Constituent Assembly is an opportunity to overcome rentier model, economist says


AVN.- The National Constituent Assembly (ANC, Spanish acronym) is a new opportunity for the business sector to join forces in overcoming the oil rentier model, said economist Pasqualina Curcio at the headquarters of the National History Center, where she offered a lecture on “La Constituyente: La guerra economica en Venezuela” (The constituent assembly: the economic war in Venezuela.”
She stated that the priority of the constituent debate must be centered on how to advance in the economic diversification, to oust the mono-producer model and to include models of social and communal production in order to support the food sovereignty.
She stressed that the debate should be made for the peace and tranquility of the country and noted that it is important for all sectors to join the constituent assembly, scheduled for next July.
In this regard, the National Electoral Council announced on Thursday that the business sector has five seats within this assembly.
She recalled that within the business sector there are factors bearing direct responsibility for the shortage of some products, since they have an impact on production and importation of goods, food, medicines and cleaning products. “When we review, production and distribution are concentrated in a few companies,” she said.
She further said that the economic war is made from the distribution and not from the production of the different items, taking into account that national production of food and personal hygiene items has remained relatively stable since March 2015, but it is diverted to parallel markets so that they are not on the shelves.
In addition, some private media outlets cause uncertainty in the population with false information that generate high demand for some products and long lines in businesses, affecting the shortage of basic staples.
Faced with this distortion, the Government created in April 2016 the Local Committees of Supply and Production (Clap), as well as the Great Sovereign Supply Mission to protect the people from parallel markets reselling and overpricing the products of the basic basket.
She noted that concerning shortages of food, medicines, household and personal care products, as well as spare parts of vehicles; it does not happen with foods produced by farmers such as fruits and vegetables, which are always found in shops.
Curcio stressed that these patterns of shortages are applied on the eve of electoral events, such as the days before the presidential referendum (2004), constitutional referendum (2007), regional and municipal elections (2010), presidential (2013) and parliamentary elections (2015).
“What we live in Venezuela is not unprecedented, it is a practice proven by capitalism. Historically importing companies that are part of the big monopoly manipulate the market and price their products according to the price of the parallel dollar,” said the economist about the reaction of capitalism to the threat of an alternative model.
She pointed out that inflation in Venezuela is not caused by the increase in demand, nor by the increase in monetary liquidity as economic theory suggests, but because the national price index of the Venezuelan economy is determined at 73.2% by the parallel dollar and 31.3% by aggregate demand.
“What happens in Venezuela is not new, they are practices that have been applied at other times, that are repeated for the effectiveness they have had,” she said.
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