I will start this publication giving some concise data ...

In Venezuela you can buy 9510 gallons of gasoline for 1 US dollar, but the average monthly salary in Venezuela is US $ 6 before taxes and discounts. A citizen can buy approximately 4kg of pasta (spaghetti) with the same amount of money that he would buy 57060 gallons of gasoline.

These low prices are the result of the subsidy that the government has on the sale price. How does it work? Well, the Venezuelan state oil company, PDVSA, is in charge of distributing gasoline to the fillings stations where it is sold to the citizens, later the owners of the fillings stations are in charge of transferring an invoice to PDVSA, so that PDVSA ultimately pays to fillings stations for commercial margin concepts, in this way citizens can buy gasoline at a ridiculously cheap price and the owners of fillings stations receive profits for lending their facilities to distribute the fuel, and all this is possible thanks to the fact that Venezuela's subsoil contains the largest oil reserves in the world.

For decades the system has been practically the same, Venezuelans have been paying virtually nothing for fuel, the only time a politician tried to raise the price of gasoline was ending the decade of the eighties, and did not end well, protests and repression broke out in the streets of Caracas, capital of Venezuela, however, the socialist government of Venezuela decided to raise the price of gasoline 6,000% in the midst of the current crisis that the country suffers, but even so it remained the gasoline most cheap of the world.

As I said, the fuel subsidy system remained in operation for decades without any problems, however, at present, the government has had to limit the sale of gasoline to 9.24 gallons per automobile and 1.32 gallons per motorcycle in several states of the country.

Message from a Venezuelan about the situation of gasoline:

In order to better appreciate the abysmal subsidy that exists on the price of gasoline in Venezuela, we will put in context that the price of gasoline in the United States, which is between a range of 2.25 to 2.85 dollars per gallon , and in Norway, for example, the price of gasoline is approximately $ 2 per gallon.

Sources: @TruthForce y @Scandinavianlife.

In the United States you can buy 9510 gallons of gasoline for approximately $ 23,775, while in Norway you can buy for 19,020. Interesting is to understand that in the middle of the crisis that Venezuela currently suffers, citizens could acquire for a single dollar, that same amount of gasoline. That level of economic distortion can only be found in countries where the market is totally subordinated to the power of a State.

Many analysts and economists tend to say that it is necessary to eliminate the gasoline subsidy in order to stabilize the national economy and thus open prices in the market, as well as greatly reduce the current deficit of PDVSA and the government, however , I think they are forgetting the first and maximum problem of eliminating the gasoline subsidy, and that is that there is no way to establish a correct price if there is a monopoly, because a market that does not have the information provided by the price system and the competition lacks the power of self-regulation.