Why Bolivia’s Economy Is Collapsing: The Global Balance of Payment Crisis | Bolivia Economy | Econ

Support my research and projects: In recent years, Bolivia has experienced political instability, particularly in the aftermath of the 2019 presidential election, which was marred by allegations of electoral fraud. Prior to 2019, the country was thriving. It was experiencing rapid growth and improving living standards for its people. According to the World Bank, the proportion of individuals living on the equivalent of less than $ a day decreased from 15% in 2005 to 2% by 2019, leading many to label it as “Bolivia’s economic miracle.“ However, the situation has taken a drastic turn. Bolivia now confronts a pressing issue: a shortage of foreign currency reserves. Concerns are mounting regarding the country’s ability to support its financial system and meet its debt obligations. Experts warn that Bolivia stands at the precipice of an impending economic crisis. This video analyzes the factors that have contributed to this situation, and explores t