2025-12-31 07:27:07

Why do resource-rich countries often fall into economic difficulties? Venezuela is a typical example. Despite possessing the world's largest oil reserves, it has turned its advantage into a disaster—nationalization policies have cut off the space for technological progress, and the economy is structurally fragile and overly dependent on a single sector. To maintain welfare, the government has been printing money frantically, resulting in inflation soaring to astronomical levels, and the currency instantly becoming worthless paper. People's money becomes increasingly devalued, while prices skyrocket, and basic living costs spiral out of control.

This teaches us a harsh truth: easy money doesn't mean a good life. Resource endowment is just the starting point; long-term prosperity is truly determined by sound institutions, diversified industries, and prudent monetary policies. When these cannot keep pace with rapid wealth inflows, high inflation acts like an invisible predator, quietly eroding everyone's purchasing power.

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AlphaWhisperer

· 4h ago

That's why I say printing money too aggressively is not okay; Venezuela is a living textbook... --- More resources can actually lead to more self-destruction;制度才是真王道 --- It's another tragedy caused by government mismanagement; frankly, it's a rotten system --- Inflation is so destructive, and some people still aren't afraid? Wake up, everyone --- I just want to know why it's always the same pattern—nationalization, printing money, collapse—can't they learn? --- Making money easily ≠ living well; why is this so hard to understand? --- Venezuela is truly the textbook example of the worst-case scenario --- So we still need checks and balances; otherwise, any country could end up like Venezuela --- High inflation is truly silent robbery; it's more terrifying than anything else --- It sounds like a lack of checks on power leads to chaos. One word: disorder

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CryptoFortuneTeller

· 4h ago

This is a classic resource curse—having too much money can backfire... Once the printing press starts, everyone has to pay the price.

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ConsensusDissenter

· 4h ago

Once the printing press starts, it's truly over. Venezuela is a living example of the opposite lesson. Having abundant resources makes it easier to become complacent; if the system is broken, nothing will help. It sounds like another story of "we can win because we have oil," but unfortunately, that's not the case. Inflation is the real hidden tax, slowly draining everyone's wealth. Why does it always feel like the whole world is replaying this same logic over and over?

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GasFeeLady

· 4h ago

nah this is just hyperinflation speedrun tbh... like watching someone execute the worst possible transaction strategy in real time, except it's an entire economy lmao. no MEV protection whatsoever, just pure chaos

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GasFeeCryer

· 4h ago

It's really the resource curse at play, Venezuela has truly messed up. Printing money is a brilliant move; inflation consumes everything. Printing money can't solve structural problems; it instead accelerates the death spiral. This principle also applies in the crypto world. The core is the system; having resources without governance is even worse than having no resources. This is what happens when monetary policy loosens—people's assets shrink, and they feel it deeply. Having a lot of money doesn't mean you're wealthy. History repeatedly teaches this lesson, but some people still don't believe it.

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