Despite the high prices on oil, the economy of Venezuela has recently slowed down. Prices on food are increasing, the cost of feeding a family of five rose by 2.4% in May and stands some 60% higher than the minimum wage. The inflation is also on increase – the inflation rate climbed above 3% a month late last year. Many people believe that it’s high time Hugo Chávez did something to overcome the ongoing crisis. This debate asks whether Hugo Chávez and the Venezuelan government could reduce the impact of this crises by focusing on the development of private industries.
When work is uncoupled from reward, or when an artificial safety net provides a high standard of living for those who don’t work hard, society suffers. The fact that individuals are driven to succeed is in all our interests. This drive will be more prominent in a country wit a larger private sector.
Over time, as the benefits of this better way of life become obvious, all will. The impulse to share wealth and material amongst the community, to support all, leaving none behind, is one of the purest mankind can experience. It is not merely possible – it is a demonstration of the progress of our species to a finer, more humane state of being. Increased private sector influence and less public jobs and industries will reduce the sharing of wealth.
it took USSR only 15 years to transform from agrarian country into an industrial one.
“Everyday I become more convinced, there is no doubt in my mind, as many intellectuals have said, that it is necessary to transcend capitalism. But capitalism can not be transcended through capitalism itself; it must be done through socialism, true socialism, with equality and justice. I’m also convinced that it is possible to do it under democracy, but not in the type of democracy being imposed by Washington. “Hugo Chávez during his closing speech at the World Social Forum in Porto Alegre, Brazil. January 31, 2005. 
In the beginning of June, 2008, Hugo Chávez invited a handpicked group of captains of finance and industry to the presidential palace. He offered them cheap credit and joint ventures to “reactivate” production.
Hugo Chávez is currently the leader of the United Socialist Party of Venezuela. As increased private development is completely contrary to the principles of socialism, Chávez is incredibly unlikely to support greater private development.
“Privatization is a neoliberal and imperialist plan. Health can’t be privatized because it is a fundamental human right, nor can education, water, electricity and other public services. They can’t be surrendered to private capital that denies the people from their rights.” – Hugo Chávez during his closing speech at the World Social Forum in Porto Alegre, Brazil. January 31, 2005.