CONTROL DE CAMBIO Y DE PRECIO EN VENEZUELA. AUGE Y COLAPSO INSTITUCIONAL (2003-2020) Del modelo socialista a la dolarización de facto

This book of Professor José Ignacio Hernández studies, from the Economic Administrative Law perspective, the rise and fall of price and exchange controls in Venezuela, as well as the process that has led to de facto dollarization of the Economy. In 2003, the then government of Hugo Chávez, violating the Constitution, imposed centralized controls on the economy that ended up destroying market mechanisms. These controls revolved around two intervention techniques, namely, price control and exchange control. These controls promoted an economic and social crisis only comparable to states that have gone through wars. This crisis led to the collapse of the State, and with it, of centralized controls. Given this reality, in 2018 the exchange of goods and services through informal mechanisms began to be tolerated, including de facto dollarization, for which the centralization of the foreign exchange market in the Central Bank of Venezuela was eliminated. None of these changes solve the legal restrictions to economic growth and, on the contrary, aggravate the consequences of the collapse of the Venezuelan State.