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Thursday, November 13, 2014

Economic warfare against Venezuela, not a fairy tale.

Edward Mercado - 11.13.2014

In the book Hegemony or Survival by Noam Chomsky he quotes a 2002 media report  prior to the Iraq invasion about the existing world super powers; "there may still be two superpowers on the planet: the United States and world public opinion".

More than 12 years have passed and the geopolitical map continues to reflect this reality, although now with the competition from China and Russia as emerging world super powers. 

Washington's strategist undoubtedly understood the power public opinion represented before Chomsky book was published. Consequently President Bush signed the patriot act in October 2001, which gave the government total control over the media and communications in the name of liberty and democracy. 

A month before the Patriot act was signed, a profound act of terrorism took place against the World Trade Center. That horrific event marked a new stage in the Global Economic Warfare. Although the Media has insisted there is a war on terror since then, in reality we are witnesses of a economic war at the global scale. A desperate race by the developed nations to control the world's natural resources to sustain their way of life and privileges. 

In fact a few years after the operation Iraqi Freedom, We found the war was not about the freedom of the Iraqi people nor a retaliatory act against the September 11th attacks, but instead a criminal war to take control of Iraq's natural resources mainly Petroleum, consequently crippling Iraq's infrastructure and economy of this important country member of the OPEC. This is a perfect representation how global public opinion was manipulated with WMD to divert their minds from the reality of a global economic warfare to sustain the unsustainable, "The American Way of life".

Venezuelan President Hugo Chavez was one of the few global leader that spoke out against the shock and awe campaigns launched against Afghanistan and Iraq.  He denounced the root of the conflict was about Oil. Indeed history proved him right. 

There is a real relation between the control of natural resources and economic prosperity. In the case of Venezuela it has been under attack since the re-nationalization of PDVSA the state owned oil company. President Chavez understood that in order for the Venezuelan economy to prosper and therefore its citizens, control of the Oil revenues was key. High levels of poverty and misery were created during the last decades of the 20th century during which the elite private sector had control of the Venezuelan Oil revenues and the chains of distribution of goods and services. 

Public opinion has continuously been manipulated year after year about conflicts in different regions of the planet, in an attempt to continue to cover the realities of the global economic war. The role of the media and its pseudo economy analyst paint an upside down world confusing and driving public opinion away from reality.

In the Case of Venezuela "economy experts" constantly predicted a total collapse of the Venezuelan economy for the last 14 years. using this argument to label the Socialist Venezuelan Government a failed state in attempts to re-install pre-Chavez era government sold out to foreign interest and global capital holders. 

The intentions of the private media and private economic sector have not stop after the election of President Nicolas Maduro, Instead they have intensified in 20013 and 2014 with acts of social  and economic instability to force out a constitutionally elected president of a vibrant participatory democracy. 

In a recent radio interview Venezuelan Assemblyman Julio Chavez, former Mayor of Carora denounced that "The inflation that our country has suffer  this year has been induced by the private economic sectors, through groups such as The Federation of the Chamber of Commerce (Fedecamaras), The Venezuelan - American Chamber of Commerce and Industries (Venamcham), in actions that include speculation, contraband and programmed goods shortage, through an economic war"

The Assemblyman highlighted "There are clear rules of the game, the businessman must respect the agreements and should aim towards productivity and the essential development of the country".

Many analyst are skeptical of the official claims and often labeled them as paranoid  accusations or external excuses to hide their responsibilities to the economic problems facing the country. Therefore I decided to prove the private sector involvement with very clear and simple historical facts. 

Going back to recent history to President Chavez first term in 2001 when he decided to take control of the Venezuelan Oil Industry which was in the hands of the private sector and in the verge to be sold to an American company linked to the Central Intelligence Agency. 

After President Chavez publicly announced in national TV the dismissal of the industry executives and board of directors which at the same time were active opposition political actors. A general strike was called by opposition groups backed by the private media and the private economy sectors. A few months passed and the people of Venezuela backed President Chavez through the struggle, marking the failure of the general strike. Shortly after the strike a coup d'tat was orchestrated taking president Chavez hostage and unconstitutionally appointing Pedro Carmona as Interim President of Venezuela.


Picture: Pedro Carmona in 2002 was the the acting president of the Venezuelan Chamber of Commerce - Fedecamaras and Venezuelan Dictator for 48 hours. 

Once again the People of Venezuela did not accept the installation of a dictatorship and massively took over the streets, government buildings and military posts, demanding the return of President Chavez to complete his presidential term. Pedro Carmona ran to Colombia where he remains today and continues to conspire to forcefully take power in Venezuela. 

In the preparations for this article I was going to include the current economic warfare from the West towards Russia reported in the recent article in the Public Policy FP publication, however I decided to conclude this piece with a Venezuelan GDP graph. Sometimes a picture is worth a thousand words.

Data: Venezuelan central bank 
Contextualization:  Mark Weisbrot, CEPR Center for Economic Policy Research.

Disclaimer: The intention of the author of this article is to simply share relevant information to unveiled the realities of an Economic warfare against Venezuela, not a fairy tale.





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