Hugo Chavez’s Socialism: Beg, Borrow or Steal
Ray Walser /
Venezuela’s populist authoritarian President continues to battle a slumping economy, high inflation and faltering popular approval ratings. With the national oil company (PDVSA) the chief lifeline of his regime, Chavez will literally beg, borrow or steal to keep pumping oil.
Chavez’s nationalization mania took off in earnest in 2007. Last year, facing $40 billion in debt, many properties of foreign oil and service companies were nationalized. This week the Chavez’s continued his war of attrition against foreign operators, commandeering 11 U.S.-owned oil drilling rigs belonging to Helmerich and Payne of Oklahoma.
Chavez promises all will be compensated at market value, hence theft with compensation. One has a feeling the growing line of international claimants for compensation in Venezuela has begun to resemble a visa line outside an American embassy. As for Chavez, he seems to enjoy terrorizing investors just as he favors terrorists in general. (more…)