Saturday, November 20, 2010

Official outlook: obscure...

Or maybe not, maybe it's as clear as day: "Homeland, Socialism, or Death". And it seems that the Homeland will indeed suffer Death; via Socialism. Non oil exports are down 56% in 5 years [only in Spanish]. Also, yet another farm company, once known for horse breeding and a genetic centre for Brahman cattle becomes - in less than a year - an asset-robbed, survive-only-by-subsidy socialist nighmare; it has 'lost' 20 thousand head of cattle and is now a "farm that yields nothing but expenses"; at this rate, from Commander President Hugo Chávez downwards via the Vice-Ministry for Social Welfare through the Ministry of Communes (my God you can't get much more Orwellian-sounding than that!) they will ensure death via socialism.

Expropriations, too much government control and regulation plus legal uncertainty "are the main factors hindering economic growth in Venezuela"...that and the chronic breakdown in security and food shortages etc. 'Analysts expect Venezuelan economy to remain stagnant':
"A Castro-communist system is being established. It seeks to eliminate private enterprise. With the elimination of the private sector, economic growth is not likely to occur."
Tell us something we don't know! In a recent report, Barclays (Investment) said 'that in the first quarter of 2011, and specifically in the first weeks of the year, the government will devalue its currency by 15 percent' (scroll to bottom of article: 19 Nov).

P.S. Minor typographical edits made, 16:30 CET. 

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