Wednesday, September 7, 2016

Venezuela: Chaos, Not Anarchy

Hegemons select bad ideas from all those on offer to maintain their power: discord needs a hegemon.  Sometimes those bad ideas get out of control.  A lot of Venezuela's problems are USA interference, but USA tries to interfere with many other places, like Hong Kong, to little effect.  Good idea are a immunization to bad ideas.  What hegemon's ultimately run into is chaos:
The public prosecutor opened 74 investigations into vigilante killings in the first four months of this year, compared to two all of last year. And a majority of the country supports mob retribution as a form of self-protection, according to polling from the independent Venezuelan Violence Observatory.
The revenge attacks underscore how far Venezuela has fallen, with the lights flickering out daily, and food shortages fueling supermarket lines that snake around for blocks. As the plunging price of oil has laid bare years of mismanagement, the economy has come apart, and with it, the social fabric.
Venezuela now has one of the highest murder rates in the world, and it's hard to find a person who hasn't been mugged. In the general haze of violence, Bernal's killing didn't stand out enough to make the front pages or provoke comment from local politicians.
There are too many long stretches of peace and prosperity in history with no king, because of no king, for us to fail to recognize anarchy as a preferred option.

Venezuela borrowed more ex nihilo credit than it could pay back. Now, unless it bows down to Washington, it will suffer.  There is a lesson, do not borrow ex nihilo credit.

The leaders agreed to take the credit and the people suffer.  Now people are escaping to anarchy.

China has warned them not to do so, but the next governments best move would be to repudiate all of the debts and start over.  Argentina did it, and it works, but with a problem.  It works because like a bankruptcy your credit is good again soon enough, but like Argentina country's go right back to borrowing more than they can pay back.  One demon cast out, seven come back to stay.  You'd have to make a rule tha the government can neither make credit nor borrow money.

Fat chance.

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