Hyperinflation in Venezuela
Why are they experiencing hyperinflation?
Due to authority price control and plunge old prices, which caused oil companies to bankrupt. The government made the decision to start printing money the prices rose like a streak, unemployment inflated, and GDP crashed.
Social Impact
Venezuelans have been relocating to find work and supplies elsewhere, and population growth has decreased. Over 1 million children has faced challenges in obtaining education. They’ve suffered from 1,331 deaths from COVID-19.
Economic Impact
From subsidies for those that have low income at the moment to health services, the bills value fell, the cost of imported goods rose. Venezuelans started to exchange their bolĂvares to US dollars when they crossed the border.
Political Impact
According to cfr.org, “Venezuela is one of the most violent countries in the world, with a homicide rate around 60 per 100,000 inhabitants”. Years of corruption, malfeasance, and cronyism over 50% of Venezuelan population live in poverty.
Do I Believe Venezuela has potential in having a global impact
Yes, I see a progress that their hyperinflation has been going down over the years. If they keep it up Venezuela can go back to being the country it once was. The government has to stop thinking about just him and think about the people he’s serving for. With help from the community this country will be unstoppable once they encourage other that violence isn’t the answer.