{"id":22220,"date":"2016-11-30T21:27:57","date_gmt":"2016-12-01T02:27:57","guid":{"rendered":"http:\/\/olduvai.ca\/?p=22220"},"modified":"2016-11-30T21:27:57","modified_gmt":"2016-12-01T02:27:57","slug":"venezuelan-hyperinflation","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=22220","title":{"rendered":"Venezuelan Hyperinflation"},"content":{"rendered":"
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Venezuelan Hyperinflation\u00a0<\/a><\/h3>\n<\/div>\n
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\"venezulea-hyperinflation\"<\/a><\/p>\n

The Venezuelean hyperinflation is the direct result of what happens when the general population loses all confidence in the government. The current hyperinflation is reminiscent of Germany\u2019s hyperinflation following World War I, which was also the result of a Communist Revolution and the overthrow of the government giving birth to the\u00a0Weimar Republic<\/em>. \u00a0Venezuela\u2019s currency has become virtually worthless as was the case in Japan when the people simply refused to accept any coins issued by the Japanese government. In that instance, each new emperor devalued the outstanding money supply to 10% of his new issues. This led to Japanese accepting Chinese coins, but not Japanese.<\/p>\n

In just two months, the bolivar plummeted 50% in value after dropping beneath the psychological 2000 level for the first time.\u00a0Where the Japanese relied upon Chinese coins, in Venezuela they are using U.S. dollars. \u00a0The same is starting to emerge in India after the government demonetized the large denomination notes.<\/p>\n

Oil accounts for nearly 95% of Venezuela\u2019s exports and composes 25% of the country\u2019s overall economy. Many economists are blaming Venezuela\u2019s socialist government for mismanaging budgets and over relying on oil-related industries. Acting as a typical politician, President Maduro will not take responsibility for the state of his country and is choosing to place the blame on an \u201ceconomic war\u201d being waged by overseas businesses predominantly in the U.S.<\/p>\n

Venezuela\u2019s troubles began in 2014 when the price of oil took a nosedive. Instead of moving to separate the country from its dependence on oil, the Venezuelan government lost the confidence of the people and was compelled to issue more money to pay its bills lacking revenue flow.<\/p>\n

As the prices of goods continue to soar, shopkeepers in Venezuela have taken to weighing bolivars and the black market for alternative currencies \u2013 namely U.S. dollars \u2014 is becoming prevalent.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Venezuelan Hyperinflation\u00a0 The Venezuelean hyperinflation is the direct result of what happens when the general population loses all confidence in the government. The current hyperinflation is reminiscent of Germany\u2019s hyperinflation following World War I, which was also the result of a Communist Revolution and the overthrow of the government giving birth to the\u00a0Weimar Republic. \u00a0Venezuela\u2019s […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[5496,413,5479,851],"class_list":["post-22220","post","type-post","status-publish","format-standard","hentry","category-economics","tag-armstrong-economics","tag-hyperinflation","tag-martin-armstrong","tag-venezuela"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22220","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=22220"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22220\/revisions"}],"predecessor-version":[{"id":22221,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22220\/revisions\/22221"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=22220"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=22220"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=22220"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}