Venezuelan prices skyrocketing as inflation hits 54.3% per annum. Maduro blames foreigners and specu

[Sobotnik]

[quote]Venezuela's consumer prices rose 5.1 percent in October, accelerating from 4.4 percent the previous month to their second fastest pace in six years, the central bank said on Thursday.

The 12-month inflation rate climbed to 54.3 percent, the latest blow to President Nicolas Maduro's efforts to stabilize the economy. Heavy public spending and a creaking currency control system left businesses struggling to import consumer staples, machinery and replacement parts.

Venezuela's monthly inflation readings have been rivaling yearly price increases of other Latin American nations, threatening to weaken Maduro's base of support among the poor that benefited from the oil-financed largesse of late President Hugo Chavez.

October's inflation was led by alcohol and tobacco prices which rose 8.6 percent. The important food and non-alcoholic drinks sector was up 5.6 percent.

The central bank's "scarcity index", which reflects shortages of basic consumption goods, reached 22.4 percent, its highest level since the start of 2010.[/quote]

[quote]Maduro says inflation and product shortages are caused by an "economic war" led by unscrupulous businesses backed by ideological rivals in the United States who are seeking to undermine his socialist administration.[/quote]

[url]http://www.reuters.com/article/2013/11/07/venezuela-inflation-idUSL2N0IS28H20131107[/url]

[Zephyrs]

On the one hand it sucks for the people there. Entire retirement funds and life savings become meaningless overnight when you undergo hyperinflation.

On the other hand, his reasoning is so asinine it's hilarious.

[Rangergxi]

This is the same country that threatened Spain with economic sanctions because of the Spanish King telling Chavez to shut up.

[Cutthecrap]

From the other post related to electronics chain take-over:

"Yes you moron, thanks to you now I have a country with 25-30% annual inflation, 90% of the working force in the industry has a POS salary and we are now facing a inflation-recession. No wait, its the international market trying to fuck up your effort. "
(related to Argentina)

Well, seems that my statist venezuelan counterpart is not so different....

[yawmwen]

[quote]Maduro says inflation and product shortages are caused by an "economic war" led by unscrupulous businesses backed by ideological rivals in the United States who are seeking to undermine his socialist administration.[/quote]

technically possible, and i wouldn't exactly be surprised if it were true. even assuming it was, bad government policy is still the main problem in venezuela from what i'v seen.