Venezuela confirms bigger bills amid world's highest inflation

[Theinquisition]

https://www.yahoo.com/news/m/9efcd39...on-crisis.html

CARACAS (Reuters) - Venezuela will introduce six new notes and three new coins starting in mid-December to help alleviate practical problems in doing business with the world's most inflationary currency, according to the central bank.

Currently, the OPEC nation's largest note is worth just 2 U.S. cents on the black market, meaning cash transactions are extremely cumbersome.

The bolivar currency has suffered its most dramatic monthly fall in history, down 60 percent since early November against the dollar on the black market, as the country struggles with a major economic crisis that is leaving millions hungry and the medical sector in crisis.

The largest new bill, according to a central bank communique, will be worth 20,000 bolivars, just under $5 on the streets. It will be accompanied by notes of 10,000, 5,000, 2,000, 1,000 and 500 bolivars and three coins of smaller value.

"(This) will make the payments system more efficient, facilitate commercial transactions and minimize the costs of production, replacement and transfer ... which will translate into benefits for banking, trade and the general population," the central bank said.

Paying a restaurant or supermarket bill without a debit or credit card can often require a backpack full of cash. However, even getting cash at ATMs in recent months has proven difficult.

On Friday, the country's point-of-sale machines suffered chronic malfunctions. Unable to process transactions, businesses asked customers to use cash, transfers or pay later.

President Nicolas Maduro blamed the problems on a cyber attack, but he did not provide any evidence. He attributes the country's economic crisis to an "economic war" led by the opposition with a helping hand from Washington.

Strict currency controls introduced in 2003, which pegged the bolivar to the dollar, coupled with heavy reliance on oil are seen as the root of the crisis by most economists.

Venezuela's central bank has failed to publish any inflation data for 2016. The International Monetary Fund estimates that price rises next year will surpass 2,000 percent.

The money supply, the sum of cash and checking deposits as well as savings and other "near money" deposits, was up a staggering 12 percent in the two weeks to Nov. 25 and the curve is literally exponential since Maduro's predecessor Hugo Chavez came to power in 1999.

Bernie Sanders must be upset at this development.

[Forgettable]

Bernie Sanders must be upset at this development.

What could have been a good discussion was killed before anyone had a chance to respond.

[s_bushido]

But if we evolved from monkeys, why are there still monkeys? Checkmate, atheists!

Wait...what were we talking about?

[Independent voter]

His name is Gustavo Díaz, and his website, DolarToday, has become a handy financial tool for Venezuelans trying to navigate the underground economy — so handy, in fact, that it affects the price of just about everything in Venezuela.

In Venezuela, the government officially sets the currency rate and it’s illegal to publish exchange rates for black-market dollars. But Díaz’s website does just that, basing the rate on actual street prices that Venezuelan consumers are paying for food, medicine, cars and everything else.

http://www.pri.org/stories/2016-12-0...ama-home-depot

This Venezuelan-American who works at Home Depot runs this website that sets all the black market prices in Venezuela. He's the most powerful guy in Venezuela and he lives in the US and works at Home Depot, that's how screwed up Venezuela is.

[Milchshake]

What could have been a good discussion was killed before anyone had a chance to respond.

Pretty much this. "I'm not a conservative" tries to bash Bernie by conflating his policies with a "socialist" in Venezuela.

Ironically they didnt pay attention to the Venezuela elections. Where Chavez and then Maduro promised to Make Venezuela Great again.

[NED funded]

His name is Gustavo Díaz, and his website, DolarToday, has become a handy financial tool for Venezuelans trying to navigate the underground economy — so handy, in fact, that it affects the price of just about everything in Venezuela.

In Venezuela, the government officially sets the currency rate and it’s illegal to publish exchange rates for black-market dollars. But Díaz’s website does just that, basing the rate on actual street prices that Venezuelan consumers are paying for food, medicine, cars and everything else.

http://www.pri.org/stories/2016-12-0...ama-home-depot

This Venezuelan-American who works at Home Depot runs this website that sets all the black market prices in Venezuela. He's the most powerful guy in Venezuela and he lives in the US and works at Home Depot, that's how screwed up Venezuela is.

Yeah. Having an exchange of 10 bolivars per dollar for essential stuff was and still is the stupidest idea someone could come up with.

[Aeluron Lightsong]

What could have been a good discussion was killed before anyone had a chance to respond.

Pretty much, it would be nice to not have my vision of current Conservatives confirmed all the time.

[NED funded]

Pretty much this. "I'm not a conservative" tries to bash Bernie by conflating his policies with a "socialist" in Venezuela.

Ironically they didnt pay attention to the Venezuela elections. Where Chavez and then Maduro promised to Make Venezuela Great again.

Venezuela is socialist.

[Mihalik]

Bernie Sanders must be upset at this development.

Really Tony? Really? This is the level of argument you'll bring to this?

I used to kinda respect you even if I didn't agree with you more often than not, but this is just Alex Jones screaming naked into a camera level manure.

[Milchshake]

Venezuela is socialist.

Its more kleptocracy than socialist. Kleptocrats like to disguise themselves behind "socialist" or populists movements, go figure.

[Easo]

OP, your response is ridiculous.
Do you even have any idea of difference between Sanders from States and the Maduro (and his predecessor...) from Venezuela?

[Draco-Onis]

OP,

Pointing at Venezuela and pointing that is socialism is akin to pointing at Greece and saying see that's democracy, after all who knew running your entire economy based on one commodity was a bad idea. You miss all the important details about the country including it's past /shrug.

[NED funded]

Its more kleptocracy than socialist. Kleptocrats like to disguise themselves behind "socialist" or populists movements, go figure.

That doesn't really add up with the reality of socialist leaders in Latin America. Take for example Evo Morales. He was elected president in 2006 and had the backing of the working class. First year was pretty chill, he enacted promised policy and happened without scandals. Right now he is being accused of handling power to negotiate mining contracts to a girl he had sex with when she was a minor.

[Theinquisition]

Pretty much this. "I'm not a conservative" tries to bash Bernie by conflating his policies with a "socialist" in Venezuela.

Ironically they didnt pay attention to the Venezuela elections. Where Chavez and then Maduro promised to Make Venezuela Great again.

Well, Bernie did praise the Venezuelan economy and government, it's not my fault he is economically illiterate.

Also...when did I claim not to be conservative? I've always said im conservative on economic and foreign issues, liberal on social issues.

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Really Tony? Really? This is the level of argument you'll bring to this?

I used to kinda respect you even if I didn't agree with you more often than not, but this is just Alex Jones screaming naked into a camera level manure.

I still respect you bud.

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Why everyone we disagree with is stupid and evil.

Well, this isn't a leftist created thread, so...no.

[Khelek]

To those defending Bernie:

"These days, the American dream is more apt to be realized in South America, in places such as Ecuador, Venezuela and Argentina, where incomes are actually more equal today than they are in the land of Horatio Alger. Who's the banana republic now?"

Quote from Bernie Sanders own website

He has no concept off real world economics.

[Celista]

Pretty much, it would be nice to not have my vision of current Conservatives confirmed all the time.

Yeah agreed. OP you can do better.

On topic: apparently Venezuela has no idea how to control inflation, that is unfortunate. Printing more notes is the exact wrong thing to do.

[NED funded]

OP,

Pointing at Venezuela and pointing that is socialism is akin to pointing at Greece and saying see that's democracy, after all who knew running your entire economy based on one commodity was a bad idea. You miss all the important details about the country including it's past /shrug.

Then point me to a working example of socialism? Because I can point you to functional countries with democracy. Also oil production is in a 14 year record low.

[Celista]

To those defending Bernie:

"These days, the American dream is more apt to be realized in South America, in places such as Ecuador, Venezuela and Argentina, where incomes are actually more equal today than they are in the land of Horatio Alger. Who's the banana republic now?"

Quote from Bernie Sanders own website

He has no concept off real world economics.

Bernie Sanders sniping and whether or not income inequality is an actual problem aside, we have a generation of millennials who are saddled with more student loan debt, stagnant wages and an rising-price housing market that is going to have a drastic affect on purchasing power. Which is, in fact, the engine that drives the American economy.

We need to care about those things, whether or not Bernie Sanders is right 100% of the time.

[THE Bigzoman]

To those defending Bernie:

"These days, the American dream is more apt to be realized in South America, in places such as Ecuador, Venezuela and Argentina, where incomes are actually more equal today than they are in the land of Horatio Alger. Who's the banana republic now?"

Quote from Bernie Sanders own website

He has no concept off real world economics.

In Argentina's defense, they were doing okay until Kirchner and his wife showed up.

Why are all these socialist fuckups south of the border democratically elected?

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That doesn't really add up with the reality of socialist leaders in Latin America. Take for example Evo Morales. He was elected president in 2006 and had the backing of the working class. First year was pretty chill, he enacted promised policy and happened without scandals. Right now he is being accused of handling power to negotiate mining contracts to a girl he had sex with when she was a minor.

Pretty much this.

Socialist leaders south of the border rise to prominence during times when their economies are growing at all-time highs because that's when income inequality politics hits its stride.

What a lot of their supporters fail to realize is that you have to bake a really nice cake before you can talk about cutting it.

[NED funded]

In Argentina's defense, they were doing okay until Kirchner and his wife showed up.

Why are all these socialist fuckups south of the border democratically elected?

- - - Updated - - -



Pretty much this.

Socialist leaders south of the border rise to prominence during times when their economies are growing at all-time highs because that's when income inequality politics hits its stride.

What a lot of their supporters fail to realize is that you have to bake a really nice cake before you can talk about cutting it.

They were on a bubble. Kirchner only made it worse.