Mugabe economics don't work in Venezuela either

Washington Post:

Dreaming of a new life, Ramón Barrera came to El Charcote, a vast farm here in northwestern Venezuela, several years after President Hugo Chávez's populist government had expropriated the property from its longtime owners and begun distributing parcels to small farmers like him to work.

Six months after he arrived, Barrera's dream is still just a dream -- his 37 acres are fallow, so he spends his time feeding grain to nine scrawny pigs. He and other farmers trying to earn a living on the farm's sunbaked expanse said the technical help they had been promised never materialized.

"Things are serious here. There is no water, no electricity, no comforts," said Barrera, 64. "There is no credit. There is nothing. How are people supposed to work?"

Chávez's so-called back-to-the-land movement calls for the redistribution of land -- increasingly properties that the state has taken over in what officials term a "rescue" or "recuperation." The objective is to ensure "food sovereignty," thereby reducing dependence on imports.

But nearly five years after the measures were implemented nationwide, farmers and agriculture experts say, Venezuela is not only far from self-sufficient in food, but also more dependent than ever on foreign countries. Food imports rose to $7.5 billion last year, a sixfold increase since Chávez took power a decade ago.

That has not stopped the government from accelerating its policy of dismantling big haciendas, holdings that officials often describe as unproductive. Owners are compensated, unless authorities accuse them of having acquired their properties illegally. Those who take over are promised courses in farming; some are settled in newly built communes. The policy is rooted in a 2001 law and driven by Chávez's insistence that the land belongs to everyone.

"I say to all who say they own land: In the first place, that land is not yours. The land is not private. It is the property of the state," Chávez said last month on an episode of his weekly television show broadcast from rural Barinas state, where he grew up.

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Chavez is not very smart and this program is just further proof that a command economy can't command the market place to do things that are unproductive. He could seize every bit of property in Venezuela but it would only result in even less productivity.

It is not lack of opportunity that made the people he is putting on the seized property poor. If he gives them property and they keep on doing the things that made them poor to begin with they will just be poor people with a plot of land.

Mugabe's seizure of property from productive farmers and giving it to landless peasants has resulted in Zimbabwe going from the bread basket of Africa to a basket case economy. In the past Chavez had oil revenue to hide the incompetence of his land policies, but with that failing it is harder for him to hide the Mugabe type problems he has created.