Oil once made Venezuela rich beyond expectations; it was one of the richest Latin American countries which obtained half of its earnings from the oil industry. However, the oil prices began to drop from the 1960s.
The demand for oil declined day by day. The value of Venezuelan currency came down drastically. The government tried to diversify and develop new industries, but there was no change in the situation. There was a heavy crisis of food supplies and the government did not have enough money to import sufficient food products. The inflation worsened, thus creating an economic emergency. Eighty five percent of the population became poor with minimal food supplies and practically no medical aid.
Oil prices fell heavily in 2015. Venezuela is facing the highest inflation in the world, even worse than the Great Depression in the US in the 1930s.
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