When the numbers deceive. Social progress and economic freedom

Nicaragua and Venezuela, who achieves greater social progress?

Social Progres Imperative, a nonprofit NGO? publishes an Index which shows progress in the field of Social Progress, which measures the satisfaction of basic human needs (water, housing and others), the fundamentals of well-being (education, health, environment) and opportunities (Rights, personal freedom and choice, among others).

The Social Progress Index allows to compare countries in terms of social progress performance and GDP per capita. The graph compares two countries; Nicaragua and Venezuela; both with leftist presidents, severely questioned by political, social and economic mismanagement.

At first reading, the chart has a positive message: It is not necessary to have a global PBII and GDP per capita large to achieve the social development of a country. It only requires a vision, discipline and transparency.

In 2016, Nicaragua achieved a level of progress (63.03) slightly higher than Venezuela (62.60) with almost a quarter of GDP per capita in Venezuela ($ 17,286 and $ 4,459, respectively). These figures, if true, provide a good example of efficient management. In all countries it should be this way; eventually the good example could be spread.

Looking at the positions of Chile and Uruguay, it is seen that with a GDP per capita similar to that of Venezuela, they have a social progress index significantly higher than the two countries. It is not necessary to show details and although curiously both were or are governed by socialists, they do not show subordination to the Cuban matrix, in the two cases they are models of "Uruguayan socialism" and "Chilean socialism", in which there is a country vision , institutionality, the rule of law, a vision of greatness that drives them to be better. It is true that Uruguay and Chile are not perfect, there is also corruption, crime, robbery, but they do not meet the intensity and generalization as shocking and hurtful as in Venezuela and Nicaragua.

Now let's try to read beyond the data presented.

It is possible that the relative location of Nicaragua and Venezuela is correct because they are located in the surroundings of African and Arab countries, where the last thing that matters to the rulers is the social welfare and the development of their countries.

                                                     Venezuela. Queuing to buy staples

The question is now, why Nicaragua surpasses Venezuela? There are several possibilities

A) Nicaragua grows and Venezuela grows in social welfare. This situation would be possible at levels very close to zero, but the current situation and the social, economic and political deterioration in Venezuela discard this situation. Only Nicaragua would be growing in social progress at a very low rate.

B) Nicaragua grows, Venezuela stagnates or deteriorates. It is plausible, but Nicaragua would grow at a very low rate

C) Nicaragua does not grow, Venezuela does. Situation totally discarded by the situation of Venezuela.

D) Nicaragua does not grow, neither does Venezuela. It is possible that both have been staked or fallen, since Social Progress Index shows what exists in a moment, there is no dynamic. The ideal would be to have the same data from previous years.

In both countries there are leftist governments, subject to the Cuban orbit, so that official figures presented to international or published organisms can be manipulated ("statistical cooking"). A couple of reference data to illustrate the reluctance to take absolutely certain data.

According to the Heritage Foundation, which measures the Economic Freedom Index (2015), Nicaragua and Venezuela occupy positions 108 and 176. Nothing promising for those who wish to seek prosperity on their own initiative (in Cuba it is prohibited or very restricted). International transparency that publishes the Corruption Index (2015) reveals that Nicaragua and Venezuela occupy posts 130 and 159 respectively. Nothing favorable to social development and progress. In addition, corruption is associated with a lack of economic freedom, and this in turn has a negative impact on social progress.

                                          Nicaragua. School in Tipitapa (indigenous population) 

In summary, the chart shows the status of two countries that are wrong, but it is not known if the standard of living of its population is actually better. It is difficult to believe that two presidents who share 100% ideology, habits, practices and ideological subjection can show such a marked difference. Or perhaps, Nicaraguans, regardless of who governs them, surreptitiously or informally, have found a solution of their own that Venezuelans can not even imagine.

References

Indicadores de progreso social 2016

www.socialprogressimperative.com