Quotulatiousness

April 8, 2015

Venezuela’s economic plight

Filed under: Americas, Economics, Politics — Tags: , , , — Nicholas @ 05:00

J.R. Ireland sums up the Venezuelan situation:

The current fate of Venezuela is one of the most wretched and tragic foregone conclusions in modern history — an economic system that was doomed, from the first optimistic days of its implementation, to fail miserably and to beggar the poor, beleaguered Venezuelan people as it did so. There was no other way it could conceivably end. This sort of command economy has been tried continuously throughout the 20th century and humanity’s failure to learn from socialism’s shortcomings is the primary reason the next century is unlikely to greatly improve upon the last, at least from a human rights perspective.

So anyone who had paid attention to the decay, stagnation, and eventual collapse of every command economy of the 20th century knew immediately that Chavista socialism would be no more successful than Castro’s socialism, Mao’s socialism, Lenin’s socialism, or Pol Pot’s socialism and would end, eventually, in the same great grey void of hopelessness, impotence, shortages, inequity and despair. Therefore, those of us who actually know anything about the failings of such command economies cannot be particularly surprised by the fact that condoms currently cost $755 for a 36 pack of trojans, that authorities have begun making it illegal to shop more than twice a week in a desperate attempt to alleviate shortages, or that women must now wait in long lines to get something so simple as tampons. This was guaranteed to occur all along and the foreordained Day of Judgment was only ever so slightly delayed by a period of high oil prices which allowed the Venezuelan government to paper over systemic failings with a vast influx of petrodollars.

What I now have to ask is this: When can we expect an apology from the various ‘enlightened’ and ‘caring’ progressives who applauded Chavez during his rise to power, who claimed that every one of Chavez’ failings was the fault of bigoted American imperialists undercutting the Savior of South American, and who declared Chavez to be some sort of righteous admixture between Jesus Christ, Gandhi, Albert Einstein, and George Washington?

March 11, 2015

Venezuela, then and now

Filed under: Americas, Economics, Media — Tags: , , , — Nicholas @ 04:00

Kevin D. Williamson looks to the not-too-distant past to see how Venezuela got into the economic disaster they’re currently facing:

Venezuela had a good run of it for about five minutes there, at least in public-relations terms. When petroleum prices were booming, all it took was a few gallons of heating oil from Hugo Chávez to buy the extravagant praise of House members, with Representative Chaka Fattah (D., Philadelphia) issuing statements praising Venezuela’s state-run oil company “and the Venezuelan people for their benevolence.” Lest anybody feel creeped out by running political errands for a brutal and repressive caudillo, Joseph Kennedy — son of Senator Robert Kennedy — proclaimed that refusing the strongman’s patronage would be “a crime against humanity.” Kennedy was at the time the director of Citizens Energy, which had a contract to help distribute that Venezuelan heating oil — Boss Hugo was a brute, but he understood American politics.

Celebrities came to sit at his feet, with Sean Penn calling him a “champion” of the world’s poor, Oliver Stone celebrating him as “a great hero,” Antonio Banderas citing his seizure of private businesses as a model to be emulated in the rest of the world, Michael Moore praising his use of oil for political purposes, Danny Glover celebrating him as a “champion of democracy.” His successor, Nicolás Maduro, continued in the Chávez vein, and even as basics such as food and toilet paper disappeared the American Left hailed him as a hero, with Jesse Myerson, Rolling Stone’s fashionable uptown communist, calling his economic program “basically terrific.” Some of the more old-fashioned liberals at The New Republic voiced concern about Venezuela’s sham democracy, its unlimited executive authority, political repression, the hunting down of government critics, the stacking of elections and the government’s perpetrating violence inside polling places — but Myerson insisted that Venezuela’s “electoral system’s integrity puts the U.S.’s to abject shame.” Never mind that opposition leaders there are hauled off to military prison after midnight raids.

Vice President Biden, who can always be counted on to cut straight to the heart of any political question, ran into Maduro in Brazil and, noting the potentate’s thick mane, commented: “If I had your hair, I’d be president of the United States.” Tragically for the Sage of Delaware, hair transplants don’t work that way.

That is all going down the memory hole. The Obama administration has announced economic sanctions on Venezuela’s rulers and its intelligence agents, citing the “erosion of human-rights guarantees” – erosion, as though this were something new, as though Hugo Chávez hadn’t been a tyrant back when President Obama’s ally Representative Fattah was carrying his political water all over the eastern seaboard. In the New York Times’ account of Venezuela’s woes and Maduro’s misrule, there is no mention at all of the critical role the American Left played in lending legitimacy to Chavismo, of the so-called liberals and progressives who denounced legitimate protests against Maduro’s brutality as nefarious U.S.-backed coup attempts, who remained — and remain — silent on the regime’s censorship, political repression, torture, and economic incompetence. William Neuman of the Times did find an economist — a leftist economist, he assures us — who went so far as to say that certain aspects of the Chávez program “needed to be revised or even discarded to set the nation’s economy on the right track.”

January 14, 2015

“This is what happens when you let the half-wits take charge of economic policy”

Filed under: Americas, Economics — Tags: , , , — Nicholas @ 02:00

Tim Worstall on the very sad economic plight of Venezuela:

As times go on the stories about how far and how fast the economy of Venezuela has fallen apart become ever more dramatic. They now actually have the Army, seriously, the armed forces, guarding food supplies. And the police are handing out toilet paper. We can just about imagine such things happening in the wake of some massive natural disaster, the levee breaks, the hurricane comes ashore, but not as day after day activity as something normal for the nation. But there has been no natural disaster in Venezuela, this is just the result of some years of idiot socialism. What makes it all so tragic is that there was and is another way to achieve the stated aim: making the poor better off. And when we consider what we might want to do to make the poor better off we’d better pay attention to this, admittedly extreme, example.

[…]

Sure, Venezuela’s an oil exporter, sure the price of oil has fallen. But this isn’t what happens in a commodity producer when the exports fall in price. This is what happens when you let the half-wits take charge of economic policy for a nation. Actually, in Venezuela, calling them half-wits is probably a mite too polite.

There’s absolutely nothing wrong at all with the intention of making the poor better off. Indeed, I share that aim: that’s why I’m this capitalist free marketeer type, as it’s the only socio-economic system we’ve ever had that has made the poor substantially better off for any period of time. However, there are good ways and bad ways of going about doing this and if we want to succeed in our aim, in the US, of making the poor better off then we’d do well to pay attention.

The short answer is don’t screw with the market.

February 22, 2014

Venezuela’s crisis

Filed under: Americas, Government, Politics — Tags: , , , , — Nicholas @ 12:10

With all the attention being on Ukraine’s political upheaval, there’s another political crisis happening in South America:

How is Venezuela doing? Well, tens of thousands of protesters are in the streets, the army’s been sent to crush revolt, an opposition leader has been arrested and supporters of the government just shot dead a former beauty queen. It’s going to hell in a handcart, that’s how it’s doing.

After Hugo Chavez died he was replaced by Nicolas Maduro, a man of considerably less talent who bears a striking resemblance to an obese Burt Reynolds. A Venezuelan friend explains that Chavez’s titanic personality held his revolution together, reconciling its various contradictions with his charismatic nationalism. By contrast, “Maduro has let the worst people take over” — surrendering authority to radical mobs and corrupt officials in a bid to keep them all on side. The result? Bad economic management, inflation at 56 per cent, rising unemployment, food shortages, shocking levels of crime and an increasing reliance on government control of the press.

The Left always insisted under Chavez that some meddling in the media was necessary because it was otherwise controlled by dark, foreign forces (read: people who disagreed with Chavez). But Maduro is now threatening to expel CNN, which is about the fairest and most balanced news source on the planet. CNN’s crime was to report on the recent protests that have engulfed the capital. And good for CNN. Coverage on what’s happening in Venezuela has been eclipsed by events in Ukraine, so for those who don’t know here’s what’s happening on the ground.

  • On February 12, the opposition held a massive rally that resulted in bloodshed. Three people were killed, including two opposition protesters and one pro-government activist. The National Guard was dispatched to prevent further rallies.
  • Violence quickly spread out across the country. Some 3,000 troops were sent to pacify the city of San Cristobal, where the government also cut off transport links and the internet.
  • Opposition leader, Leopoldo Lopez, was forced to hand himself over to the National Guard on charges of inciting violence.
  • The President blamed America for starting the conflict and has expelled US officials.
  • Local TV stations have gone into lockdown and simply aren’t reporting the fighting. Venezuelans are relying on social media, which includes some false reporting. The opposition lack a single national TV outlet to be heard on.

October 11, 2012

Venezuela’s man on a white horse

Filed under: Americas, Media — Tags: , , , — Nicholas @ 09:17

In sp!ked, Brendan O’Neill says that the western leftist affection for Venezuela’s Hugo Chavez illustrates its intellectual disarray:

For an insight into the collapsed standards, declining intellectual rigour and desperate opportunism of the modern Western left, look no further than its fawning over Hugo Chavez of Venezuela. In the past, much of the left — both the radical sections and even some of the stuffy Stalinist crowd — was highly critical of the Bonapartist antics of populist Latin American leaders. They critiqued the way these leaders mobilised the masses to give their narrow, bourgeois, largely state-orientated policies a gloss of legitimacy or the appearance of revolutionism. But now, so isolated is the Western left, so bereft is it of a domestic constituency or anything approaching a political plan, that it sees in Chavez’s twenty-first-century Bonapartism something ‘genuinely progressive’.

This week, Chavez won a fourth term as president of Venezuela. He did not repeat his landslide victory of 2006, instead winning a safe but not-especially-astounding 54 per cent of the vote (on a turnout of 81 per cent). His supporters among Western radicals immediately went into hyperbolic hyperdrive, talking about the ‘revolution’ that Chavez has led in Venezuela and commending him for ‘challenging imperial domination’. Chavez’s posturing against US influence in Latin America and his implementation of social-assistance programmes for the Venezuelan poor are variously described as ‘radical’, ‘progressive’ and part of his broader ‘profoundly revolutionary struggle’. He is compared to Simon Bolivar, the nineteenth-century political leader who liberated much of the Latin American continent from Spanish rule, or to Che Guevara, the more recent Argentine radical beloved of t-shirt sellers in hipster communities across the West.

Yet these accolades for Chavez tell us far more about the state of mind, and deep, existential needs, of the disarrayed left than they do about any revolution taking place in Venezuela. Because in truth, Chavez has far more in common with the populist style of the nationalist leadership pioneered in Latin America by Juan Peron, whom the left castigated for his exploitation of the masses, than he does with yesteryear’s revolutionaries. Juan Peron was an Argentine military leader who, after playing a role in the army’s 1943 seizing of power from the corrupt regime of Ramon Castillo, was elected president of Argentina in 1946, 1951 and briefly again in the 1970s. His rule — which came to be known as Peronism and was influential among populist left-wing leaders in Latin America — consisted of a combination of anti-Western actions, concessions to the working classes and the poor in the form of higher wages and trade union recognition, and populist demagogy. Through this process, Peron was able to build up an impressive mass base of support for his pursuit of nationalist capitalist development in Argentina.

February 14, 2012

Colombia looks to upgrade their submarine fleet

Filed under: Americas, Germany, Military — Tags: , , , — Nicholas @ 09:23

With relations in a parlous state between Colombia and Venezuela, Colombia is considering upgrading their navy:

Colombia is negotiating with Germany to buy up to six recently retired Type 206A coastal submarines. The 206As are meant to be an inexpensive counter to new Russian Kilo subs being purchased by neighboring Venezuela. Colombia still has two older (1,200 ton) Type 209 subs and nine miniature subs. All are over three decades old, and so are the Type 206As. But the 206As have been better cared for and were updated in the 1990s. Colombia already has sailors with lots of experience on German submarines and the Type 206s can be obtained cheap. Exactly how cheap is currently under negotiation.

[. . .] If there were a war with Venezuela (which has been acting very belligerent over the last few years), the Type 206s would be used to shut down Venezuelan ports and destroy oil facilities. Venezuela also has two 1970s era Type 209 subs, said to be in worse shape than their Colombian counterparts.


Bundesmarine Type 206A submarine U22 in December 2006

Wikipedia says of these submarines:

The Type 206 is a class of diesel-electric submarines (U-boats) developed by Howaldtswerke-Deutsche Werft (HDW). Its design is based on the preceding Type 205 submarine class. These small and agile submarines were built during the Cold War to operate in the shallow Baltic Sea and attack Warsaw Pact shipping if the war turned hot. The pressure hulls were built out of non-magnetic steel to counter the threat of magnetic naval mines and make detection with MAD sensors more difficult. The low emission profile allowed the submarines in exercises to intrude even into well protected opposing forces such as carrier formations with their screen.

[. . .]

A major mid-life modernisation was conducted on twelve of these submarines, the boats concerned now being officially designated Type 206A. The work started in mid-1987 and completed in February 1992, being carried out by Nordseewerke, Emden; this upgrade includes:

The STN Atlas DBQS-21D sonar has been fitted, together with new periscopes, and a new weapon control system (LEWA). The ESM system has been replaced and GPS navigation installed. The rebuilt submarines are armed with new torpedoes (Seeaal), and the propulsion system has been comprehensively refurbished, and improvements have been made to the accommodation.

November 19, 2009

Venezuela tops the survey

Filed under: Liberty, Politics — Tags: , , , , — Nicholas @ 08:38

Unfortunately, it’s a survey on levels of corruption in the Americas. It’s not the sort of poll you want to feature in:

The latest Transparency International corruption survey found Venezuela the most corrupt nation in the Americas. Venezuela has also crippled press freedoms, putting increasing restrictions on independent media. President Hugo Chavez makes it clear that he wants to establish a socialist dictatorship for the region. Chavez can’t do this militarily, because he has crippled his armed forces by replacing most of the key officers with men selected for their loyalty to Chavez, rather than their military abilities. Chavez has ruined the economy with similar interference, especially in the national oil business, which represents the major export and largest source of government revenue. To further harm the economy, Chavez keeps closing the border with Colombia, disrupting trade that is vital to people on both sides of the border. The Venezuelans living along the border have become increasingly anti-Chavez because of all this economic damage, and lawlessness. This has just made Chavez more paranoid, and certain that those Venezuelans are secretly siding with Colombia.

In a time honored move, Chavez is trying to increase popular fear of neighboring Colombia by claiming that the U.S. is using Colombia as a base for a campaign to take over South America. The new treaty between the U.S. and Colombia, which allows American anti-drug air patrols to move their base from Ecuador to Colombia, is being used as evidence of an American plot. Ecuador, like Venezuela, has elected a leftist president who promises prosperity and reform. One of the first thing the new Ecuadoran government did was shut down U.S. anti-drug air patrols. As with Venezuela, the leftist policies have crippled the Ecuadoran economy, as well as press freedom. So both countries have been able to push the “an American invasion is coming” line. This has embarrassed other nations in the region, but they are reluctant to speak up. That’s because anti-American rhetoric is very popular, and few politicians are willing to oppose these myths.

« Newer Posts

Powered by WordPress