This is part of my ongoing attempt to remind this site’s readers that private entrepreneurs often don’t care about the nationalization of oil and gas companies and other such strategic industries. Here’s Reuters on private investment in Bolivia. And before you get started, do note: there are few hard numbers in this piece, and lots of “to be sure” — but this excerpt gives the flavor:
Entrepreneurs are even waking up to El Alto’s potential.
Its first supermarkets, shopping centers and cinemas are planned — multimillion-dollar private sector investments that would have been unthinkable almost anywhere in Bolivia a decade ago.
Banks and pizza delivery stores have set up shop in the city’s stark, traffic-choked streets and its bare brick buildings are climbing higher into the thin air as local commerce thrives 4,050 meters (13,300 feet) above sea level.
“People hardly bought anything in the past. With this government there’s business,” said Alicia Villalba, 33, selling Brazilian-made aluminum pans at a twice-weekly market where everything from livestock to second-hand cars is on sale.
Go read the rest if you like to know what’s going on in Bolivia or if, more generally, you need a case study to show:
1. Aggregate demand = consumption + investment + government + net exports
2. No risk, no reward