RE: Crumbling Global Crude Oil Price: Is Nigeria On the Verge of Another Economic Recession?
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I also live in an oil producing and exporting country, the defect we have here also has to do with the lack of diversification and the lack of fulfillment of a 50-year-old proposal to "Sow Oil" that referred to the idea to establish an investment budget based on oil profits, in order to develop education and industrialization, to achieve income diversification.
Unfortunately, the political caste was not committed to the idea and it was preferred to make short-term investments with a populist sense and spending was sometimes increased suspiciously.
Now, after the beginning of the 21st century with very high oil prices, we are facing a dangerous drop in prices, coupled with our investment failure and corruption problems, gives a bleak picture in this part of the world.
I was just wondering how Venezuela can handle current situation :/
I think that for some colleagues in other countries curiosity goes in two ways:
For the first thing on the list there are many interpretations, including those that have to do with an old and almost congenital political and administrative corruption, but also in the case of the second there are many different interpretations.
According to some colleagues, the Venezuelan ideosincrace has had to do with the issue of not causing a serious problem, after all it was considered for decades one of the "happiest countries in the world", largely because of the tendency to laugh at everything and make jokes of anything, taking lightly any situation ... that is not quite good, because it is an evasion, a joke is usually made or a laugh is given, but the problem is evaded instead of solving it.
Another thing that seems to have helped is emigration, professional people who oppose the governing system of the party that governs in the last 21 years were persecuted labor and mass dismissal, sought job opportunities outside the country and formed the first great Venezuelan wave of migration of the Century XXI, then, when the crisis was exacerbated by the fall in the price of oil and it became clear that if the political caste could not keep things running with an oil price higher than $ 100, then they could do less with prices below $ 50 That led to the successive waves of migration in recent years, which has even managed to reverse the country's immigration rate, as Venezuela was by tradition a recipient country of migrants, not a country where people left to emigrate.
Well, the thing is that the emigrants left and looked for job opportunities, many left relatives in Venezuela and what they could save were sending family remittances to help their families survive. This phenomenon I think is nothing new for many poor countries in the world, but it is the first time in its history that it happens to Venezuela.
So I think that today we bring the situation afloat thanks to the foreign exchange in the market and the peculiar "sense of humor" that makes a joke of misfortune, but with the fatalism of accepting it as something inevitable and without doing anything to change it in most cases.