Dollarization Can’t Save the Venezuelan Economy

By Asdrúbal Oliveros

Pragmatic adjustments have abated Venezuela’s collapse, but the bigger picture remains a bleak one.

"The more things change, the more they stay the same.” This popular epigram, attributed to the 19th-century French writer Jean-Baptiste Alphonse Karr, succinctly describes the evolution of Venezuelan economic policy over the past three years. Since 2019, the government’s decisions to relax economic restrictions have prompted dollarization in the economy and a few signs of a rebound. But these changes are limited, and they only benefit a small fraction of the country — according to a new study, 76.6% of Venezuelans live on less than $1.20 a day. Venezuela continues to suffer one of...

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