Even if you measure only by the very narrow meausre of GNP growth, Venezuela is doing very well since the oil strike ended. And even though Venezuela makes a lot of money from oil, it's important to remember that Venezueala was almost broke in 2003 because they were in heavy debt incurred by previous governments and because PDVSA had been run not for the benefit of the country before then -- their contracts were very beneficial for foreign companies and a few wealthy venezuelan families.
In 2003, Venezuela was so broke, Castro printed up 1,000,000 readers for an education project in Venezuela at no charge because Venezuela didn't have the money to pay for them.
Only in the last two years (out of over 70 of drilling oil) does that money help Venezuelans. And Chavez has been putting it to work. They've dramatically reduced illiteracy, they've given people health care who have never seen doctors before, they use the army to build railroads to small towns so that they can, for the first time, participate in commerce.
You can read all the things they've been doing in this book:
http://www.amazon.com/exec/obidos/tg/detail/-/1920888004/qid=1127112192/sr=8-1/ref=sr_8_xs_ap_i1_xgl14/103-0913486-6351016?v=glance&s=books&n=507846.And if you read Amartya Sen's Democracy as Freedom, you'll see that he's following Sen's recipe for development precisely: freedom is both the means and the ends of Venezuelan development. When the experiment moves forward, I have no doubt that Chavez will prove that Sen's theories work.