How Socialism Ruined Venezuela

The comments above & below is an edited and abridged synopsis of an article by Rafael Acevedo & Luis B. Cirocco

In order to understand the disaster that is unfolding in Venezuela, we must look at the most recent century of the country’s history and how its institutions have changed over time.

Merida, Venezuela – April 29, 2015: Group of people waiting in line at a public supermarket doors in Merida. With significant inflation, rationing is required in some places in Venezuela in 2015.

Venezuela once enjoyed relatively high levels of economic freedom, although this occurred under dictatorial regimes. But when it finally embraced democracy, economic freedom died in a gradual process. It happened at the expense of the welfare of millions of people. Socialism never works, no matter what anyone says.

It was common during the years of Hugo Chávez to hear pundits and economists saying that this time, socialism was being done right. This time, the Venezuelans figured it out. They were wrong.

There was a time when Venezuela was prosperous and wealthy, and it was referred to as an economic miracle.

However, during those years, out of 5 presidents, 4 were dictators and army generals. Civil and political rights were restricted. There was no freedom of the press. However, under a dictatorship, there was at least a high level of economic freedom.

Up for discussion: A brief history of Venezuela; moving toward more interventionism; the rise of Hugo Chávez; and a legacy of poverty.