Why Venezuela is unhappy after a 3,000% wage hike

With the new, undervalued currency being rolled out, there is near consensus among economists that chaos will ensue. “There will be a lot of confusion in the next few days, for consumers and the private sector,” news agency AFP quoted director of Caracas based-Ecoanalitica consultancy, Asdrubal Oliveros, as saying. “I still don‘t understand it very well,‘‘ news agency AP quoted homemaker Maritza Vargas, withdrawing a 5 bolivar bill from her Caracas bank. “The truth is that I‘m still not clear.‘‘ Economists say the plan, which was announced last Friday, is likely to escalate the crisis facing the once-booming nation that is now suffering from Soviet-style product shortages and a mass exodus of citizens fleeing for other South American countries. More…