I read an news update on the current situation on Venezuela and it was shocking to realise how things have changed in a span of just 15 years. how can a country ruin its economy so much so fast? To put things in perspective the the people are applying for passports to go somewhere else, but unfortunately most will have to wait over 8 months as the government ran out of plastic to laminate passports.
So what were among the key causes for this fast change of things?
- Government plundering the state oil company which accounts of most of venuzuela’s export revenue.
- Increase in Prices of basic goods – leading to shortages and corruption.
- expropriation of private industry
- Controls on foreign exchange
- excessive public spending