are already up 31 percent for 2010 and are expected to rise more by year-end. Only two of the remaining 56 nations monitored by the Economist are suffering double-digit inflation: India and Egypt, both with 11 percent price increases.
Venezuela’s stagflation is all the more remarkable because, as the No. 8 oil-producing nation in the world, the country should be benefiting handsomely from...
(Excerpt) Read more at commentarymagazine.com ...
They only report on 57 nations - probably all countries that in recent times have had functional economies. The point seems to be that both Greece and Venezuela are close to dropping off that list. Greece has the rest of Europe to come to the rescue, Venezuela doesn’t.
I guess they meant worst performing economy. -5.5%GDP
Operación Valkiria
We’re heading toward 1775 with a little 1861 on top.
Hardly mystifying.
"If Communism took over the Sahara desert, what would happen? For ten years, nothing; then there would be a shortage of sand." --old Soviet joke.
You mean millions of poor imbeciles have suddenly been enfranchised and promised by a marxist that wealth from the productive class will be redistributed to them in exchange for their votes?.
Yes, its very similar.
Unfortunately for Venezuela, and unlike America, the poor vastly outnumber the productive class.
The ratio of imbeciles, however, is the same.
Yes, I cannot understand why 36% of the people still support him. Are there that many morons there, or are those numbers cooked?
Socialism: Tying a rope with a noose to a strong tree branch, putting it around your neck, and beginning to dig a deep hole under your feet. After having watched ten thousand other fools kill themselves doing exactly the same thing.
It’ll work this time!
But according to our Federal Reserve, inflation is caused by economic growth. How can there be double digit inflation when the GDP is declining?
(The fact is there is no evidence for what the Federal Reserve claims.)
That is the point. Once banks start lending and economic growth takes off, watch out for hyper inflation!
I was in Venezuela for a couple of weeks earlier this summer. It was sad to see. A number of friends told me that it was a good place to work when they were there in the early 2000’s. Unfortunately that was not my experience. Definitely a nation in decline.
Even in our downward trend here in the U.S. we have a long way to go to get to their condition, but I fear that the fall of our current system will be sudden and uncontrollable.
Uncontrollable by the government that is. As Americans we will fight for our freedom and our rights and rebuild what we have lost.
God bless the USA!
Is there any historic evidence for that? The 1920's hyperinflation in Germany was associated with a large loss in production capacity, among other things.
Why can’t we hear about this in cuba? It’s time for tariffs on nations that do business with the likes of cuba and venezuela.
Every morning I when I wake up.
And I still think "HOLY CRAP!" every time she walks by after 16 years. :D
I was in an African hotel watching CNN when Saddam won the election with 100% of the vote. It sticks in my memory because the talking head announced it with such a straight face. My co-worker and I turned to each other and LOL.
I think even some of our media wanted to believe it
If I get a chance to bet, I’m betting that Chavez, that pig, will “win.”
Any Praetorian Guard want to become the liberator of Venezuela?
Is Hugo fidling yet?
Chavez controls the military and the urban poor. Would he acknowledge an unfavorable vote? Likely not.
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