Doug Casey on the Crisis in Venezuela

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by Doug Casey, Casey Research:

Justin’s note: Venezuela is in a state of despair.

The country’s economy has collapsed… inflation is through the roof… and food and medicine shortages are rampant.

But there’s hope. I say this because Venezuela has a new president. Well, sort of… You see, Juan Guaidó just elected himself interim president of Venezuela.

And many countries, including the United States, now recognize Guaidó as Venezuela’s active president instead of Nicolás Maduro.

It’s a promising development, and not just for Venezuelans. As you’re about to see, a major crisis investing opportunity could be shaping up there…

Justin: Doug, how do you see the situation in Venezuela shaking out?

Doug: Well, it’s a bit of a complex question because Maduro is the “legally” elected president of a supposedly democratic country. Now, I say that with the proviso that I don’t believe in democracy as a way of organizing the world. Democracy is really just mob rule in a coat and tie.

Of course Maduro’s election was rigged, which is so very often the case in Latin America, Africa, most of the Third World. And even the United States, for that matter.

Since election fraud is the case almost everywhere, you can’t hold that against the guy. He’s really just working within the system. That’s just the way things are. He’s actually the president, like it or lump it. Venezuela isn’t Switzerland…

Justin: Interesting. And what do you think of Guaidó? Many Western countries have recognized him as the acting president of Venezuela.

Doug: Guaidó is conducting a coup d’état. Or a golpe, as they say here in Latin America. The army and the police – who have all the guns – have apparently declared for Maduro. Of course Venezuela has something like 2000 generals – an almost unbelievable number. I’m sure most of them, as well as thousands of colonels, are living high off the hog and don’t want to see a change.

On the other hand, the rank and file are likely sympathetic with the common people. They may desert if pressed. Or maybe some charismatic captain or top sergeant will rise up. Anything is possible. Including an actual civil war. Anything’s possible in a country suffering a total economic disaster.

Now, just to be clear, I despise Maduro. He’s a thug, a criminal, and a socialist with an IQ of – I’m guessing – about 90. But give him credit. He’s totally destroyed what was once the richest country on the continent, and that takes special talent. Even Clinton, Bush, and Obama in sequence couldn’t do that to the U.S.

If you listen to him talk, he uses very simple Spanish. Even with my very substandard Spanish I can understand him perfectly when he speaks. That’s because he uses very simple, bus driver-type language. You can easily imagine him in his bus driver’s uniform, piloting around the streets of Caracas. But he’s said some things that are quite intelligent.

Justin: What sort of intelligent things has he said?

Doug: Well, when Trump seemed to threaten an invasion, he said, “Are you going to repeat a Vietnam in Latin America?”

It was a very intelligent question to ask. Even people that hate Maduro may decide that it’s such an affront having American soldiers invade their country that it could easily turn into a Vietnam. They’ll figure the U.S. is there to steal their oil.

It’s quite stupid – not to mention illegal – for Trump to say, “We don’t like your regime so we’re going to send troops in to change it.” It’s just asking for trouble. It’s as if the U.S. learned absolutely nothing from trying to change regimes in a score of countries since the end of WW2.

Another intelligent thing Maduro said is, “Everything depends on the level of madness and aggressiveness of the northern empire.” He was referring to the United States, of course.

For many years the U.S. has, in fact, been acting like an empire. But not so much like the Roman Empire, which conquered and occupied places. Although, the U.S. does that, too. That’s why we have troops in South Korea, Germany, Japan, and scores of other countries. The U.S. is more like the Athenian empire, which was effectively a commercial empire, as opposed to a military empire.

Maduro’s quite correct. Americans are not always the good guys. If a visitor from Mars were to examine this planet, they’d have to say the most dangerous entity in the world today is the U.S. government. I know most Americans may be affronted to hear that. We’re used to thinking of ourselves as the “good guys.” And that’s true, when it comes to our culture and civilization. But the U.S. government has a life of its own. It’s different from the country. Just as Venezuela’s government, and the attached Deep State, isn’t the same as the average Venezuelan.

Maduro also said that, “It’s as if I told the European Union that I’d give it a few days to recognize the Republic of Catalonia.”

He was referring to when Catalonia attempted to break away from Spain in October 2017. And he’s absolutely correct. I was 100% on the side of the Catalans in that misadventure. Governments shouldn’t stick their noses into other people’s business. Major wars can start over trivial incidents. WW1 is the perfect example.

Some of Maduro’s observations are intelligent and correct. But I’d still say he’s a borderline moron, the AOC of South America, judging by everything else he’s done and believes. That doesn’t mean that he can’t say intelligent things from time to time.

Justin: What are the chances Trump sends troops to Venezuela?

Doug: Well, Trump is a genuine loose cannon. He has no core beliefs, just gut feelings. He flies by the seat of his pants and seems to be capable of doing almost anything on the spur of the moment.

Trump likes to show strength. He likes to demonstrate that he’s a tough guy who can’t be bluffed. He’s quite capable of invading, on some pretense. There are plenty of precedents for that sort of thing. Don’t forget the U.S. actually invaded Grenada, which was about as illegal as Hitler invading Poland in 1939 or Japan invading Manchuria in 1931.

The U.S. also invaded Panama on the pretense of its president dealing in drugs. Another completely illegal invasion. It nearly invaded Cuba with Bay of Pigs incident in 1961. Haiti, the Dominican Republic – the U.S. treats countries in the Caribbean as satrapies in its empire. It doesn’t treat them like real countries. Which is ironic, because in most cases they aren’t real countries – they’re banana republics, run by kleptocrats. But that’s beside the point. It’s very bad policy to do this type of thing, on several levels.

So, sure. Trump is entirely capable of sending in the Marines.

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