TOS Blog: Daily Commentary from an Objectivist Perspective

Chavez’s Disastrous Nationalization Plan

Irvine, CA—Venezuelan president Hugo Chavez has recently announced plans to nationalize utilities and telecommunications companies.

“Chavez claims that this theft of private property from its owners is necessary to improve the lot of the poor in Venezuela,” said Dr. Yaron Brook, executive director of the Ayn Rand Institute. “But as history has shown, nationalization is both immoral and impractical. Industries under state control are highly inefficient and much less productive than private industries free to function in a capitalist market. As production is throttled, rich and poor alike suffer.

“Marxist policies always lead to poverty and disaster. There can be no significant progress, prosperity or wealth creation in a social system that does not recognize individual rights, particularly property rights. Property rights are both moral and practical.

“If Venezuelans want to avoid an economic disaster that will eventually wipe out their savings, their investments, their businesses and their livelihoods, they must get rid of Chavez and reject the Marxist ideology he embodies.”

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Posted in: Foreign Policy and War, Individual Rights and Law

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