Venezuela Hugo Chavez.
Sure you wonder why your country’s economy went into recession, this phenomenon is explained by the transfer of mortgage debt, where the property owner no longer owe the bank but its debt has been transferred to other parties to generate a immediate return, it happens that when the third party wanted to run the debt, the financial entity did not have the resources to pay the debt, having to execute the mortgage and housing keep saturating the market, this system is not unique real estate system and hence a partial solution.
But I will not rain on the wet on a crisis that already understand and explain it better than me, this article is based on the Venezuelan economic system where the state becomes a producer and marketer of all that the system generates as an added value, this system is good and bad at once, but it is very striking that this country has drawn U.S. reserves just before the crisis, and has drawn no problems, it is even more remarkable that they have implemented several corrective measures that were returned to growth path, but what is most striking is that has no media coverage whatsoever. Surely if ever heard of this country in northern South America, has heard speculation that there macabre true political colors and freedom of rights, surely imagine an African satellite in the twentieth century, the reality is different and the will relate in several installments, said that this economic system called socialism of the XXI century and takes part of the model of the former Soviet Union, perhaps because it generates such burning.
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