Venezuela

Venezuela



 Venezuela's globalization and foreign influence during this time revolved around a single black recourse, crude oil. Several Coup D'etats took place in Venezuela during this time, the first being in 1945. Two democratic factions of the government fought for power and eventually the first democratic elections took place. However, this only lasted for three years until there was a military takeover of the government. This military rule remained in place for ten years until 1958, when a civilian military force overthrew the dictator, and again democratic elections took place. Democracy has prevailed in the government since these first elections. Through all these governmental and societal changes, one thing remained a constant. This constant was the income and foreign influence stemming from oil. Venezuela first discovered oil in 1935, at that time and for the next period of time, they were the second largest oil producers in the world. They had so much oil that petroleum that it was oozing out of the ground. The Venezuelan's adopted an old policy from Spain, which stated that a land owner only owns the land that goes to well depth and the government owns any land beneath it. Anyone who was in government or had ties to the government soon became wealthy within a few years. This wealth and influence has remained for years and in Venezuela today, these original powerful people remain financially secure while regular citizens must depend on the government. During this entire range of time, the government could be described as corrupt. That heavily influences it's foreign relations, foreign impacts, and globalization.



 In 1960 oil prices were extremely low, demand was high but so was supply. This meant that countries and companies who produce oil were not making as much money as they hoped. So five oil producing nations met in Baghdad to form OPEC (The Organization of Petroleum Exporting Countries ) This new organization could now work together to maintain profit for each other. For example, with five major oil nation in the mix, price fixing is very possible and has occurred. OPEC can be seen as a monopoly with all the major oil organizations conspiring to keep the price of oil high and maximize profits. Today, OPEC consists of thirteen countries ranging across three continents. All OPEC nations have an equal say in price setting and policy. However, only founding members such as Venezuela, have the right to vote in any new members.

During this time Venezuela maintained a strong economy led by an even stronger oil and energy sector. The government were able to spend a fair amount of money on programs for the public such as healthcare, education, transportation and infrastructure. The Venezuelan economy was one of the first in Latin America to modernize after Spanish rule. For example, they had the highest wages in Latin America through this period. However, in the eighties when oil prices collapsed, inflation rose greatly while these wages stayed the same. This meant that the average person made less that what they were making before the collapse and this led to less expendable income and a worse economy. Globalization and the role Venezuela played in OPEC had direct consequences in the downturn of the economy. Venezuela has always had a policy of selective influence. Trading with only certain countries to provide maximize growth for Venezuela.



 Nearly nine out of ten of Venezuelans live in an urban or suburban setting, while the rest are rural. Ninety-six percent of the population is Catholic. This means that those who are not Catholic are sometimes cast out in society and do not fit into the normal Venezuelan culture. Venezuelan culture is also strongly influenced by outside nations. For example, Venezuela's most popular sport is baseball. Venezuelan's commonly watch American baseball games broadcasted in Spanish and have their own league which was founded in 1945.

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