Nobel Prize winner in Economics warns that Venezuelan oil is not as valuable as Donald Trump assumes
The 2008 Nobel Prize winner in Economics says that the Venezuelan oil that Donald Trump will hoard in the U.S. is not as valuable as he thinks
Paul Krugman, winner of the 2008 Nobel Prize in Economics, revealed that Venezuelan oil is not as valuable as President Donald Trump indicated after announcing that the United States would obtain millions in profits from it. the South American nation's reserves.
In an article published on the Substack platform, the 72-year-old economist criticized Donald Trump for overthrowing former President Nicolas Maduro in order to seize control of Venezuela's oil reserves.
“Donald Trump’s adventure in Venezuela is a very different story.
During his triumphalist press conference following the kidnapping of Nicolas Maduro, Trump never used the word 'democracy.' However, he mentioned 'oil' 27 times, declaring: 'We are going to take back the oil that, frankly, we should have taken back a long time ago.'
Even so, whatever we are doing in Venezuela is not really a war for oil. It is, rather, a war for oil fantasies. The enormous wealth that Trump imagines is waiting there to be taken does not exist,” he stated.
From Krugman's perspective, the tycoon's big mistake The New Yorker's mistake was failing to analyze that, while Venezuela possesses the world's largest known oil reserves, some of these are heavy oil, which is extra-heavy, has low recovery rates, and a high production cost.
“Venezuela's claims of having immense usable oil reserves were pure politically motivated propaganda.
In short, Trump's belief that he has struck it rich in Venezuela's oil fields would be an unrealistic fantasy even if he actually had control of a nation that, in practice, is still controlled by the same thugs who controlled it before Maduro was hijacked,” he emphasized.
However,Donald Trump refuses to acknowledge Paul Krugman's claims and insists that the millions of barrels of Venezuelan crude imported into the United States will boost the economy in a way never seen before. “This oil will be sold at its market price, and that money will be controlled by me, as President of the United States of America, to ensure that it is used for the benefit of the people of Venezuela and the United States,” he wrote on the Truth Social platform.