Bolivia's Fuel Subsidy Crisis: Economist Warns of Soaring Consumption and Illicit Gains

Economist José Gabriel Espinoza has raised concerns about the soaring fuel consumption in Bolivia, asserting that illicit activities are significantly benefiting from government subsidies. During a recent discussion, Espinoza highlighted the substantial social cost associated with this trend, noting that while law-abiding citizens and businesses face increasing difficulties in acquiring essential goods like chicken and fuel at official prices, illegal sectors are exploiting the subsidized fuel. He pointed out that the current demand for fuel does not correlate with legitimate production or consumption patterns, indicating a serious underlying issue. "The consumption of combustibles has skyrocketed and illicit activities are benefiting from the subsidy," Espinoza stated, underscoring the urgent need for corrective measures to address this economic imbalance.

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Jose Gabriel Espinoza:»El consumo de combustibles se ha disparado y las activid…

[embed]https://www.tiktok.com/@eju.tv/video/7517074231876701496[/embed] Jose Gabriel Espinoza: