Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
Latest Breaking News
In reply to the discussion: Now Venezuela is running out of toilet paper [View all]hack89
(39,171 posts)26. Their biggest problem is declining oil production
During his presidency, Chavez diverted much of that potential wealth to Venezuelan consumers in the form of cheap gasoline (18 cents per gallon or less). He propped up the Castro regime in Cuba, and he offered Venezuelan oil on highly preferential terms to 18 Caribbean and Latin American countries through an energy alliance he called PetroCaribe.
Oil production in Venezuela declined sharply under the Chavez administration, however, largely due to inadequate investment in the energy infrastructure, inefficiencies in oil industry management, and the replacement of skilled oil technicians and managers with political loyalists.
The drop in oil production more than 7 percent just in the first quarter of 2013 is severe enough to call into question whether the Chavista oil welfare programs can be sustained. For the Caribbean and Latin American countries that have been benefiting from the PetroCaribe program, it is a time of great anxiety.
"In 1997, PDVSA was producing 3.5 million barrels a day," notes Piñon, now an energy analyst at the University of Texas at Austin. "Today they are about 2.8 million barrels a day. It shows you what a bad job the Venezuelan government has done in managing their national oil company."
Oil production in Venezuela declined sharply under the Chavez administration, however, largely due to inadequate investment in the energy infrastructure, inefficiencies in oil industry management, and the replacement of skilled oil technicians and managers with political loyalists.
The drop in oil production more than 7 percent just in the first quarter of 2013 is severe enough to call into question whether the Chavista oil welfare programs can be sustained. For the Caribbean and Latin American countries that have been benefiting from the PetroCaribe program, it is a time of great anxiety.
"In 1997, PDVSA was producing 3.5 million barrels a day," notes Piñon, now an energy analyst at the University of Texas at Austin. "Today they are about 2.8 million barrels a day. It shows you what a bad job the Venezuelan government has done in managing their national oil company."
http://www.npr.org/2013/04/11/176843567/venezuela-s-next-leader-faces-tough-choice-on-oil-program
They are screwed if oil prices remain steady. They are really screwed if oil prices go down.
Edit history
Please sign in to view edit histories.
175 replies
= new reply since forum marked as read
Highlight:
NoneDon't highlight anything
5 newestHighlight 5 most recent replies
RecommendedHighlight replies with 5 or more recommendations
It's amazing the kind of pressure the elite corporate capitalists can put on a country
fasttense
May 2013
#1
Yes, indeed. The government has touched bottom (pun intended) with this latest circumstance.
MADem
May 2013
#147
This is one of the more deluded or misguided posts I've read in a long time. nt
TeamPooka
May 2013
#165
IDK all that, but most paper goods manufacturing is owned by the Koch brothers, isn't it?
freshwest
May 2013
#84
Interesting analysis, except that Venezuela's economy has been growing at 5+%...
Peace Patriot
May 2013
#62
With rampant inflation, declining oil production and a skyrocketing murder rate.
hack89
May 2013
#117
Cost per barrel plummeted in the Bush Junta-induced worldwide depression,
Peace Patriot
Jun 2013
#174
First off: I'm for nationalizing things. Here, elsewhere. Example, our oil industry vs. Norway's.
freshwest
May 2013
#171
Toilet paper and paper products are the Koch brothers biggest selling products people!
xtraxritical
May 2013
#32
The Vzla. Govt. is the ONLY entity allowed to IMPORT Into Vzla. the dictator controls everything.
Bo
May 2013
#82
I'll have you know, the "Hawaiian" pizza (ham and pineapple) is more popular in California
KamaAina
May 2013
#111
yep, it always starts with limiting TP production and then the shit really hits the fan
Bacchus4.0
May 2013
#29
its quite embarrasing since Venezuela has been a fairly developed country for decades
Bacchus4.0
May 2013
#27
I predicted he wouldn't serve out his term. This election was too close. I agree that pure.....
Tarheel_Dem
May 2013
#77
I've never seen anyone say anything like that. You have quite an imagination, congrats. nt.
polly7
May 2013
#67
To many DUers, nationalizing major industries, declaring class warfare and destroying foreign trade
Nye Bevan
May 2013
#101
I know of at least one DUer who lives in an elite community in Latin America.
joshcryer
May 2013
#138
Well, I read the links and it doesn't look good for you so far. Looks like slander to me, unless you
idwiyo
May 2013
#156
I love Venezuela. Its a beautiful country with wonderful people. Too bad the government
Bacchus4.0
May 2013
#53
Yep, now its just 30-100 per weekend in Caracas and 20,000 + murders per year
Bacchus4.0
May 2013
#119
now the chavistas are trying to blame Capriles and former Colombian president Uribe
Bacchus4.0
May 2013
#126
The only thing more fragile than a box of puppies is the Venezuelan economy, apparently
Dreamer Tatum
May 2013
#127
you'd think with all those oil dollars coming in they'd be able to provide food and TP for
Bacchus4.0
May 2013
#68
Looks like the "Make the economy scream" people are back in the saddle in DC again.
leveymg
May 2013
#78
I would have thought this discussion would have completely unrolled by now
brooklynite
May 2013
#122
Capriles and Uribe sued over plot to wreck Venezuela's trade with Colombia
Peace Patriot
May 2013
#133
Blaming the opposition there is like blaming the republicans here for our do nothing congress
Exultant Democracy
May 2013
#134
Agree 100%. That's why I am so shocked that some DUers openly support Venezuelan opposition.
idwiyo
May 2013
#135
Yet you behave like it is. Otherwise you wouldn't be advocating for RW coalition who are hell bent
idwiyo
May 2013
#148
I'll answer your post later. Can you please provide a link that supports your claim that Cuban
idwiyo
May 2013
#154
Chicken, too. The economy is a mess and the ruling regime has only themselves to blame. nt
MADem
May 2013
#146
I thought Johnny Carson was dead, but his statement on the Toilet paper shortages I see lives on.
happyslug
May 2013
#158
How is 100k rolls of toilet paper going to help a country of 30 million? You ignored the math
msanthrope
May 2013
#164
No--it wouldn't be logical at all. Why? Becasue you've assumed a premise wholly without
msanthrope
May 2013
#169