Venezuela has appointed Steve Hanke, a professor at Johns Hopkins University, as a special adviser for economic, monetary and energy affairs. Hyperinflation is running at 400% annually, the worst in the world. Hanke proposes full dollarization: abolishing the bolivar and the central bank. He estimates the chances of the bill passing at between 50% and 80%. Venezuela must also restructure 250 billion dollars in debt, equivalent to approximately 150% of GDP, while reviving oil production that has fallen to 1.1 million barrels per day from 3.4 million in 1998.
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