Chavez has good intentions, but his policies seem to be getting worse. The government stimulation of the economy is not bad in itself; the majority of growth in the economy is coming from construction and the like from the many government infrastructure programs (a very good thing), but the government is stretching the country's resources in the break-neck pace of construction. Inflation, at its low of 20 some years in May 2006, is back up again to the high teens. Furthermore, one of the fastest growing sectors is also banking, as the government is forcing the banks to lend out billions of Bolivars for both their projects and microloans. While the concept is not bad in itself, it's being done too quickly and the economy is overheating. The percentage of bad loans is starting to rise, and the growth rate is gradually falling. All of this has been possible due to the high oil prices that have given huge budget surpluses to the Venezuelan government (PVDSA, the major oil company is under government control), but oil prices seem to have reached their peak for the time being, and this type of spending will not be possible in the future. The coops that are the backbone of the Bolivarian revolution have actually not been that important in hurting or helping growth due to their small contribution to the economy (still only 7% of jobs, despite phenomenal increases in membership), but despite their socialist exterior, there are still mainly capitalist ones, although dissimilar from the first coops in England in the 19th century. However, with the new 14 year plan (National Simon Bolivar Project of 2007-2021), Chavez is going to change the nature of many of these coops to be more socialist, so Venezuela's not on a horrible path, but it is getting worse.