AS Revision – Functions of Money and Venezuela

Covering this topic last week at a revision course and there was some confusion between the functions of money and characteristics. It is important to remember that the characteristics fall within the medium of exchange. Below are some notes and a video about how hyperinflation impacts people in Venezuela and the functions of money. 1. […]

Venezuela’s hyperinflation and collapsing currency

I have blogged in the past about the ongoing problems in Venezuela of hyperinflation, food shortages and social unrest. One of the consequences of hyperinflation is the loss of confidence in its economy which leads to an outflow of money and a lack of foreign investment. The result of these events is the fall in […]

Venezuela – Cost Push to Demand Pull Inflation

Below is an informative clip from Al Jazeera which looks at the worst performing economy in the world – Venezuela. With oil accounting for 95 percent of Venezuela’s export earnings, plummeting world prices have severely hit the government’s revenue stream. GDP is forecast to contract 5.6% and inflation to hit 700% in 2016. The Economist has […]