VENEZUELA

of oil, its ninth largest producer of oil, and accounted for more oil reserves than any other nation in the Western Hemisphere. An elite class of businessmen, oil-company technicians , and large landowners controls most of the country's resources, while a large number of

unskilled urban laborers and rural farm workers live in relative poverty. The distance between the two countries may be shorter than the U.

Whatever economic development has occurred in Venezuela, is largely due to

the enormous natural resources of oil. In 1973 the Organization of Oil producing countries [OPEC] succeeded in raising the price of oil drastically, a major boost to the economy. Although tourism

can be tainted by corrupt politicians and drug cartels, the diversification may be

what Venezuela needs to keep off International Welfare Assistance.

As long as there is a class system separating the rich from the poor and

unstable government, and a high birth rate, the oil reserves cannot take the

country out of it's third world grouping with South America. Because of its proximity to the Equator, Venezuela experiences few climatic variations, just two seasons, dry [December to April] and wet [May to November] and an average temperature of 27C. The national petroleum company, Venezulean Petroleum Corporation [PDVSA], was also the third largest international conglomerate. The country's gross domestic product in 1988 was

approximately US $58 billion, or roughly US $3,100 per capita . Because of its immense mineral wealth, Venezuela in 1990 was poised to become an international leader in the export of coal, iron, steel, and aluminum.

As a upper-middle income, oil-producing country, Venezuela enjoyed the highest

standard of living in Latin America.