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by tristanj
8 days ago
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Cuba is poor because they run an absolutely insane Soviet-style communist planned economy. Every major industry is owned by the government, with state approved production targets, price controls, and state resource allocation. This is a failed economic model that doomed the Soviet Union that the rest of the world has moved on from. Chinese officials visited Cuba and told them to adopt market-style reforms that were very successful in China, and Cuban government officials said no. The Chinese officials left extremely confused why Cuba would not consider them. > their current power outages are [caused by the US] No, only indirectly. Cuba used to receive billions of dollars of free oil from Venezuela, they would use part of it for internal consumption (electricity generation) then resell the rest to pay for imports. But after Maduro was deposed, free oil transfers stopped, Cuba needed to purchase oil on the open market, and there is no money to do so; hence the economic and electricity crisis. |
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