Venezuela’s Coming Meltdown

Travelers returning to Venezuela from abroad bring toilet paper, corn flour, and sugar in their luggage, since finding these goods in Caracas and other cities involves a search worthy of a treasure hunt. In a country that once boasted Latin America’s largest and most modern supermarkets, long lines are now visible, as customers wait for the arrival of desperately needed milk. Venezuela has long had an auto industry. GM established its first assembly plant there in 1948, and Ford’s operation is over 50 years old. Car production reached 400,000 units early in this century, while Venezuela once boasted Mercedes Benz’s only overseas assembly plant. Now plants are almost completely paralyzed, while drivers must queue for hours to purchase scarce car batteries. More...