There are some similarities
between Zimbabwe’s hyperinflation in the 1990s and Venezuela’s hyperinflation
in 2017. Inflation was caused by government money printing to support socialist
policies and government overspending. Both countries had obliterated free
market principles, ignored property rights and then suffered downturns in
economic activity.
Venezuela’s government
nationalized its oil drilling in 2010 and over borrowed based on their large
oil reserves, but didn’t consider the fact that $100/bbl oil might decline to
$40/bbl oil.
Zimbabwe’s government
evicted “white” farmers and gave these farms to “black” amateurs who didn’t
know how to operate these farms.
Norb
Leahy, Dunwoody GA Tea Party Leader
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