El Diario reports, pertaining photo was captured from the internet:
Three economists questioned official policy
Vice President Álvaro García Linera said yesterday that the prices of gas, gasoline, water and basic services will not rise, as some opposition politicians and analysts have suggested. In an evaluation of the achievements of the Bolivian economy, he said that the government is prepared and has the mechanisms so that the “most humble can pay for their basic services,” without any pressure.
However, President Evo Morales said on September 14 that Bolivia has the need to increase the cost of electricity and gas at home. In electricity, the tariff subsidy represents an expense of $216 million dollars for the State and for domiciliary gas another important amount making a total of $483 million dollars, according to a morning newspaper published in Cochabamba.
García Linera, recalled that so far five million people, 50% of the total population of Bolivia, have gas at home and said that the goal is to reach 100% “and at a frozen price, not as some politicians are proposing. for there to be more investment you have to raise the price of gas,” he added.
The economists José Gabriel Espinoza, Alberto Bonadona and the sociologist, Henry Oporto, pointed out coincidentally after President Morales’ statement in mid-September that the subsidy policy absorbs a significant amount of fiscal resources.
García Linera said yesterday that one of the successes of the Bolivian economic model, regardless of the internal market, the external market and the distribution of wealth, is the participation of the State, and assured that in this area the State controls oil, controls the gas, electricity, communications, water and basic services.
“It controls the sources of wealth generation and allows the private sector to develop in all other sectors, it has the right, but the State is the parent that is regulating, assigning tasks and distributing them where they are needed,” he added.
Bolivian Thoughts opinion: Subsidies over the long run are negative to any economy. Moreover, subsidies without being generated sustainable are simply cheap demagogue to gain support. evo has wasted over $180 billion dollars. He failed to create wealth by not promoting competitive and efficient industries, he remained in the state-owned-enterprises’ concept of mid 20th century, he is obsolete, he is just a burden to Bolivia!
evo lies as the purchasing power has diminished dramatically, regardless of his cheap rhetoric or subsidies, we live worse since he came to power: bread costed Bs0.20 cents now is over Bs80 cents … a kilo of meat was Bs14 now is above Bs40 …