When Rafael Caldera was President, he named Marxist Economist Domingo Maza Zavala to the Board of the Venezuelan Central Bank. It was a time of crisis and Maza said many things he should have not said at the time. Maza remained on the Board of the Central Bank through the Chavez years, always making comments that showed he disagreed with the Government’s economic policy. It certainly seems weird to agree day after day, week after week, month aftetr month with this Marxist Economist, but it all has a simple explanation: No matter what his politics are, Maza knows about economics and knows that certain things are too much even in an economy like ours.
In today’s El Universal, Maza gives an interview that contains many of the things you regularly read here, except he is an economist (They call him the father of modern Venezuelan economics, whatever that hyperbole may mean) and I am neither. Some quotes:
“There is such complexity of problems, of contradictions and paradoxes in the Venezuelan economy that one has no answer or explanation, one tries to examine, of pointing out as much as possible withing this tangle. Now, someone has to put order in this entanglement”
“We still have to see endogenous development and still have to define what is XXIst. Century Socialism”
On how many Bolivars has Fonden spent: “I can’t tell (see my earlier post) we have always complained that it should present its accounts and explain how it spends its funds. Now, according to to its last estimate it still maintains almost teh totality of its funds in Dollars, some US$ 18 billion, thus it has spent little Bolivares (!!!!!!!!!!!!)
“the Government is in crux, a true bottle neck, a sort of Gordian knot”
“In Venezuela, there is the peculiarity, that it has been the Government itself, in an indirect fashion, that has sued the parallel market, when it issues dollar denominated bonds in Bolivars, or negotaites Dollar denominated Argentinean bonds”
“I have always been in favor of the state participaating in the private sector, but not in its totality”
There you have it…even the experts have no clue about what to do and how about the development fund that does not even spend!!!
A jewel for history!