The worrying situation in Venezuela!

[Janic]

interesting report, but to analyze with caution. The Chavez period was linked to the barrel of oil at 120 dollars and therefore its economy. The fall to 50% could only provoke such a crisis. France has suffered a major crisis, too, upsetting our economy regardless of policies and from which we only perceive the exit from the tunnel gradually, always regardless of policies.

[Ahmed]

A long time ago,Raymond Barre already saw, he declared, the end of the tunnel ...

[Christophe]

interesting report, but to analyze with caution. The Chavez period was linked to the barrel of oil at 120 dollars and therefore its economy. The fall to 50% could only provoke such a crisis.

I do not think that the drop in crude oil is the explanation: the situation is worse today than before Venezuela became a big exporter of oil ... it is still the first world reserve!

So 50% of 120 is always better than 100% of 0 ...

It would be necessary to find the curve of evolution of exports in $ ...

[sen-no-sen]

I do not think that the drop in crude oil is the explanation: the situation is worse today than before Venezuela became a big exporter of oil ... it is still the first world reserve!

So 50% of 120 is always better than 100% of 0 ...

It would be necessary to find the curve of evolution of exports in $ ...

The principle is the same in Venezuela, Iran and in another form in Saudi Arabia, the fall in the price of crude oil, that is to say their main income leads to a sharp rise in the products of daily life.
If the situation is worse these days than before its countries became exporters, it is quite simply because of the adaptation of the economy to this monopolizing source. It looks like a kind of abrupt withdrawal to which the socio-economic system economic is not suitable.
In Iran, for example, the price of gas and electricity increased by 25% in a few weeks and the price of oil by 75% !!! Imagine the same situation in France!
Note that the slightest event can serve as a nucleus of condensation for violent demonstrations, such as the H5N8 virus which hit chicken farms in Iran resulting in a 50% increase in egg prices ...
If to this we add corruption and inequality, then we have all the ingredients for social breakdown ...

[sen-no-sen]

Argentina secures $ 50 billion loan

Argentina and the International Monetary Fund (IMF) reached an agreement on Thursday for a three-year financing program to try to avoid another financial crisis.

To consolidate its fragile economy, Argentina turned to the International Monetary Fund (IMF), which granted it a loan of $ 50 billion, in exchange for which it undertook major reforms to limit spending on the State. "We appealed to the IMF as a precaution, to avoid a crisis," said Argentine Minister of Economy Nicolas Dujovne on Thursday June 7 at a press conference in Buenos Aires. “We are engaged in building a normal country. It is a support for our program, with the objective that the economy will grow, that inflation and poverty will decrease, ”continued the Argentine Minister.

Argentina's situation is not catastrophic, but the South American country needs to strengthen its reserves, stabilize the foreign exchange market and create a better economic climate to attract investment. Annual inflation has exceeded 20% for 10 years.

Argentine center-right President Mauricio Macri had asked for IMF assistance and his economy minister had started talks with the Fund on May 8.

https://www.lemonde.fr/ameriques/article/2018/06/08/l-argentine-obtient-un-pret-de-50-milliards-de-dollars_5311421_3222.html

The situation in Argentina is not the best either!

[Ahmed]

A budget extension in exchange for "structural adjustments" is the classic neoliberal cocktail of the IMF, with the consequences that we know ...

[Christophe]

This is what finance is capable of:

[moinsdewatt]

This is what finance is capable of:

You distort what the video says.

It is due to the calamitous management of Chavez then Maduro.

[Christophe]

Do you see me now?

Who creates money if not the banks?

[Ahmed]

Do you see me now?

It's an innocent mania for Moinsdewatt...

Whatever judgment one may make on Chavez, it must be recognized that an economy which is based on a rent that is particularly subject to large-scale external speculative variations is almost impossible to manage and, when the windfall effect was in full swing, it had no other alternative than to reserve the gains for the local oligarchy or to play the card of what some have called "populism" (reality is undoubtedly a bit of a mix of the two, but the populations have benefited much more than what is is generally observed).