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> the refusal of the US to trade Venezuela is refusing international aid. There are sanctions on their government bonds, but the lack of private sector trade i
by repsilat 8y ago
> the refusal of the US to trade
Venezuela is refusing international aid. There are sanctions on their government bonds, but the lack of private sector trade is basically caused by
- the lack of private sector industry,
- a lack of hard cash now, and
- trade barriers implemented by the Venezuelan government
not punitive American trade barriers or them somehow being turned into a "pairah".
- omegaworks 8y ago>Venezuela is refusing international aid. All aid from the IMF comes with punitive strings attached. Enforced austerity from abroad. A painful, unwarranted contraction of the economy primarily felt by the people most at risk. >There are sanctions on their government bonds You sanction a government bond and guess what happens? Debt becomes expensive, development becomes impossible. You are unable to cushion economic shocks like the threat of sanctions by a major economic superpower. The threats become liable to throw the entire economy into chaos, sending investors, domestic and international, fleeing for less risk. We're keeping their oil cheap for a reason.