Raul Gallegos

Years ago I remember listening to a story on NPR, maybe on Planet Money, about how strange the economy was in Venezuela. Strange meaning upside down, sideways, crazy town, wtf weird. I didn't really think about it again until I saw this book, but I was instantly reminded of that story and wanted a more in-depth explanation on how the most oil-rich country in the world is so damn poor. Unfortunately I walked away even more confused and looking for other resources (hello Freakonomics!) to explain the whole mess to me.

I don't think that's what the author was going for.

Let me first say that I did not major in economics, nor do I study it on the side. Money and exchange rates and national banks, yeah I only understand the surface level concepts. I suppose I was thinking this was a book written for the layman since the author is a journalist, but he just jumped into things without even cursory explanations of the most important concepts needed to understand Venezuela's issues. For instance, I never really understood how the government owns these mysterious US "dollars" that everyone is trying so hard to "buy". Why can't people just buy all the dollars they want? And how do they have three different exchange rates?? Not to mention the whole concept of another country "adopting" the dollar as their currency. How the hell does that even?! Still no idea, and I think it's because there wasn't a basic primer on the concepts the author was using.

The most successful parts were the ones that (surprise!) I actually understood. Like how a permanent toilet paper shortage can really suck, and how hotels are cheaper to live in than buying a home. At least at the Renaissance they have toiletries. Stories about the super long lines to buy even the most basic necessities, and the black market that supplies them as well. The details of how the government has raided the oil company coffers time and again to pay for social programs that don't seem to work were disheartening. In fact, all of the government bloat was disturbing to read, especially since so much of it could be avoided or fixed with a different outlook from the various presidents.

I was mostly just disappointed at how little of the issues I really understood, but maybe that's my fault? I have the feeling that this is a book meant for general consumption, but I really had a hard time understanding the basic economic issues at the heart of Venezuela's problems. I think that if you had that kind of background or understanding this would been more enjoyable, but to me I am just walking away more confused and totally disappointed.

Copy courtesy of University of Nebraska Press/Potomac Books, via Netgalley in exchange for an honest review.… (más)