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Explosion at government-run Amuay refinery, nationalized by Venezuela in 1976

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Are Barack Obama and Hugo Chavez very different?
Are Barack Obama and Hugo Chavez very different?

In the United States, we’ve been seeing some efforts by the Marxist Obama administration to nationalize the auto industry and health care, too. This is what communists favor as the alternative to the free-market system. It makes sense, then, to look at how well the nationalization of assets, especially those owned by foreign-owned private companies, works out in the real world.

Let’s see:

The Creole Petroleum Corporation was an American oil company, formed in 1920 to produce fields on Lake Maracaibo, Venezuela.[1] The company was acquired by Standard Oil of New Jerseyin 1928. Until 1951 Creole Petroleum was the world’s number one oil producer.[2]

In 1950, Creole opened its refinery at Amuay.[3] This is now a part of the Paraguaná Refinery Complex.

The Venezuelan assets of Creole Petroleum Corporation were nationalized along with those of other foreign oil firms on January 1, 1976, becoming part of Lagoven, a Venezuelan government-owned operating company.[4]

And here is the latest triumph of Marxist economics in Venezuela:

A huge explosion rocked Venezuela’s biggest oil refinery early Saturday, killing at least 24 people and injuring more than 80 others in the deadliest disaster in memory for the country’s key oil industry.

Balls of fire rose over the Amuay refinery, one of the largest in the world, in video posted on the Internet by people who were nearby at the time.

At least 86 people were injured, nine of them seriously, Health Minister Eugenia Sader said at a hospital where the wounded were taken. She said 77 people suffered light injuries and were released from the hospital.

Officials said those killed included a 10-year-old boy, but that most of the victims were National Guard troops stationed at the refinery.

Filthy capitalist dogs! Making money on the backs of the poor workers! Making them work in filthy, unsafe – oh, wait. When workers are left free to take their skills to a number of private employers, then those employers are pressured to provide them with better working conditions, wages and benefits. Otherwise the employees leave for better companies. The only problem is that it doesn’t work if all the industries are state-run monopolies. Then, you just get KA-BOOM!

All you have to do to understand economic systems is to compare capitalist Chile with communist Venezuela. The people are the same, and both started out poor. One embraced free trade and privatization, and now that one is rich. The other one gets Chernobyl explosions because they elected a Marxist.

Venezuela’s economic policy is the same economic policy that Barack Obama wants to force on us with his takeover of General Motors, his frequent bailouts, his give-aways to campaign fundraisers, his blocking of free trade deals, his heavy-handed anti-business regulations, and his other intrusions into the private sector. Our entire economy is going KA-BOOM right now because of Marxism.

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Paul Ryan teams up with Democrat Ron Wyden to push Medicare reform plan

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Rep. Paul Ryan
Rep. Paul Ryan

From Investors Business Daily.

Excerpt:

Pity the poor Democrats. Here they were counting on scaring seniors about GOP plans to “destroy” Medicare when Rep. Paul Ryan teams up with a prominent Senate Democrat to offer a compromise reform.

From the White House on down, Democrats were wringing their hands this week about the bi-partisan Medicare reform plan offered up by Ryan and Sen. Ron Wyden, D-Ore.

Their plan would shift Medicare from an open-ended health benefit to one in which the government provides a set amount of money for insurance. Seniors could choose from a variety of private, approved plans, as well as the traditional government-run Medicare.

The subsidy would be based on the second cheapest plan in an area, and if seniors wanted more expansive coverage, they’d have to pay the difference out of their own pockets. The reform would also cap the growth in Medicare.

[…]As one Democratic congressional aide told the New York Times, “this plan gives bipartisan political cover to Ryan and other Republicans against whom we have been waging a very successful political offensive.”

[…]While we prefer Ryan’s original proposal to his current one, it’s to his credit that he realized the political need to produce a bi-partisan compromise. Wyden, too, deserves credit for his willingness to buck his party and sacrifice short-term political gain for much needed long-term reforms.

I took a look at Wyden’s ACU ratings, and he has a 9.23 out 100. I have no idea how Ryan got this guy on board. It’s magic.

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Ted Cruz wins Texas Republican Senate primary election 56-44

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CNBC reports on another Tea Party primary victory.

Excerpt:

Tea Party favorite Ted Cruz scored a stunning upset over a longtime Texas state officeholder in a Republican U.S. Senate primary runoff on Tuesday, transforming Cruz into a national conservative star and marking a resurgence of the movement to shrink the size of U.S. government.

Cruz, 41, a former state solicitor general who has never held elected office, became the third insurgent Republican this year to defeat an establishment Republican in a U.S. Senate primary.

He scored a surprisingly comfortable victory with about 56 percent of the vote to about 44 percent for Lieutenant Governor David Dewhurst, who a year ago was considered the frontrunner.

[…]Cruz spent a year and a half crisscrossing the state, introducing himself at Tea Party meetings and Republican women’s club gatherings as a “constitutional conservative.”

And he drew support from conservative stars such as former Alaska Governor Sarah Palin and money from national conservative groups such as the Club for Growth. That group’s political action committee spent $5.5 million to support Cruz, the organization said.

Cruz, whose father came to Texas from Cuba with $100 sewn into his underwear, would become the first Hispanic U.S. senator from Texas if he wins in November.

Dewhurst and Cruz had similar policy positions. Both pledged to do away with President Barack Obama’s health care reform and to rein in Washington spending.

Cruz, a Princeton University debate champion and a Harvard Law School graduate, stood out with sharp debate performances.

This is the third big Tea Party victory in a Republican primary. Richard Mourdock beat Richard Lugar in Indiana and Deb Fischer beat Jon Bruning in Nebraska. You can read more about Ted Cruz here.