Cheaper To Wipe With Fiat

in venezuela •  7 years ago 

Prices in Venezuela have increased more than 4000% over the last year.

The Venezuelan Bolivar has quickly lost its value and eroded the quality of life for millions. Imagine, the currency that you are used to using every day to pay for your daily goods, all of a sudden becoming a cheaper option for you to wipe with than going to buy toilet paper. That is, if you can find any toilet paper on the shelves to purchase.

Prices are doubling every month...

Millions of people don't have enough money to afford to purchase what they need to live comfortably and a great deal are going without quality food, medicine, and more.

The monthly inflation rate is estimated to be around 167% right now.

World of Warcraft currency is said to be worth about 7x as much as the Bolivar at the moment. And there are a growing number of people who are resorting to bartering in order to survive and get what it is that they need.

This weekend an election is being held that might possibly determine a change in policies, depending on the results.

However, critics have already called the election a sham and some have suggested that they will flee the country if the current regime maintains their power. As well, the British company that was allegedly behind the voting machines that were used in the last election, have previously claimed that there was manipulation involved with the election. And there are many who will be skeptical of the results this weekend, especially if they are in favor of the current administration.

The Bolivar is a failing fiat currency like hundreds of other fiat currencies that have failed before it.

The central banking system behind these fiat currencies is a dangerous scheme that breeds financial instability, promotes overspending, and affords the government with even more control over business life and society in general. Central banking mostly benefits the money producers and it fosters an unstable monetary situation that the people are forced to clean-up.

The central banking scheme that many countries operate with today is also anti-free market because it violates competition and establishes a government monopoly over money creation. And their current money-making scheme could essentially be described as legalized counterfeiting.

It's also a form of theft, via inflation, though some might justify this by saying the inflation is lawful. However, just because something is lawful doesn't make it moral. Many immoral acts have been committed by the state throughout human history, though they might have been deemed "justified" and "lawful" at the time.

centralbank.png

What we have today in the United States, as with in Venezuela, is not a free market, it's interventionism and could be argued that the system has been designed to fail by destroying the middle class and helping to finance some of the worst government endeavors in history.

A reversal on the path of disaster that central banks have been leading us down, would be a turn in the direction of embracing individual liberty and voluntary exchanges. It's time to abandon the interventionist policies. Central banks have eroded a great deal of purchasing power over the years and that isn't within the best interest of the people. Thankfully though, whenever those fiat currencies have failed, it hasn't taken long before the people try to establish a solution of their own and that often means that many resort to peaceful and voluntary bartering, as we've seen in Venezuela and other regions that have suffered economic turmoil.

The election is being held this Sunday in Venezuela. Some groups, such as Human Rights Watch, have already suggested that the election has no credibility and there are many news agencies who've reported that Maduro is expected to win.

Pics:
via caraotadigital.net / EFE
pixabay
freethoughtproject
imgflip

Sources:
http://www.dw.com/en/venezuelas-worthless-currency-turns-into-bags-of-money/a-43833213
http://fortune.com/2018/05/07/venezuela-bolivar-currency-bartering/
https://www.businesstimes.com.sg/government-economy/venezuela-inflation-hits-13779-lawmakers
http://fortune.com/2018/05/07/world-of-warcraft-currency-bolivar-venezuela-inflation/
https://www.theguardian.com/world/2018/may/18/venezuela-election-maduro-ready-for-battle-as-voters-vow-to-flee-if-he-wins
https://www.bloomberg.com/news/videos/2018-05-18/venezuela-election-has-no-credibility-human-rights-watch-video
https://www.nbcnews.com/news/latino/expecting-maduro-win-many-venezuelans-say-they-won-t-vote-n875121

Related Posts:

Weaving Worthless Central Bank Notes Into Art To Survive

https://steemit.com/economy/@doitvoluntarily/weaving-worthless-central-bank-notes-into-art-to-survive

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...[it] could be argued that the system has been designed to fail by destroying the middle class and helping to finance some of the worst government endeavors in history.

It could also be argued that the system has been a success because it was designed to benefit the ruling class at the peril of everyone else, and it has.

I find it sad that a countries currency is so worthless even though the country has a vast amount of oil. Although this is sad it also helps the crypto market since people believe more in BTC than in the Bolivar and also a lot of crypto mining is happening in Venezuela since the energy is dirt cheap. In the end I believe that Venezuela might help crypto but at the same time if the petro becomes a scam it can hurt crypto aswell

Dear friend, you have fallen short of what is happening in Venezuela. The devaluation exceeds 9000% and as of June 4, 2018, inflation is estimated to be above 12000%. What you may not know is that "El Bolívar" no longer exists in Venezuela for eight years; today it is managed by what is called "El Bolívar Fuerte" and as of June 4 it will be called "Bolívar Soberano", respectively Bs., Bs.F., and Bs.S.

Between each of these denominations, three zeros have been removed to simulate that things have gone down in price, that is 1 Bs.S. = 1,000 Bs.F. = 1,000,000 Bs.. If so, draw your own conclusions.

The living conditions of Venezuelans are so bad that they fear to get sick because you die. People are skinny; it's sad.

In the days leading up to the elections, the atmosphere is one of collective stress.

You know, steemit has been invaded by Venezuelans; I am one of them, and it has been through this platform that this great number of Venezuelans have been able to feed our families. But today, the regime is in a frank intervention of the banks that detect in the processes of change for the benefit of Venezuelans. They have already closed numerous current accounts in Banesco, Mercantil and Provincial for that reason; that is why today, those who are in charge of the change of currency for Venezuelans in steemit, are wary and tread carefully not to be caught.

did you read the related post? :)

Of course, my friend, but I was interested in making it clear that the inflation rates as depicted by the agents of the State do not correspond to reality. A respectable statistic would be to say for certain that inflation in Venezuela is around 100,000.00%.

I have heard fools say, for the first time in my life that I have had two million in my bank account, imbeciles, blindfolded people who, as of June, with the new monetary cone (if it were applied), would be slapped in the face for the ignorance they have accumulated.

It doesn't matter who is in charge of Venezuela. As long as America is engaged in a trade war with them, they will suffer.

Great post as always @doitvoluntarily ! The memes say it all... Its a travesty really! Upped and resteemed !👍👍👍

A financial crisis of this magnitude can be as devastating as a nuke going of in a major city. After spending the last six months in south America I really commend the neighboring countries for taking in hundreds of thousands of financial refugees.

Another great post my friend. Made it back to my hometown in New York. 14 countries on three continents in the past 12 months. Only wish I had more time to see your posts! Thanks for supporting my efforts here....and have a great day my steemit brother!

Uh oh.

The one problem that digital currencies can never solve! They can never be used as toilet paper!

Oh wait, I guess there are such things as paper wallets.

I'm a Venezuelan I want to say that everything you read here, is true.

You are so right saying that that system was designed to fail! The ones who put in the most (work) tend to get the short end for sure!

It is foolishly true everything you say friend, the bolivar is devalued and is worth nothing, the products increase daily is a surprising thing and can not stand it, money does not reach we have relatives outside of Venezuela and they send us money to be able about living, medicines the few that are obtained have a very high price, in a few words we are dealing with the madness and despair

Y lo que, nos falta por ver estimada amiga @glorimarbolivar. De darse mañana el parapeto de elecciones y de seguro ganar el régimen; En Utopía, las condiciones humanas serán mejores que en nuestra amada Venezuela.

The world is flying apart at the seems, and it is being financed by the bankers of the world who have always loved war. They lend to all sides and then reap the rewards for decades of countries being indebted to them. This is where the true power of cryptocurrencies come into play. If we take the power away from the central banks by taking away their control of the world currencies, we just might have a shot of equality, justice and world peace.

I know that sounds corny, but I truly believe that...at this point the only other way is for such a devastating world war that the few who survive will have to fight the next war with sticks and rocks.

Good post. Thanks for sharing.

It needs to go away... It will hurt for a while, but we need to figure something out and I believe crypto is the way... Good thing we have a head start!

Unfortunately, I do not think that it will change anything in Venezuela, the government is very corrupt and I think it will change the results of the elections.
excellent post dear friend @doitvoluntarily, many grace spor spread it

thanks for taking the time to stop by @jlufer

How long until the Federal Reserve System unravels?

But of all the major central banks, the Bank of Japan may be in the worst shape.

So hot sorrowful news around Venezuela. I like your post @doitvoluntarily.

You can't wipe your ass with banknotes here in Canada. They're made of plastic, hehe.

It's also a form of theft, via inflation, though some might justify this by saying the inflation is lawful. However, just because something is lawful doesn't make it moral. Many immoral acts have been committed by the state throughout human history, though they might have been deemed "justified" and "lawful" at the time.

Exactly, it is legal, but it is not moral. Sometimes I think that is the whole purpose of secularization, to separate the State from morality, in order to do what it does.

The issue is that the government steal property of the producers and they import good from other countries, making a deep populist mechanism that destroy the national economy and production toward a importation structure controlled by the state.

elections are a show to keep the system, since all the candidates are socialist akin, so there will be no real change but a legitimation of their regime.

DNpoPuuXkAIQ9zg.jpg large.jpg

Government pretend to subdue the crisis rising the wages, but as long there is no national production, there would be no profit nor richness to the country but a high rate inflation.

mas campo.png

Amigo @doitvoluntarily lo que ocurre en Venezuela con la inflación es increible creo que esta a niveles de record mundial por que nunca habia escuchado una tal alta en otro pais y lo peor de todo es que nadie hace nada para detenerlo

In the history of the world there has never been a fiat currency that has lasted. it is better to be your own banker. Invest in hard assets. Silver, gold, land, supplies. Silver and gold are God's money and have withstood the test of time. They retain their value and are a good place to store your earnings. Gold and silver coins that you can hold in your hand cannot be deleted and has real value. The elites are stockpiling precious metals...unless you need fiat paper currency as toilet paper or wall paper for your home, Thanks @doitvoluntarily

U.S.A is next country for it's fiat currency to fail.

La economía y la política venezolana esta en un barranco y lo peor del caso es que todavía existe gentes ciega, sorda y lunática, que se vende por dos locha, la forma mas sencilla de robar a toda una nación es eliminando ceros , no basta con llevarse todo los recurso nacionales.

Cierto amigo. El régimen se nutre de la ignorancia del pueblo....

Sad but true.

This is a very sad state of affairs. There is always hope, just hope that the election would be fair and that there will be some positive change. Thank you for sharing this!

Thanks for sharing and viewing

soon it will be cheaper to burn with fiat .... sad ....

I just want to say my friend @doitvoluntarily that in venezuela the elections of tomorrow are a fraud and we will not participate in that, to start the opposition the political parties were outlawed, and the leaders imprisoned and even disabled, international observation was not allowed, the rectors of the national electoral council were elected for the illegal national assembly, so we are not going to validate this fraud

In short the election is just a facade because Maduro is going to win. Do human rights group even watch the news?

In Britain last year at the general election everyone thought Theresa may was going to win and guess what she did, but the aftermath of that election resulted in Jeremy Corbyn being the most powerful politician in the country at that time.

it really was a meaningful sharing. you are very sensitive.

Thank you friend for this incredible publication that the whole world sees, this is how the bolivar has no value this devalued, when we go to buy the prices are very high we have to do magic to survive, this is the madness the prices change them from second to second, today you ask for something and tomorrow when you go to buy and have a new price, we are living the hardships and we want to get out of all this nightmare

thanks for reading!

It is very sad to hear about the currency crisis that is going on Venezuela. I heard about it in some news channels. It feels sad to hear about the country with world class natural beauty and other amazing stuffs is facing such situation. It can destroy life of many poor and middle class families. there life is worth valuable than any other things. hope these situation get in control out as quickly as it can. Praying for the btter future. though present situation is hard and difficult to survive for many people but there is some way out there. resteemed for more support.

What a analysis bro.. good content post sharing.

And this is old...
DQmSZCU5Ar5FDjLxq7NNT79cUt7u5kYkF5zE8mmegvpEspg.png

a tale as old as time 😂

Es triste ver como seguimos sufriendo desvaluaciones, recuerdo que compre mi casa en el año 2012 y para ese momento tuvo un coste de 533.000 mil bolívares, hoy en día con ese con esa cantidad no se puede comprar ni un kilo de papa. Somos un pais rico en petroleo donde deberíamos estar posicionados económicamente, pero tambien cabe destacar que cuando acostumbras a un pueblo a que todo debes dárselo a través de bonos el pueblo se vuelve miserable. Soy partidario de que se debe apoyar la clase mas baja de nuestro país pero no regalandole las cosas deben trabajar para obtenerlas y devolver esa ayuda así sea en
30 años, que lastima me da ver como día a día se siguen separando familias debido al gobierno que hoy en día seguimos teniendo, soy de las pocas personas que le sigue apostando a mi país pero cada día es mucho mas difícil vivir en este país con sus gobernantes,se debe atacar la inflación rápidamente ya que cada día sube, somo el país con la inflación mas alta con la delincuencia desatada pero considero que nosotros mismo ya debemos tomar al toro por los cacho y ya dar un paro a esto, solo queda seguir trabajando y dar lo mejor para seguir aportando para una mejor Venezuela