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.