Economic freedom in Venezuela is behind bars: the country returns for the fourth time in the last position of the annual report of the World Economic Freedom Index (EFW), prepared by the Fraser Institute of Canada with the collaboration of Cedice. On this occasion the economies of 162 countries and territories were evaluated
The results of the study show that economic freedom in Venezuela shows a sustained decline during the last eight years. The concept is understood as "the ability of individuals to decide how to use their time and resources to model their lives without interference from others," according to Rocio Guijarro, CEO of Cedice.
The freedom of the economy is evaluated with five variables: size of the government, legal system and property rights, existence of a healthy currency, freedom of international trade and credit, labor and business regulations.
After analyzing the Venezuelan situation, it was concluded that this year the score obtained was 2.88 out of 10. The notes reached were as follows:
Government size: 4.69 / 10.00
Legal system (independence of the Judiciary) and property rights: 2,00 / 10,00
Healthy currency: 1.94 / 10.00
Freedom of international trade: 3.28 / 10.00
Credit, labor and business activity regulation: 2.48 / 10.00
The Observatory of Property Rights of Cedice has shown that in the governments of the late President Hugo Chávez Frías and Nicolás Maduro there has been "a policy of systematic attack" against the right of property, established in the First Socialist Plan of the Nation 2007- 2013
With expropriations, confiscations, nationalizations and inspections, the government has caused the fall of domestic production and generated a process of scarcity of goods of all kinds, which had never been seen in the history of Venezuela, according to Ana Carrasquero, researcher at the Observatory .
The shortage of products of first necessity has also been deepened by the measures of the National Superintendence for the Defense of Socioeconomic Rights. In addition, personal and legal insecurity has increased with the arrests of supermarket managers.
Another aspect is that the national currency - which went from being a strong bolivar to a sovereign starting on August 20 - continues losing its value every day due to the hyperinflationary process in which Venezuela is
submerged since last October, when it reached the 50% barrier for the first time in its history.
In just one month, from July to August, inflation rose 98.1 percentage points. In July it was 125% and in August it was 223.1%, according to the national consumer price index, calculated by the Finance Commission of the National Assembly. The daily rate of the past month was 4%, which exceeds the inflation projections for 2018 for countries such as Chile, which is 2.8%.
The results of the World Index of Economic Freedom indicate that in Latin America the first place is occupied by Chile. The place with the greatest economic freedom in the whole world was for Hong Kong. They are followed by Singapore and New Zealand.
It is logical that Venezuela is in that position, what is strange is not to be last, with those economic policies wrong of both Hugo Chavez who was the driving force of the malevolent expropriations and Nicolas Maduro who has tried to follow a libretto that the to your liking has changed to convenience.
Then they hope to have a firm, strong economy, and they claim to be in an economic germ promosed by opposition politicians and international governments, when they themselves are creating their economic war.
