Venezuela minimum wage to rise by 50% 'to combat inflation'

[Little Tich]

Source: BBC

Venezuela's government has announced a 50% increase in the minimum wage and pensions amid runaway inflation.

President Nicolas Maduro says the move will protect jobs and incomes. Critics say it may worsen the crisis.

The opposition accuses Mr Maduro of mismanaging oil-rich Venezuela's crumbling economy. But he says he faces an economic war by political foes and hostile businessmen.

The International Monetary Fund says inflation will reach 1,600% this year.

Read more: http://www.bbc.com/news/world-latin-america-38551412

[FBaggins]

1. An increase from $8 to $12...

...per month

[cstanleytech]

2. Maduro would be doing his country a huge favor if he would resign. nt

[Ken Burch]

7. Nothing his opponents from the right want would help.

We already know that "incentives" for foreign corporations just mean the workers get screwed.

How is raising people's wages a bad thing?

[cstanleytech]

8. Because it wont put actual food on the table or to put it another way you can't eat cash.

They need to get trade going back again and some investments flowing otherwise they arent going to be able to fix the problem any time soon so the fastest way they can do that is if Maduro would resign because few CEOs will be willing to have their companies invest when Maduro might suddenly decide to seize the companies assets.

[NobodyHere]

3. Socialist paradise!

[7962]

4. Viva la ahhhh never mind......

[Truth321]

5. Truly they need more socialism. Too much capitalism

Is the problem. Then need to quit playing around and get down to pure socialism.

[hack89]

9. If you depend on global markets to survive

Than you are dependent on capitalism. Socialism won't fix the mess they are in.

[EX500rider]

11. They can go full "Juche" like North Korea...lol

Juche, usually translated as "self-reliance", is the official state ideology of North Korea, described by the regime as Kim Il-sung's "original, brilliant and revolutionary contribution to national and international thought".

[moondust]

6. And all the western media

immediately march out their "experts" to reassure everyone that it will do nothing, it's no good and never will be, forget it, move on, get over it, bad, bad, bad...

I wonder how they know that...???

[EX500rider]

12. A 50% raise while you have 1,000% inflation is like a candle in the wind..

.....ie, next to useless.

And things have been going from bad to bad, bad, bad in Vz.

700-1000% inflation
very bad murder rate (like 10x worse then the US rate)
food hard to find
medicine hard to get
All self inflicted wounds cause by bad government decisions.

[moondust]

13. When it comes to western media

reporting on Vz, I never know how much is factual and how much is corporate propaganda trying to tear down the socialists and help big western oil corporations get in there and rape the place of its resources like they have in other places. It wouldn't be that hard for them to simply report what the government is doing and then wait and see what effect it has--possibly in combination with some other measures?--rather than presumptuously passing judgment on it the day it is announced.

[metalbot]

14. Is that how the media should treat a minimum wage increase in the US?

I mean, if congress were to pass a $0.02 an hour wage increase, you would likewise argue that the US media should report on it, and not comment on it and see what effect it has?

I assume that you'll also want the media to do the same during the Trump administration: don't pass judgment on anything, just report it, and wait to see what happens.

[moondust]

15. Ridiculous.

Venezuela is not the U.S.

Most Americans including myself don't follow what's going on in Vz close enough over the long term to know its inner workings, what this or that measure could mean if allowed to work, what other factors may have an influence, etc. Most Americans and western media can, on the other hand, make educated guesses about what effect this or that measure would have on their own economy.

[Sunlei]

10. It's ok. Venezuela used 50% of USA Citgo refinary as collateral for billions a "loan" from Russia.

Russia will repo 50% of USA Citgo Venezuela and then take USAs place as oil refinery in Ven. Refined quality Ven.-crude will sell for much more on Global trade market.

In a surprise move this week, the cash-strapped country issued sovereign bonds for the first time in five years, to the tune of $5 billion.

The deal dovetailed with a separate decision by the government to pledge a nearly 50 percent stake in Citgo, its U.S. refinery subsidiary, as collateral for a loan from Rosneft, Russia's state-controlled energy company.

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