The corrupt socialist state has the largest oil reserves on earth, yet their economy is collapsing into the abyss.
The inflation rate in Venezuela has reached a staggering 440,000% – far above the ‘official’ figures put forth by the socialist government.
That calculation was made by Bloomberg, who found a way around the widely-distrusted inflation figures put forth by the Venezuelan authorities.
By studying the price of a cup of coffee at the same bakery in Caracas over time, they have found the true inflation rate, and it is horrendous.
It’s called the Cafe Con Leche Index, and it shows that the price of a cup of coffee has increased from 5,500 bolivars to 45,000 bolivars in just the past three months.
That equals an annualized rate of inflation of 448,025%.
By contrast, the inflation rate at the end of last year was 1,718%, showing how rapidly the already-weak currency is being devalued.
Clearly, Venezuela has officially reached hyperinflation territory.
The failure of socialism
There is no more fitting example of socialism’s failure than the fact that Venezuela is collapsing economically despite having the largest proven oil reserves on the planet.
Despite all the socialist claims of “equality” and “justice,” the leaders of Venezuela are rich and well-fed while their people starve and suffer in poverty.
In Venezuela today, the only equality is the equality of terrible suffering enveloping the majority of the population, and justice exists only for the government-connected elites.
That won’t change until Venezuela is freed from their socialist government, and we must all learn the lesson of how dangerous the socialist ideology truly is. It’s sold on dreams of a utopian future, but it ends in a brutal nightmare.