Why Venezuela's Oil is so Important

Help me create more videos like these by becoming a member: https://www.youtube.com/channel/UCQZh7dlICtR6CPtB9R_ZzYA/join When Venezuela discovered massive oil reserves in the early 20th century, the country believed it had found a shortcut to prosperity. That moment set the stage for an economy built on a single resource. As oil wealth surged, governments nationalized the industry, spent heavily during booms, and neglected everything else—from agriculture to manufacturing. Repeated crises were always “solved” by more oil money. Today, Venezuela is the textbook case of the resource curse: a state dependent on collapsing oil fields, crippled institutions, and a broken currency. In recent years, production has plummeted, hyperinflation has gutted incomes, and millions have fled. Venezuela didn’t run out of oil—it ran out of alternatives.