Venezuela hyperinflation has begun.

[ironmanjakarta]

Venezuela annual inflation rate hits 30 percent
http://apnews.myway.com/article/20100508/D9FIDGM01.html

[MozoVote]

They also are at risk of losing most of their hydroelectric power due to drought and mismanagement.

[Vessol]

Socialism in action.

[Zippyjuan]

Chavez is a great example of how NOT to run a country- unless you want to run it into the ground, that is.

[ironmanjakarta]

http://777denny.files.wordpress.com/2009/09/chavez-obama-111.jpg?w=300&h=252
"If you want to know who I am, look at the people with whom I surround myself."

[Depressed Liberator]

http://777denny.files.wordpress.com/2009/09/chavez-obama-111.jpg?w=300&h=252
"If you want to know who I am, look at the people with whom I surround myself."

I don't think that is completely fair, since he was sort of just there.

[hugolp]

This is really nothing extrange for Venezuela. If I recall correctly, before Chavez they even had 60% price inflation one year. I now 30% rising prices sounds scary over here, but they are kind of used to it over there. Its not that extrange.

Now you understand why nothing works there. Imagine trying to calculate with that kind of volatility and the bubbles it generates.

[WaltM]

let's attack them!

[V-rod]

Chavez already imposed more price control.s

[libertythor]

Venezuela is starting to appear like a theatrical production of "Atlas Shrugged". Coming to America soon.... :eek:

[jbuttell]

I don't think that is completely fair, since he was sort of just there.

hey, look at the bright side, at least Obama isn't bowing.

[lynnf]

hey, look at the bright side, at least Obama isn't bowing.


yes, what disrespect for Hispanics, what a racist -- he bows to Asians and Arabs, but not to Hispanics!

lynn

[fatjohn]

let's attack them!

;)

[Rylick]

What would you expect with a socialistic system like they have in Venezuela ?
Look at Chile, they are doing fine with their pro-freedom philosophy.

[Cowlesy]

We better bomb Iran.

[ironmanjakarta]

let's attack them!

goldman sachs said we cant, its where they're going when they're finished looting the country.

[qh4dotcom]

30% is not hyperinflation...it's high inflation but not hyperinflation

[ironmanjakarta]

30% is not hyperinflation...it's high inflation but not hyperinflation

if it stays around 30-50% per year then i'd classify it as mild hyperinflation, zimbabwe would be catastrophic hyperinflation.

[tangent4ronpaul]

Chavez is a great example of how NOT to run a country- unless you want to run it into the ground, that is.

Obama is a better example - unfortunately.... :(

-t

[MozoVote]

Even 5% a year of currency devaluation adds up.

I'm 42 and I can remember 15 cent candy bars, 59 cent gasoline, $1.29 gallons of milk when I was a kid.

Heck, candy was still 40 cents from the vending machines, during my freshman year in college in 1986.

If you chop the trailing zero off today's prices, they'd be about where they were when I was born. My mother says chicken used to be 15 cents a pound, and you could rent a small apartment for $75 a month, in the late 1960s.

[tmosley]

Hyperinflation is usually defined as 300% annualized inflation or higher. 30% per month will get you there.

[MozoVote]

I'd say even 10% a month is enough to trigger in people's minds to "get rid of cash as quickly as possible, and buy something real".

[TC95]

We better bomb Iran.

Yeah! Let's bomb Iran and Venezuela at the same time!

[tmosley]

I'd say even 10% a month is enough to trigger in people's minds to "get rid of cash as quickly as possible, and buy something real".

It's the same thing. Inflation rates map directly to the people's desire to save money. The higher the inflation rate, the lower the savings rate and the higher the velocity of money.