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Re: Venezuela nears total collapse #159353
06/22/2016 06:57 PM
06/22/2016 06:57 PM
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Governments can run school lunches, prison and jail chow, and military chow. How they can't seem to run some public feeding centers out there like the Romans did, is beyond reprehensible.

If you can't or won't feed the people in your household, then by default, it's no longer your household.


Life liberty, and the pursuit of those who threaten them.

Trump: not the president America needs, but the president America deserves.
Re: Venezuela nears total collapse #159354
06/23/2016 06:58 PM
06/23/2016 06:58 PM
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Quote
Originally posted by ConSigCor:

The New York Times

By NICHOLAS CASEY

It has not always been clear what provokes the riots. Is it hunger alone? Or is it some larger anger that has built up in a country that has crumbled?

Was that a serious question? What color are the trees on Mr. Casey's planet?

Hungry, hopeless people are the most dangerous animals on the planet.

Just wait till the EBTs quit working for good. It'll make Venezuela look like a kindergarten egg hunt.

Re: Venezuela nears total collapse #159355
06/24/2016 03:20 AM
06/24/2016 03:20 AM
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Two good quotes here that I agree with.
If you can't or won't feed the people in your household, then by default, it's no longer your household.

Just wait till the EBTs quit working for good. It'll make Venezuela look like a kindergarten egg hunt.

Considering the free fall of oil after Brexit, Venezuela will not be able to recoup from its leadership blunders any time soon.


Well, this is it.
Re: Venezuela nears total collapse #159356
07/27/2016 11:59 AM
07/27/2016 11:59 AM
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That socialist paradise just keeps getting better. Now Maduro wants to ban opposing political parties, because of "fraud" in the recall vote.

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The Venezuelan government asked electoral authorities Tuesday to ban the opposition coalition seeking to oust President Nicolas Maduro in a recall vote, accusing them of massive fraud.

Ratcheting up the tension in a country pushed to the brink of collapse by an economic crisis, Maduro's camp hit back with a vengeance on the same day the opposition was hoping to get a green light to go ahead with its bid to hold a recall referendum.

"We have just asked for the cancellation of the registration of the Democratic Unity Roundtable (MUD), for being involved in the worst vote fraud in the country's history," said Jorge Rodriguez, Maduro's designated aide to monitor the recall process.

He accused the opposition of including the names of thousands of dead people, convicts and minors in a petition submitted in May with 1.8 million signatures requesting a recall vote.

The opposition has denied such charges, accusing the authorities of stalling....
Onward and upward,
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Re: Venezuela nears total collapse #159357
07/30/2016 01:41 AM
07/30/2016 01:41 AM
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From Socialist Utopia To Slave-Nation - Venezuela Unveils Shocking "Forced Labor" Law

by Tyler Durden
Jul 29, 2016

While we here in the United States debate pressing issues in the wake of the upcoming Presidential election, like the urgent need for gender-neutral bathrooms, the people of Venezuela remain entrenched in a food crisis that continues to sow widespread unrest which has become increasingly violent in recent months (see our post here). So what do you do if you’re the President of a Socialist government with mounting civil unrest and growing political opposition seeking your ouster via a recall referendum? Well you enslave your entire nation, of course.

As Vice News reports, President Nicolás Maduro signed a new law last week that requires "all workers from the public and private sector with enough physical capabilities and technical know-how" to work in agricultural fields on demand. The new law mandates that citizens can be required to work in the agricultural sector for a period of 60 days which can be extended "if the circumstances require it."

While we’re “sure” President Maduro’s intentions are good, we’re somewhat skeptical of his plan. As we recently reported (here), the real issue at hand in Venezuela is, of course, the hyperinflation death spiral gripping the Socialist nation in the wake of the collapse of their oil-dependent economy. As Miguel Pérez Abad, minister of industry and business, recently told Reuters the decline in domestic production is being exacerbated by plummeting imports which are likely to fall by 60 percent this year, compared to 2015. As a local baker pointed out, "We cannot make more subsidized bread with the current cost of flour. We always end up losing, but we cannot afford to stop making bread either."

Per the FT, local merchants are being forced by an increasingly oppressive military to sell groceries at a loss to avoid civil unrest:

“They went into all the shops in the area, forcing us to sell at a loss,” says Daniel, not his real name, of the incident earlier this month. The army men demanded that Daniel sell his beef at 250 bolívares (roughly $0.25 at black market rates) a kilo, even though he explained it cost 3,000 bolívars to buy from his suppliers.



“They told me the beef belonged to the people and stayed seven hours as a huge queue formed outside.”

Not wanting to be outdone by his U.S. counterparts who masterfully utilize complicit media outlets to control news cycles at their will (see our recent post here), President Maduro has repeatedly taken to the airwaves to blame the food shortages in Venezuela on an "economic war" waged by right-wing businesses, and supported by US imperialism, who seek to bring down his Socialist regime. Just last month, Maduro declared a 60-day state of emergency based on his fears that the U.S. was plotting a coup attempt. Per Vice News:

He alleges that business owners are sabotaging the economy in an effort to force him out. Maduro accuses them of wanting to bury the socialist legacy of his popular predecessor, President Hugo Chávez, who created a solid base of support among the poor thanks to oil-subsidized social programs and price-controlled food.

Meanwhile, Antonio Pestana, chief of Venezuela's farming association, indicated that Venezuela’s food crisis was a simple issue related to the underutilization of available ag land, telling reporters last month that only 25 percent of agricultural land is actually being farmed in Venezuela. While we don’t doubt Mr. Pestana’s figures, we’re not sure how enslaving a nation of people helps to alleviate Venezuela’s food crisis. Without the ability to import critically important irrigation equipment and fertilizer supplies, due to a useless currency, we’re not sure what use additional ag labor will be. We’ve heard that singing to plants can help improve yields, perhaps that is the plan?


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159358
07/30/2016 10:07 AM
07/30/2016 10:07 AM
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Yeah well, if they want to eat then they should work, and rioting might be hard work, but it's not work.


Life liberty, and the pursuit of those who threaten them.

Trump: not the president America needs, but the president America deserves.
Re: Venezuela nears total collapse #159359
08/21/2016 04:16 AM
08/21/2016 04:16 AM
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President Maduro has doubled the minimum wage for Venezuela. At the official exchange rate (which no one will pay), that makes the minimum Venezuelan hourly wage and food bonus equal to $66.06.

Yeah, that should solve the problem. :rolleyes:

Onward and upward,
airforce

Re: Venezuela nears total collapse #159360
08/22/2016 08:44 AM
08/22/2016 08:44 AM
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President Maduro has found a way to put an end to lines extending outside bakeries. He\'s going to ban lines that extend outside bakeries.

Yes, you read that right. He's going to fine bakeries that allow lines to extend outside their doors, because those lines induce "anxiety" among the people.

Um, no, El Presidente. It's the lack of bread that spreads anxiety among the people.

Onward and upward,
airforce

Re: Venezuela nears total collapse #159361
08/23/2016 12:49 PM
08/23/2016 12:49 PM
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Well heck, why doesn't he just ban poverty and inflation?

Magical thinking seems to be a common thing with his type,

Re: Venezuela nears total collapse #159362
08/25/2016 07:19 AM
08/25/2016 07:19 AM
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Is doomsday inevitable for Venezuela? At this point, I'd say yes.

Quote
... The problems could grow worse. Several oil service companies suspended or slowed operations in Venezuela this year due to difficulties in obtaining payment from the state-run oil company, Petróleos de Venezuela (PDVSA). Contractors have cut back on drilling in Venezuela amid rising unpaid debt, which threatens to take Venezuela’s output down even further.

On June 28th 2016, Baker Hughes reported that the number of oil rigs in Venezuela dropped from 69 to 59 in May of this year. The CEO of the Italian oil and gas contractor Saipem SpA said that in April the company had suspended 89 percent of its operation rigs in Venezuela (25 of its 28 rigs). Other companies as Schlumberger or Halliburton Co are reducing their activities in Venezuela because of unpaid services bills. Venezuela’s active rig count, a good indication of future production, fell from 71 to 49 in July according to Baker Hughes, the lowest since the end of 2011....
As Robert A. Heinlein would say, this is what is known as "bad luck."

Onward and upward,
airforce

Re: Venezuela nears total collapse #159363
08/31/2016 07:51 AM
08/31/2016 07:51 AM
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Is Venezuela seeking closer ties with Iran? It looks like it, but I'm personally not real concerned. If Iran wants to sink money into the black hole that is Venezuela, that's their business.

Quote
Venezuela’s President Nicolas Maduro made room in his high-pressure agenda to receive Iran’s foreign minister over the weekend, and he made sure the meeting was broadcast on national TV.

Maduro gave Mohammad Javad Zarif a warm welcome in the Presidential Palace of Miraflores. They shook hands as they announced an alliance to stabilize oil prices.

“We continue to build common ground and a new consensus on stabilizing oil markets, strengthening industries, strengthening OPEC, to strengthen the closeness and alliance with the production countries of OPEC,” said Maduro as he greeted Zarif, the highest-ranking Iranian official that has visited Venezuela since 2013.

Political analysts here say the encounter was a political show aimed in part at irritating the United States, repeatedly pointed at by the socialist government as conspirator to overturn the regime. A partnership between the two countries is sure to infuriate Washington because it shows Iran’s influence in Latin America, the U.S.’ neighbor, is growing....

Others downplayed the visit.

“The political air has changed in Latin America and the Bolivarian influence is fading quickly. Countries like Argentina, Brasil and Paraguay are no longer part of that alliance,” said Milos Alcalay, former Venezuelan ambassador to the UN, to FNL.

The diplomat said Maduro’s statements on Saturday are more part of a political show than a real game changer for Venezuela.

“All the companies built between Venezuela and Iran in the past have been a complete failure and that will not change in the future. Now both countries are facing crises of their own and Teheran doesn’t really have resources to help Venezuela’s economy,” the former ambassador told FNL....
Onward and upward,
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Re: Venezuela nears total collapse #159364
01/10/2017 09:08 AM
01/10/2017 09:08 AM
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President Maduro is increasing the minimum wage by 50%. This is kind of like treating cancer with cigarettes.

Onward and upward,
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Re: Venezuela nears total collapse #159365
01/10/2017 04:42 PM
01/10/2017 04:42 PM
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50% increase in minimum wage... There, that aught to fix it their ailing economy....


"Government at its best is a necessary evil, and at it�s worst, an intolerable one."
 Thomas Paine (from "Common Sense" 1776)
Re: Venezuela nears total collapse #159366
04/22/2017 07:30 AM
04/22/2017 07:30 AM
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Why are people protesting in Venezuela? According to Rachel Maddow at MSNBC, it\'s because of donations the government made to the trump campaign .

Seriously.

Quote
...This week, vast throngs of Venezuelans have gone to the streets to protest the dictatorial government that led the country into a humanitarian crisis, including shortages of medicine and food.

The opposition coalition that is calling the protests, the Democratic Unity Roundtable (MUD), also repeatedly tweeted saying the protests are against the dictatorial socialist government.

Yet on Thursday, Maddow said on her show that the reason people are coming out to the streets was a new report showing that Venezuela’s government donated $500,000 to the Trump campaign.

The records show that Citgo Petroleum, a US-based subsidiary of a major state-owned Venezuelan oil company PVDSA, donated half a million dollars to Trump’s inauguration ceremony fund.

The footage from Venezuela was captioned as “Unrest in Venezuela Over Trump Donations” during the segment on MSNBC about the country and its donations to Trump’s campaign. Maddow, a Rhodes Scholar, said “Venezuela is a country in intense turmoil right now.”...
Um, no, Rachel. They're protesting because they don't have enough to eat. But you can bet they're dear leader, socialist Nicolas Maduro, isn't missing any meals.

See it for yourself here. You can't make this stuff up.

Onward and upward,
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Re: Venezuela nears total collapse #159367
04/22/2017 12:31 PM
04/22/2017 12:31 PM
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Venezuela was once touted as an example of a progressive, prosperous South American country.

It's collapse should serve as a lesson to all.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159368
04/23/2017 05:23 AM
04/23/2017 05:23 AM
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Socialist death squads are propping up Maduro. That's not the headline for the New York Times story, of course. In fact, the words "socialism" or "socialists" never appear in it.

Quote
The bikers thundered up in a phalanx of red jackets and dark clothes, some with faces covered, revving motorcycles before a thousand protesters in Caracas. They threw tear gas canisters to disperse the crowd. Then, witnesses say, they pulled pistols and fired.

Someone fell. Carlos Moreno, 17, lay sprawled on the ground, a pool of blood around his head.

“His brain matter was coming out,” recalled Carlos Julio Rojas, a community leader who witnessed the fatal shooting in Venezuela’s capital on Wednesday.

The uniformed men who shot Mr. Moreno were not government security forces, witnesses say. Rather, they were members of armed bands who have become key enforcers for President Nicolás Maduro as he attempts to crush a growing protest movement against his rule.

The groups, called collectives or colectivos in Spanish, originated as pro-government community organizations that have long been a part of the landscape of leftist Venezuelan politics. Civilians with police training, colectivo members are armed by the government, say experts who have studied them.

Colectivos control vast territory across Venezuela, financed in some cases by extortion, black-market food and parts of the drug trade as the government turns a blind eye in exchange for loyalty.

Now they appear to be playing a key role in repressing dissent....
When we hear those antifa groups talk about arming themselves, maybe we should start paying attention.

Onward and upward,
airforce

Re: Venezuela nears total collapse #159369
05/15/2017 08:05 AM
05/15/2017 08:05 AM
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The Venezuela opposition wants the military on their side. I'm not a big fan of military juntas, but anything would be better than what they have now.

Quote
Venezuela's opposition Sunday urged the armed forces to consider dialogue, despite its loyalty to embattled President Nicolas Maduro in the country's deadly political crisis.

"I am appealing to Defense Minister Vladimir Padrino Lopez to open the doors of a sincere debate in the armed forces," said Julio Borges, the speaker of the National Assembly, the only opposition-led government body.


Opposition leaders believe Maduro and some of his supporters met this week with Padrino Lopez to rally support for his plan to convene a constituent assembly to rewrite the constitution.

"If (key supporters and) Maduro have the right to give a partisan argument to the military on the chaos Venezuela is going through, we ought to have that right as well," Borges argued.

Elected in 2013, Maduro, the handpicked successor of the late long-time leftist firebrand Hugo Chavez, is resisting pressure for an early vote, calling the crisis the result of a US-backed conspiracy. His opponents have branded him a dictator.

Protesters also oppose his plans to elect an assembly -- and do it sidestepping the country's political parties -- to overhaul the constitution, dismissing it as a way to put off elections.

Increasingly violent near-daily protests that began April 1 have left a toll of 38 dead, and hundreds wounded and under arrest.

Dozens of mothers dressed in black were out on Caracas's streets Sunday to mark a Mother's Day of protest, hours after violent unrest in the towns of Caja Seca and Pueblo Llano.
Onward and upward,
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Re: Venezuela nears total collapse #159370
05/17/2017 09:38 AM
05/17/2017 09:38 AM
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Maduro says he and his cronies are like the Jews under Hitler. Um, no.

You can't make this stuff up.

Quote
The Venezuelan president, Nicolás Maduro, has likened the harassment of government officials and their families outside of Venezuela to the treatment of Jews under the Nazis.
Does toppling of Chávez statue mean Venezuela has reached a breaking point?
Read more

Maduro also said in comments to a televised cabinet meeting late on Tuesday that planned opposition rallies in Caracas on Wednesday evening were reminiscent of rallies during the rise of Nazism and fascism in pre-second world war Europe.

Venezuelans living abroad, many of whom have fled the country’s economic chaos, have in recent weeks accosted visiting state officials and their family members.

“We are the new Jews of the 21st century that Hitler pursued,” Maduro said during the cabinet meeting. “We don’t carry the yellow star of David ... we carry red hearts that are filled with desire to fight for human dignity. And we are going to defeat them, these 21st-century Nazis.”


The German Nazis and their collaborators persecuted and killed six million Jews in the Holocaust during the 1930s and 1940s....
Onward and upward,
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Re: Venezuela nears total collapse #159371
05/20/2017 10:24 AM
05/20/2017 10:24 AM
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Why the Left refuses to talk about Venezuela. A new article at the Mises Institute.

Quote
During the 2016 presidential election, Bernie Sanders refused to answer questions about Venezuela during an interview with Univision. He claimed to not want to talk about it because he's "focused on my campaign." Many suggested a more plausible reason: Venezuela's present economy is an example of what happens when a state implements Bernie Sanders-style social democracy.

Similarly, Pope Francis — who has taken the time to denounce pro-market ideologies for allegedly driving millions into poverty — seems uninterested in talking about the untrammeled impoverishment of Venezuela in recent years. Samuel Gregg writes in yesterday's Catholic World Report :

Quote
Pope Francis isn’t known as someone who holds back in the face of what he regards as gross injustices. On issues like refugees, immigration, poverty and the environment, Francis speaks forcibly and uses vivid language in doing so.

Yet despite the daily violence being inflicted on protestors in Venezuela, a steadily increasing death-toll, an explosion of crime, rampant corruption, galloping inflation, the naked politicization of the judiciary, and the disappearance of basic food and medical supplies, the first Latin American pope’s comments about the crisis tearing apart an overwhelming Catholic Latin American country have been curiously restrained.
This virtual silence comes in spite of the fact that the Catholic bishops who actually live in Venezuela have denounced the regime as yet another illustration of the "utter failure" of "socialism in every country in which this regime has been installed."

Thus, for many Venezuelans, the question is: "Where is Pope Francis?"

As with Sanders, it may very well be that Francis has nothing to say about Venezuela precisely because the Venezuelan regime has pursued exactly the sorts of policies favored by Bernie Sanders, Pope Francis, and the usual opponents of market economics.

It's an economic program marked by price controls, government expropriation of private property, an enormous welfare state, central planning, and endless rhetoric about equality, poverty relief, and fighting the so-called "neoliberals."

And, as Venezuelan president Nicolas Maduro has helpfully explained, "There are two models, the neoliberal model which destroys everything, and the Chavista model which is centered around people.”

The Chavista model is simply a mixture of social democracy and environmentalism which is easily recognizable as the Venezuelan version of the hard-left ideology espoused by a great many global political elites both in the United States and Europe. Neoliberalism, on the other hand — as I've noted before — is a vague term that most of the time really just means a system of relatively free markets and moderate laissez-faire.

Indeed, no other regimes in the world, save Cuba and North Korea, have been as explicit in fighting the alleged menace that is neoliberalism.

For this reason, as Venezuela descends into chaos, we are hearing a deafening silence from most of the left, as even some principled leftists have noticed.

In an article at Counterpunch, for example, Pedro Lange-Churion points out:

Quote
Venezuela was news while it was good news and while Chávez could be used as a banner for the left and his antics provided comic relief. But as soon as the country began to spiral towards ruination and Chavismo began to resemble another Latin American authoritarian regime, better to turn a blind eye.
Nevertheless, as a dedicated leftist, Lange-Chrion unfortunately still mistakenly thinks that the Venezuelan problem is political and not economic. For him, it's merely an unfortunate coincidence that the implementation of the Chavismo economic agenda just happened to coincide with the destruction of the nation's political and economic institutions.

But here's the thing: it's not a coincidence.

In fact, it's a textbook case of a country electing a leftwing populist who undoes years of pro-market reforms, and ends up destroying the economy.


This has been going on for decades in Latin America where, as explained by Rudiger Dornbusch and Sebastián Edwards, the cycle repeats itself again and again.

It's happened in Argentina and in Brazil most recently, and it goes something like this: first, a relatively neoliberal regime comes to power, moderately reduces government spending, somewhat restrains government power, and ushers in a period of growth. But, even with growth, middle-income countries like those of Latin America remain poor compared to the rich countries of the world, and large inequalities remain. Then, populist social democrats convince the voters that if only the regime would redistribute more wealth, punish greedy capitalists, and regulate markets to make them more "humane," then everyone would get richer even faster. And even better, the evil capitalists would be punished for exploiting the poor. Eventually, the economy collapses under the weight of the new social democratic regime, and a neoliberal regime is again elected to clean up the mess.

Venezuela is in the midst of this cycle right now. After decades of relatively restrained government intervention, Venezuela became one of the wealthiest nations in Latin America. During the most recent twenty years, though, the Chavistas were able to take that wealth and redistristribute it, regulate it, and expropriate it for the sake of "equality" and undermining capitalist evil. But, you can only redistribute, tax, regulate, and expropriate so much before the productive classes give up and the wealth runs out.

To the leftwing mind, the explosion of poverty that results can't possibly be the result of bad economic policy. After all, the Chavismo regime got everything it wanted. It redistributed wealth at will. It "guaranteed" a living wage, health care, and plentiful food to everyone. "Equality" was imposed by fiat over the cries of the "neoliberal" opposition.

The only possible answer, the left assumes, must be sabotage by capitalists or — as the Pope reminds us — too much "individualism."


The problem the global left has in this case, though, is that this narrative simply isn't plausible. Does Colombia have fewer capitalists and individualists than Venezeuala? It almost certainly has more. So why do Venezuelans wait hours in line to cross the Colombian border to buy basic food items not available in the social-democratic paradise of Venezuela? Has Chile renounced neoliberal-style trade and markets? Obviously not. So why has Chile's economy grown by 150 percent over the past 25 years while Venezuela's economy has gotten smaller?

The response consists largely of silence.


This isn't to say that what the left calls call "neoliberal" is without its faults. Some aspects of neoliberalism — such as free trade and relatively free markets — are the reason that global poverty and child mortality are falling, while literacy and sanitation are rising.

Other aspects of neoliberalism are odious, particularly in the areas of central banking and crony capitalism. But the free-market answer to this was already long-ago voiced by Ludwig von Mises, who, in his own fight against the neoliberals, advocated for consistent laissez-faire, sound money, and far greater freedom in international trade.

For an illustration of the left's answer to neo-liberalism, however, we need look no further than Venezuela where people are literally starving and will wait hours in line to buy a roll of toilet paper.

And if this is what the the left's victory against neoliberalism looks like, it's not surprising the left seems to have little to say.
Onward and upward,
airforce

Re: Venezuela nears total collapse #159372
05/20/2017 11:24 AM
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Very good link there...

The leftist always say that we can't compare soviet communism to "democratic socialism" because the soviet version was "authoritarian and undemocratic"...

But Venezuela is the perfect counter to their failed argument.

Socialism simply has not ever worked, nor can it ever work, due to the inherent flaw that it denies human nature and every law of economics.


"Government at its best is a necessary evil, and at it�s worst, an intolerable one."
 Thomas Paine (from "Common Sense" 1776)
Re: Venezuela nears total collapse #159373
05/22/2017 01:21 AM
05/22/2017 01:21 AM
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Silly Americans mock Venezuela’s 99.5% currency collapse, thinking it can’t happen here

by: JD Heyes

(Natural News) Yet another real-life attempt at creating a successful Marxist government is going down in flames — this time in Venezuela — harming millions of people in the process even as the far-Left government of President Nicolas Maduro doubles, triples and quadruples down on the same failed fiscal policies.

To say that the country is an economic basket case is a gross understatement. Inflation can only be described as runaway; the country’s currency isn’t even worth the paper it is printed on; few can afford even basic foodstuffs and supplies and the government is broke. Store shelves are empty; there is fighting in the streets; the murder rate is soaring, and the army has to guard shipments of goods.

As reported by Zero Hedge, the anger has gotten so bad over conditions in what used to be South America’s economic behemoth, demonstrators are resorting to throwing “bombs” full of feces at government forces, as the currency (the bolivar) collapses again by 99.5 percent — 5,100 bolivars to every $1.

The monetary depreciation and inflation are so extreme that most peoples’ savings have been obliterated. It’s all but impossible to buy imported goods — and domestic production of goods has also fallen dramatically.

Like all good socialists, Maduro — who is essentially a dictator — has arbitrarily raised the minimum wage something like 20 times during his tenure (much like Democrats in the U.S. want to do and have done). But because artificially raising wages without taking into consideration whether businesses can even afford to pay them is a recipe for fiscal disaster, they have done no good and still only amount to about $40 a month. In fact, raising the wages by dictate rather than allowing the free market to determine wages has only made things worse.

Hence the feces bombs, which, as El Pais reports, some have dubbed “Puputov cocktails” on social media. Fast becoming the ‘weapon’ of choice to hurl at government forces, demonstrators launch them with giant slingshots called a “crapapult.”

You can’t make this stuff up.

And yet, they are part of the political reality in Venezuela today: Socialism taken to the extreme is directly responsible for the destruction of this once proud, once prosperous country.

“These kids live in a dictatorship, they have no other option but to protest however they see fit,” Maria Montilla, 49, staged behind the lines of a group of protestors, told El Pais.

“There’s nothing explosive here. It’s out way of saying, ‘Get lost Maduro, you’re useless!’” one protestor, who requested anonymity, added.

Miguel Torres, the one-time spy chief for Maduro’s predecessor, Hugo Chavez, has broken with the current government. He sees major trouble ahead — even civil war — if nothing changes and the already massive protests spread even further to the poorer, generally pro-Chavez countryside.

“What is happening may be the starting point for a huge armed confrontation between Venezuelans,” he told Reuters. “Nobody wants that.”

Unfortunately, far too many Americans living in deep blue states and who were enamored with the presidential candidacy of socialist U.S. Sen. Bernie Sanders, I-Vt., would favor exactly the kind of government that is destroying Venezuela and has left other countries like Cuba, Bolivia, Ecuador and others in desperate poverty.

If that form of government ever takes hold, it would not only be an economic disaster for the world, since the U.S. dollar is the globe’s reserve currency, it would doom generations of Americans to the same hopelessness and endless cycles of poverty and desperation being seen now in Venezuela and other socialist governments.

Anyone who seriously believes that America’s currency would not undergo a catastrophic, deadly collapse under socialist government is no serious student of history. The evidence proving otherwise abounds.

Stay informed at Collapse.news and Rioting.news.

J.D. Heyes is a senior writer for NaturalNews.com and NewsTarget.com, as well as editor of The National Sentinel.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159374
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The Death Cult of Collectivism. An old article, by Ludwig von Mises himself. It's not an easy read, nothing he wrote ever was, but the truth is not always easy.

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The reproach of individualism is commonly leveled against economics on the basis of an alleged irreconcilable conflict between the interests of society and those of the individual.

Classical and subjectivist economics, it is said, give an undue priority to the interests of the individual over those of society and generally contend, in conscious denial of the facts, that a harmony of interests prevails between them. It would be the task of genuine science to show that the whole is superior to the parts and that the individual has to subordinate himself to, and conduct himself for, the benefit of society and to sacrifice his selfish private interests to the common good.

In the eyes of those who hold this point of view society must appear as a means designed by Providence to attain ends that are hidden from us. The individual must bow to the will of Providence and must sacrifice his own interests so that its will may be done. His greatest duty is obedience. He must subordinate himself to the leaders and live just as they command.

But who, one must ask, is to be the leader?
For many want to lead, and, of course, in different directions and toward different goals.

The collectivists, who never cease to pour scorn and derision on the liberal theory of the harmony of interests, pass over in silence the fact that there are various forms of collectivism and that their interests are in irreconcilable conflict. They laud the Middle Ages and its culture of community and solidarity, and with romantic sentimentality they wax ecstatic over the communal associations “in which the individual was included, and in which he was kept warm and protected like fruit in its rind.” But they forget that papacy and empire, for example, opposed each other for hundreds of years and that every individual could find himself at any time in the position of having to choose between them. Were the inhabitants of Milan also “kept warm and protected like fruit in its rind” when they had to hand over their city to Frederick Barbarossa? Are there not various factions fighting today on German soil with bitter anger, each of which claims to represent the only true collectivism?

And do not the Marxian socialists, the national socialists, the church, and many other parties approach every individual with the demand: Join us, for you belong in our ranks, and fight to the death the “false” forms of collectivism?

A collectivist social philosophy that did not designate a definite form of collectivism as true and either treat all others as subordinate to it or condemn them as false would be meaningless and vain. It must always tell the individual: Here you have an unquestionably given goal, because an inner voice has revealed it to me; to it you must sacrifice everything else, yourself above all. Fight to victory or death under the banner of this ideal, and concern yourself with nothing else.

Collectivism, in fact, can be stated in no other way than as partisan dogma in which the commitment to a definite ideal and the condemnation of all others are equally necessary.
Loyola did not preach just any faith, but that of the Church of Rome. Lagarde did not advocate nationalism, but what he regarded as German nationalism. Church, nation, state in abstracto are concepts of nominalistic science. The collectivists idolize only the one true church, only the “great” nation—the “chosen” people who have been entrusted by Providence with a special mission—only the true state; everything else they condemn.

For that reason all collectivist doctrines are harbingers of irreconcilable hatred and war to the death.
Onward and upward,
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Re: Venezuela nears total collapse #159375
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As Venezuela Inches Toward Syria-Style War, U.S. Weapons Are Not the Answer

by Joseph M. Humire23 May 2017

For months the protests in Venezuela have been escalating and, last week, The Miami Herald revealed an audio recording suggesting that military snipers could be used against the Venezuelan protesters.

The implications of such an action would undoubtedly be an escalation of force in an already violent situation. Such lethal force by the military on Venezuelans could provoke the opposition to seek weapons and other arms to defend themselves.

Undoubtedly, they would turn to the U.S. for support. The Trump administration should not listen.

Anyone certain that they know what to do about Venezuela should be ignored. The situation on the ground is much more complex than a simple civil war between the regime and opposition elements. Wars are never that clean. What is brewing in Venezuela is a situation more like Syria, with various factions and extra-regional actors, far different than anything we’ve seen recently in Latin America. U.S. intervention without good intelligence would be counterproductive at best and could lead to a full-blown regional conflict.

Moreover, such a move would fall right into the military plans of the Venezuelan regime and their external allies.

An ongoing political-military buildup has been taking place in Venezuela over the last decade. While the country is short on food and medicine, there is an abundance of military armament courtesy of Iran, Russia, and China. This buildup culminated this January with a joint, multinational military exercise called Zamora 200, in which over a half million military members and civilian militiamen rehearsed Venezuela’s defense to invasion by a NATO force led by the United States and Colombia. Colombia began talks with NATO in late 2016 to potentially become a full member. The wargaming exercise conducted in Venezuela obviously had this in mind.

The Zamora 200 military exercise had three distinct phases, the last of which culminated in the breakout of a civil war. The Venezuelan regime wants the world to believe that Plan Zamora, which is the real-time execution of the military exercise, is a civil-military plan to quell the insecurity and instability in the country and prevent any so-called “coup d’etat.” In reality, Plan Zamora is likely designed to manufacture a coup, catalyze a civil war, and provoke the U.S. to intervene.

This is a tactic taken from Cuba’s counterintelligence playbook on disinformation and deception, planned and perfected for years throughout the Havana- and Caracas-led Bolivarian Alliance for the Americas (ALBA). In Bolivia, according to several independent reports, President Evo Morales allegedly concocted an autogolpe (self-coup) in 2009 by framing a fake terrorist plot that drew out his political opposition in Santa Cruz. A year later, in 2010, a similar event took place in Ecuador when then-president Rafael Correa shouted from the police headquarters in Quito to apparently try and provoke the police to fire their weapons at him.

The late Venezuelan caudillo and Maduro’s mentor, Hugo Chávez, was also accused of staging the 2002 coup d’etat to consolidate power and deflect blame to the U.S. for “intervening.”

Thus far, the Trump administration has been prudent, reverting to sanctions and strong rhetoric to stand up for human rights and protect U.S. national security interests. It seems President Maduro is not satisfied, telling President Trump to “get your pig hands out of here,” implying that U.S. intervention is already underway.

In reality, it is the Venezuelan regime that has already brought foreign intervention into Venezuela by calling on Cuba, Iran, and Russia to circumvent its sovereignty and provide lethal aid to its violent suppression and intimidation of the Venezuelan people. Just last month, both the Russian and Iranian defense ministers met with Venezuela’s defense minister, Vladimir Padrino López, in Moscow to confirm they will send strong military and armed support to Venezuela.

What the Venezuelan regime and its extra-regional allies are looking for is a way to blame the Trump administration for what their policies have created in the country. A civil war is the only way the current regime and its allies can maintain power; however, the regime cannot simply go to war against its own people. They need a clear enemy and, if the Trump administration changes its policy to anything that can be portrayed as interventionist, it will make itself into the enemy that the Venezuelan regime and its allies crave.

Joseph M. Humire is the executive director of the Center for a Secure Free Society (SFS), a DC-based, global think tank. And the co-editor of “Iran’s Strategic Penetration of Latin America” published by Lexington Books.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159376
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Venezuela's unbelievable currency collapse is getting worse

by Patrick Gillespie

Venezuela's currency is in free fall.

Violent protests are growing, the economy is spiraling further out of control and Venezuelans are suffering through shortages of food and medicine. And the bolivar, already worth next to nothing, keeps losing value.

At the beginning of the year, it took about 3,000 bolivars to buy one U.S. dollar. By Wednesday, it took almost 8,000. That's according to dolartoday.com, which tracks the unofficial exchange rate used by most Venezuelans because official rates are considered overvalued.

"I'd describe it as the result of a government that prints money like it's confetti," says Raul Gallegos, senior analyst at Control Risks, an international consulting firm. "The government has simply employed the wrong policies to stay in power."

Government corruption and mismanagement have triggered hyperinflation. Prices are set to rise a staggering 720% this year, according to the International Monetary Fund. The collapse of the economy and currency has driven shortages in food, medicine and basic products like toilet paper.

The country has been gripped by unrest as Venezuelans call for President Nicolas Maduro to step down or hold democratic elections. Since late March, 74 people have been killed and more than 1,400 injured in protests.

On Tuesday, the crisis escalated when a Venezuelan police officer and a team of accomplices stole a government helicopter and flew it over the Supreme Court, firing shots and lobbing grenades. The police officer demanded that Maduro resign.

Venezuelan lawmakers opposed to Maduro also clashed with national guard officers outside the National Assembly in a dispute involving an upcoming vote on constitutional changes.

Late Tuesday night, Venezuela's Supreme Court justices -- Maduro appointees -- stripped the attorney general of the power to investigate human rights abuses. They gave the power instead to an ombudsman friendly to Maduro.

Venezuela sits on the world's largest oil reserves and was once the wealthiest nation in South America. But since 1999 the government has focused only on selling oil to other countries and abandoned management of other natural resources and critical infrastructure.

Now Venezuela is running out of money. Its central bank only has $10 billion in reserves, which are intended to be a cushion to weather a crisis. In 2011, it had $30 billion.

--Lonzo Cook and Marilia Brocchetto contributed to this report.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159377
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Meanwhile In Venezuela, The Real Mad Max Emerges

Bikers chase, bomb sugar truck to steal payload

Zero Hedge - July 12, 2017

[Linked Image]

While Silicon Valley seems obsessed by ‘blood boys’, its another part of the world that appears to have gone full Mad Max. As the following clip shows a gang of bikers chase down and attack a truck (with molotov cocktails) to steal its sugar payload…

https://youtu.be/eOQfDMTlDjI

Not quite the “Guzzoline” or “Bullets” that Fury Road offers, but when all you have to eat is flamingoes or black stallions, sugar may be a good substitute worth risking your life over…

With each passing week, the situation in Venezuela keeps on getting worse.

Not quite the socialist utopia that Bernie Sanders longed for? Or more pointedly – this is exactly the dystopia one can expect from such policies of ‘redistribution’ and central planning.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159378
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Battle Lines Are Being Drawn In Venezuela As The Socialist Nation Inches Toward Civil War

Venezuela is a powder keg, and it could blow at any time

Mac Slavo SHTFplan.com - July 25, 2017


You may recall this bizarre incident that occurred last month in Venezuela.

A rogue police officer by the name of Oscar Perez, who is also well known in Venezuela for starring in several B-rated action movies, commandeered a helicopter, before dropping grenades on the nation’s Supreme Court building and strafing the Interior Ministry with gunfire. It was without a doubt, the strangest moment to come out of that nation’s ongoing civil unrest.

But this brazen attack isn’t just odd. In fact, it may portend something much more serious that is simmering under the surface of Venezuela’s slow motion social collapse. It’s a sign that Venezuela is very close to erupting into a full-blown civil war.

Recently, a stolen police helicopter attacked the Venezuelan Supreme Court with grenades and automatic weapons. While no one was hurt, the incident should serve as a wake-up call for the entire Western Hemisphere, including the United States. The attack demonstrates a quantum escalation of the hunger-fueled conflict that has consumed the country for close to a year. Hunger is the key word. Hunger is the most basic of human suffering. Remember that rising food prices helped fuel the Arab Spring, which has left the world with a chaotic, fractured, refugee-hemorrhaging Middle East.

Obviously, the lack of food in Venezuela is a key factor in that nation’s unrest. Multiple studies have shown in the past that when food prices escalate to a certain point, riots and revolutions become very likely, even in cases where the population isn’t specifically revolting over the price of food. But in any case the lack of food, skyrocketing crime, rampant corruption, and flippant tyranny that are all fueling the unrest, and giving people like Oscar Perez lots of support in both high and low places.

Is Venezuela in danger of becoming another Syria? Maybe. The helicopter pilot, Oscar Perez, posted a bare-faced declaration online describing himself as representative of a group of “nationalists, patriots, and institutionalists.” The fact that he has been allowed to slip quietly back into the shadows illustrates how much of the population is willing to hide him. Even more distressing is the fact that his group even had access to a helicopter, a fact illustrating how much support they may have within Venezuela’s government institutions.

We can deduce from Perez’s attack that there are battle lines being drawn in Venezuela right now, and those lines run right through the middle of the civilian population, the military, the police, and the political class (and yes, that line does run through the middle of society, because there are still millions of people who support President Maduro).

And that’s what makes civil wars possible. They don’t usually occur in countries where millions of unarmed civilians hate the government, and the government is staffed by plenty of loyalists. These wars tend to happen in places where the soldiers and cops are also divided along partisan lines. That way, you have a lot of people armed to the teeth with the best weapons government tax dollars can buy, and those people become two separate armed camps with divergent views and political goals.

You can’t have a war unless there are two sides with a lot of firepower, and that’s what we see in Venezuela right now. That nation is a powder keg, and it could blow at any time.


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159379
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Venezuelan authorities crush military rebellion -ruling official

Reuters Sunday, 6 August 2017

By Corina Pons and Alexandra Ulmer

CARACAS, Aug 6 (Reuters) - Venezuelan authorities have suppressed a military rebellion near the central city of Valencia, a ruling official said on Sunday, less than two days after President Nicolas Maduro formed a legislative superbody internationally condemned as a power grab.

Socialist Party deputy Diosdado Cabello made the announcement shortly after the release of a video showing a group of men in military uniform announcing a rebellion and calling for a broad uprising. But the rest of the country appeared to be calm, with the capital Caracas waking to a quiet Sunday morning.

One witness in the area of a military base in the town of Naguanagua reported hearing gunshots before dawn, but Cabello said the situation had been brought under control. Officials said the rebels, whom they described as "terrorists," were trying to steal weapons and that seven people were detained after the attack on the base.

The Defense Ministry did not immediately respond to a request for comment. But government allies were quick to denounce the attack as a right-wing plot aimed at bringing down the "Bolivarian revolution" started nearly 20 years ago by the late Hugo Chavez and carried on by his protege Maduro.

"These attacks, planned by delirious minds in Miami, only strengthen the morale of our armed forces and the Bolivarian people," tweeted Socialist Party official Elias Jaua.

On Friday, government allies inaugurated a new legislative superbody that the Venezuelan opposition and leaders around the world denounced as a power grab by Maduro.

In Sunday's video, a man who identified himself as Juan Carlos Caguaripano, a former National Guard captain, said: "We demand the immediate formation of a transition government." He was flanked by about a dozen men in military uniforms.

"This is not a coup d'etat," he said. "This is a civic and military action to re-establish constitutional order. But more than that, it is to save the country from total destruction."

Local reporters published videos appearing to show dozens of Venezuelans near the base in Valencia taking to the streets to protest the government before being pushed back with tear gas. Reuters was not immediately able to confirm the footage.

Six weeks ago a rogue policemen attacked key installations in Caracas by helicopter, failing to spark a larger movement.

ARMED FORCES IN SPOTLIGHT

Venezuelans view the armed forces as the key power broker in their country, and opposition leaders have repeatedly exhorted the military to break with Maduro.

But the top brass continues to publicly profess loyalty to his government. Critics say juicy government contracts, corruption, and contraband mean many military officials want Maduro to stay in office and fear persecution should the opposition take power.

Since April more than 120 people have been killed in unrest as rock-throwing protesters were met by state security forces firing rubber bullets and water cannon. (http://tmsnrt.rs/2ujuylf)

Maduro's new "constituent assembly" removed the chief prosecutor from her post over the weekend and ordered her to stand trial, confirming opposition fears that it would use its powers to root out critics of the government.

The prosecutor, Luisa Ortega, had become Maduro's main challenger from within the ruling socialist movement since the start of sustained opposition street protests four months ago.

Venezuelan authorities on Sunday accused the political opposition of being linked to the Valencia rebellion, raising the specter of a further crackdown on dissent in coming days.

Oil-rich but economically ailing Venezuela has a long history of instability. Maduro's mentor Chavez was a military officer who started his political career with a 1992 coup attempt, for which he served time in jail before winning the presidency six years later. Chavez died of cancer in 2013.

(Writing by Hugh Bronstein; Additional reporting by Girish Gupta, Deisy Buitrago and Hugh Bronstein; Editing by Louise Ireland and Lisa Shumaker)


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159380
08/06/2017 03:28 PM
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If this doesn't convince people in America that prepping, resource self reliance, and forming mutual aid groups with like minded individuals is necessary, nothing will.I would really like to know if Venezuelans in the country have it as bad as those in the cities?


Well, this is it.
Re: Venezuela nears total collapse #159381
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Venezuela on the brink. Jeff Deist interviews two Venezuelan libertarians, about 36 minutes.

Quote
Our guests are Luis Cirocco and Dr. Rafael Acevedo, two Venezuelans who attend Mises University, last week. Their report from that troubled country is chilling and depressing: food shortages, a lack of medical care and prescription drugs, soldiers and police running black markets, and an entrenched elite made rich after decades of crony socialism under Hugo Chavez and Nicolas Maduro. Oil prices remain very low, and the country's economy is so bad that civil war looms.

But our guests remind us that the opposition, pushed by the US CIA, is hardly better—"socialist lite," as they term it. Intellectuals in Venezuelan universities, many of them (badly) trained at Ivy League social science departments, offer nothing more than support for price controls and currency pegs. Horrific hyperinflation is the result.

What Venezuela needs is a wholesale intellectual revolution, toward markets and away from deeply ingrained socialism. Listen to this interview and better understand just how quickly Venezuela is unraveling—and how it could happen here.
Onward and upward,
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Re: Venezuela nears total collapse #159382
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GENEVA (Reuters) - Venezuelan security forces have systematically wielded excessive force to suppress protests, killing dozens, and have arbitrarily detained 5,000 people since April, including 1,000 still in custody, the United Nations human rights office said on Tuesday.

It called on the government of President Nicolas Maduro to rein in security forces and investigate alleged abuses and release people from arbitrary detention.

On Friday, Venezuela inaugurated a new legislative superbody that is expected to rewrite the constitution and give vast powers to Maduro's ruling Socialist Party, defying protests and worldwide condemnation that it undermines democratic freedoms.

"We are concerned that the situation in Venezuela is escalating and these patterns of human rights violations are showing no signs of abating," U.N. human rights spokeswoman Ravina Shamdasani told a news briefing in Geneva.

The ousting of Attorney-General Luisa Ortega, an outspoken government critic, was a sign of an "increasing undermining of democratic institutions and of independent institutions", she said, calling on the government to ensure her safety.

On Tuesday, Venezuela's Supreme Court ordered the arrest of opposition mayor Ramon Muchacho of the Caracas district of Chacao, the site of intense anti-government protests.

U.N. High Commissioner for Human Rights Zeid Ra'ad al-Hussein said in a statement: "These violations have occurred amid the breakdown of the rule of law in Venezuela, with constant attacks by the Government against the National Assembly and the Attorney-General’s Office.

"The responsibility for the human rights violations we are recording lies at the highest levels of Government.”

U.N. human rights officers were not allowed into Venezuela, but issued preliminary findings based on 135 interviews in Panama and from Geneva in June and July with victims, families, witnesses, doctors and lawyers. They also received information from the Venezuelan ombudsman's office.

Of 124 deaths investigated, they found at least 46 attributable to security forces and 27 to pro-government armed groups, with the rest unclear.

"Witnesses spoke of security forces firing tear gas and buckshot at anti-Government protestors without warning. Several of the individuals interviewed said tear gas canisters were used at short range, and marbles, buckshot and nuts and bolts were used as ammunition," Shamdasani said.

Ill-treatment and torture have been reported in detention, including beatings, use of electric shocks, hanging detainees by their wrists and "suffocation with gas", she said.

"Journalists have reportedly been shot at with tear gas canisters and buck shot and been detained, threatened and had their equipment taken on several occasions," she added.

Reporting by Stephanie Nebehay; Editing by Robin Pomeroy


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159383
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Venezuela used to be South America's breadbasket. Now, Venezuelans are forced to scavenge for food to feed their children .

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As the economic and political crisis deepens in Venezuela, so do the levels of hunger.

A survey by a top university found the average Venezuelan has lost nine kilogrammes in the past year.

Many families are now forced to scavenge for food in what was once South America's richest country.

At a soup kitchen run by the Catholic Church in Caracas, there are rarely any leftovers. It only serves 100 children every day, so the kitchen, which runs on donations, is forced to turn people away.

"Every day, more children come. Our crisis is such that, as they say, shame has been forgotten," Judith Arcia, a cook at the soup kitchen told Al Jazeera.

"People would rather beg for a plate of food for their children, than watch them go hungry."

READ MORE: Venezuela crisis: All the latest updates

Arcia said many of the children are given a special formula after arriving, when they are found to be severely malnourished.

The parents - who are not entitled to a meal - are not so lucky.

"Sometimes my wife and I do without food so at least the children can eat twice a day," a parent told Al Jazeera.

Acute malnutrition

Venezuela's prolonged and acute economic crisis - characterised by food shortages and hyperinflation - has seen infant mortality rise to almost 35 percent and maternal mortality to 65 percent in just the last year. Anemia is rampant.

The oil-rich country is now leading Latin America in what is called acute malnutrition, defined by experts as a rapid decline of nutrition that puts a child's life at risk.


The Catholic Church and opposition leaders have called for the government to open a humanitarian corridor. But Constituent Assembly President Delsy Rodriguez flatly rejects such a plan.

But the Venezuelan state seems unable to halt a crisis that is driving tens of thousands of families across neighbouring borders.

And while at home a lucky few continue to receive help, the number of deaths from malnutrition is also growing.
The infuriating thing about Trump, is that sometimes he's right. When he said that Venezuela is an example of socialism enacted faithfully, he was spot on.

Onward and upward,
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Re: Venezuela nears total collapse #159384
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Venezuela had one good thing going for it, its oil. And now the quality of the crude they\'re shipping to refiners is a problem. It's all because of the hoarders and wreckers, certainly.

Quote
Venezuela’s state-run oil firm, PDVSA, is increasingly delivering poor quality crude oil to major refiners in the United States, India and China, causing repeated complaints, canceled orders and demands for discounts, according to internal PDVSA documents and interviews with a dozen oil executives, workers, traders and inspectors.

The disputes involve cargoes soiled with high levels of water, salt or metals that can cause problems for refineries, according to the sources and internal PDVSA trade documents seen by Reuters.

The quality issues stem from shortages of chemicals and equipment to properly treat and store the oil, resulting in shutdowns and slowdowns at PDVSA production facilities, along with hurried transporting to avoid late deliveries, the sources said.

U.S. refiner Phillips 66 (PSX.N) canceled at least eight crude cargoes because of poor oil quality in the first half of the year and demanded discounts on other deliveries, according to the PDVSA documents and employees from both firms. The canceled shipments - amounting to 4.4 million barrels of oil - had a market value of nearly $200 million....
Onward and upward,
airforce

Re: Venezuela nears total collapse #159385
11/02/2017 08:34 AM
11/02/2017 08:34 AM
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venezuela is issuing a new 100,000 Bolivar note. It's worth a whopping $2.42 for now, but not likely for long. One thing centrally planned economies are good at doing, is adding zeros onto their currencies.

Onward and upward,
airforce

Re: Venezuela nears total collapse #159386
11/15/2017 05:48 AM
11/15/2017 05:48 AM
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Venezuela has just defaulted on its debt. For people who thought the situation in Venezuela couldn't get any worse, they're about to find out otherwise.

Quote
The South American country defaulted on its debt, according to a statement issued Monday night by S&P Global Ratings. The agency said the 30-day grace period had expired for a payment that was due in October.

A debt default risks setting off a dangerous series of events that could exacerbate Venezuela's food and medical shortages.

If enough holders of a particular bond demand full and immediate repayment, it can prompt investors across all Venezuelan bonds to demand the same thing. Since Venezuela doesn't have the money to pay all its bondholders right now, investors would then be entitled to seize the country's assets -- primarily barrels of oil -- outside its borders.

Venezuela has no other meaningful income other than the oil it sells abroad. The government, meanwhile, has failed for years to ship in enough food and medicine for its citizens. As a result, Venezuelans are waiting hours in line to buy food and dying in hospitals that lack basic resources.

If investors seize the country's oil shipments, the food and medical shortages would worsen quickly.

"Then it's pandemonium," says Fernando Freijedo, an analyst at the Economist Intelligence Unit, a research firm. "The humanitarian crisis is already pretty dire ... it boggles the mind what could happen next."


It's not immediately clear what steps bondholders will take. Argentina went through a vaguely similar default, and its bondholders battled with the government for about 15 years until settling in 2016. Every case is different, though.

Venezuela and its state-run oil company, PDVSA, owe more than $60 billion just to bondholders. In total, the country owes far more: $196 billion, according to a paper published by the Harvard Law Roundtable and authored by lawyers Mark Walker and Richard Cooper.

Beyond bond payments, Venezuela owes money to China, Russia, oil service providers, U.S. airlines and many other entities. The nation's central bank only has $9.6 billion in reserves because it has slowly drained its bank account over the years to make payments.

The S&P default announcement Monday came after Venezuelan government officials met with bondholders in Caracas. The meeting was reportedly brief and offered no clarity on how the government plans to restructure its debt....
Onward and upward,
airforce

Re: Venezuela nears total collapse #159387
11/15/2017 12:26 PM
11/15/2017 12:26 PM
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Before the wrath of "democratic socialism" (ala Bernie Sanders)... Venezuela was a food exporter. The Oranoco River valley has rich fertile soil, and with its low latitude location (right near the equator) they can grow two full season of many cereal grains and major crops. They also have regular tropical rains so little need for irrigation.

This happened in the old Soviet Union in the 1920s, in Eastern Europe in the 1950s, in Cuba and North Korea from the 1960s on, and in Zimbabwe (Rhodesia) since the 1980s.

It never works, never will. It can't. Yet the democrats in our nation will still insist that these are not fair comparisons and that it just needs to be carried out properly...


"Government at its best is a necessary evil, and at it�s worst, an intolerable one."
 Thomas Paine (from "Common Sense" 1776)
Re: Venezuela nears total collapse #159388
12/28/2017 05:29 AM
12/28/2017 05:29 AM
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Hyperinflation in Venezuela. Merchants are demanding payment in dollars, because the price in bolivars changes every hour.

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There was no way Jose Ramon Garcia, a food transporter in Venezuela, could afford new tires for his van at $350 each.

Whether he opted to pay in U.S. currency or in the devalued local bolivar currency at the equivalent black market price, Garcia would have had to save up for years.

Though used to expensive repairs, this one was too much and put him out of business. “Repairs cost an arm and a leg in Venezuela,” said the now-unemployed 42-year-old Garcia, who has a wife and two children to support in the southern city of Guayana.

“There’s no point keeping bolivars.”

For a decade and a half, strict exchange controls have severely limited access to dollars. A black market in hard currency has spread in response, and as once-sky-high oil revenue runs dry, Venezuela’s economy is in free-fall.

The practice adopted by gourmet and design stores in Caracas over the last couple of years to charge in dollars to a select group of expatriates or Venezuelans with access to greenbacks is fast spreading.

Food sellers, dental and medical clinics, and others are starting to charge in dollars or their black market equivalent - putting many basic goods and services out of reach for a large number of Venezuelans.

According to the opposition-led National Assembly, November’s rise in prices topped academics’ traditional benchmark for hyperinflation of more than 50 percent a month - and could end the year at 2,000 percent. The government has not published inflation data for more than a year.

“I can’t think in bolivars anymore, because you have to give a different price every hour,” said Yoselin Aguirre, 27, who makes and sells jewelry in the Paraguana peninsula and has recently pegged prices to the dollar. “To survive, you have to dollarize.” (...)
Onward and upward,
airforce

Re: Venezuela nears total collapse #159389
12/28/2017 03:04 PM
12/28/2017 03:04 PM
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Somewhere in these blue ridged...
The Answer Offline
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Somewhere in these blue ridged...
This is why monetary monopoly is bad. Currencies should compete like other goods/services.


Semper Vigilantes, Numquam Exspectantes

Always Watching, Never Waiting
Re: Venezuela nears total collapse #159390
01/03/2018 05:29 AM
01/03/2018 05:29 AM
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Venezuela, with the highest proven oil reserves in the world, is out of gasoline.

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...“Gentlemen: There is no more gasoline in Venezuela. In Venezuela, we are out of gas. In Venezuela, there is no gas oil. In Venezuela, there are no lube oils,” said Iván Freites in a televised press conference. Freites is the secretary of the professional and technician division of the United Federation of Venezuelan Petroleum Workers.

In his address, Freites said that poor management led to the stoppage of 80 per cent of the country’s refineries. “Only Amuay and Cardón refineries are operative and that is nothing. They produce 40,000 barrels per day and the national demand is over 200,000 barrels of gas per day,” he said.

Venezuela’s oil production has fallen to levels not seeing since the late-1980s. According to the latest OPEC report, which is based on information provided by the Nicolás Maduro government, the country is producing about 2.3 million barrels of oil per day. In October, it experienced the steepest fall in production of 2017, as only 1.9 million barrels were extracted, 130,000 barrels less than the previous month. The oil industry, however, is still the major source of income as it generates about 96 per cent of the foreign exchange.

“Can you imagine how much it would be to bring our refineries back to operation? To recover production in the Eastern Coast of the Lake (of Maracaibo)?” Iván Freites asked during the media brief. He blamed corrupt government officials for the fuel crisis and dismissed the theory that it is all due to the sanctions that Donald Trump imposed on some key figures in the Venezuelan cabinet....
Onward and upward,
airforce

Re: Venezuela nears total collapse #159391
01/03/2018 06:13 AM
01/03/2018 06:13 AM
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I want to know: When will the Venezuelan people wake up and overthrow their corrupt government?


"The time for war has not yet come, but it will come and that soon, and when it does come, my advice is to draw the sword and throw away the scabbard." Gen. T.J. Jackson, March 1861
Re: Venezuela nears total collapse #159392
02/01/2018 06:06 AM
02/01/2018 06:06 AM
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Venezuela is in default on eight bond issues. And their oil industry is still deteriorating.

Quote
...Defaults stress erodes the margin of flexibility for Maduro and exposes a worse phase of cashflow woes for the bills the country owes in dollars.

Bond traders are waiting for a signal from the Emerging Markets Trade Association over the next few days, or weeks. They have been recommending investors trade the bond flat, and not accelerate.

The mounting legal risks of a hard default would represent a potential source of pressure with foreign investors potentially interrupting PDVSA operations overseas and thus compromise the cashflow necessary to fund the government. Courts could seize assets, for instance, in a hard default situation. As president, Maduro is surely aware of this.

That cashflow stress represents the single source of pressure on Maduro.

The military rank and file have backed Maduro so far, but as money wears thin, so is their patience. Many of them still feel an allegiance to the Socialists United Party, created by party figurehead and local legend Hugo Chavez.

"We are on high alert," says Morden.

Cashflow stress is the key catalyst for Venezuelan regime change over the next 12 months. Maybe even sooner....
Onward and upward,
airforce

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