When Mr. Chávez grew to become president in 1999, he promised, amongst different issues, to scale back the huge inequality in Venezuela.
Whereas he managed to scale back inequality throughout his time in workplace, a number of the socialist insurance policies he launched backfired. Take, for instance, worth controls that aimed to make primary items extra inexpensive for the poor by capping the costs of flour, cooking oil and toiletries. The controls brought about many Venezuelan firms to cease manufacturing as a result of they had been not making a revenue, which finally led to shortages.
An easing of overseas trade controls initially put in place by President Chávez in 2003 has eased these shortages by permitting merchants to promote items in , however meaning they’re for the poor or those that should not have entry to U.S. foreign money. have develop into largely unaffordable once more.