Things just keep getting worse in Venezuela. Not only is inflation over 50%, but things are starting to grind to a halt. Basic necessities like food and toiletries are not being produced or imported so they are running out. Sales across the board have collapsed and so factories are now starting to close down. Car sales are down 75%! One car dealer has stated that they have not sold a car in months and have only survived because of providing repairs. Unfortunately, parts are running low and that may not keep them afloat for much longer.
Socialism does not work. You can’t take from the rich to prop up everyone else. The rich just don’t make enough money to make that possible. Unfortunately so many countries are on the same path to ruin. True capitalism based in the rule of law is the only economic system that works. Is it perfect or fair? No, but there is no other system that works. Everything else eventually collapses. Just look at Venezuela (or Greece, or Argentina).
What do you think?
For more: http://www.zerohedge.com/news/2014-07-22/venezuelas-transformation-socialist-utopia-nearly-complete-its-factories-grind-halt