Many oil-rich countries subsidize the sales of gasoline. Venezuela sells gasoline for less than 2 cents a gallon. The average per capita gasoline consumption is 413 kilograms. In neighboring Columbia gasoline is $4.72 and per capita consumption is 60 kilograms.
This article from the Wall Street Journal (4/12) the provides the details of this great illustration of the law of demand including parade of large automobiles that continually cross the border between Venezuela and Columbia.
