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Venezuela manufactures and exports heavy industry products such as steel, aluminum, and cement. In spite of strained relations between the two countries, the United States has been Venezuela’s most important trading partner. Venezuela have included machinery, agricultural products, medical instruments, and cars. Venezuela is one of the top four suppliers of foreign oil to the United States. Poor’s categorizing Venezuela as being in “selective default”. When oil was discovered during Maracaibo strike in 1922, Venezuela’s dictator, Juan Vicente Gómez, allowed US oil companies to write Venezuela’s petroleum law. From the 1950s to the early 1980s, the Venezuelan economy, which was buoyed by high oil prices, was one of the strongest and most prosperous in South America.
The continuous growth during that period attracted many immigrants. In 1958, a new government, again included Pérez Alfonso, devised a plan for the international oil cartel that would become OPEC. During Pérez Jimenez’ dictatorship from 1952 to 1958, Venezuela enjoyed remarkably high GDP growth, so that in the late 1950s Venezuela’s real GDP per capita almost reached that of West Germany. Buoyed by a strong oil sector in the 1960s and 1970s, Venezuela’s governments were able to maintain social harmony by spending fairly large amounts on public programs including health care, education, transport, and food subsidies. Literacy and welfare programs benefited tremendously from these conditions.