https://premium.telegraph.co.uk/newsletter/article4/the-tragedy-of-venezuela-shows
In 2014, John McDonnell, now Labour’s shadow chancellor, said that the socialist regime in Venezuela showed “the contrast between capitalism in crisis and socialism in action”.
In a way he never intended, he has turned out to be right. For the people of that country are now enduring a situation worse than any crisis of capitalism, anywhere in the world, at any time in the last 100 years. Their economy has shrunk by at least half – far worse than the Great Depression or the recent economic woes of Greece.
Three million people have fled the country. Inflation, having reached 1.7 million per cent, has made money worthless. Basic commodities are scarce and hardship widespread. More than half the population are now living in extreme poverty.
Yes, this is socialism in action. This is what happens when you take a promising nation, rich in natural resources and human talent, and subject it to nationalisation, excessive spending, state control of prices and the discouraging of enterprise and foreign investment. These were the policies of the egotistical Hugo Chavez, and his utterly corrupt and tyrannical successor, Nicolas Maduro.
This catastrophic approach was praised endlessly by the current leadership of the Labour Party. Diane Abbott said “it shows another way is possible”.
As for Jeremy Corbyn, he appeared on every possible platform to praise Chavez and support Maduro. On the death of Chavez in 2013, he went out of his way to laud his “inspiring” leadership and to say: “Thanks Hugo Chavez for showing that the poor matter and wealth can be shared”.
In practice, Chavez was one of the world’s most outstanding hypocrites, amassing a fortune estimated at a billion dollars while campaigning as a friend of the poor. Now that most people in Venezuela are desperate for change, there are three charges that can be levelled against Corbyn, McDonnell, Abbott and their acolytes.
The first is that their economic beliefs are verging on madness – if they don’t understand that trying to control the prices of everything in the shops soon leads to severe shortages of everything from food to toilet paper, then their understanding of economics is near zero. A set of policies they were happy to support has led to countless starving people searching for food among the rubbish piled high in the streets. Yet these are the people who would be running our economy if Labour wins the next election.