WASHINGTON—The Biden administration said Monday it is offering temporary legal residency to several hundred thousand Venezuelans who fled their country’s economic collapse and will review U.S. sanctions intended to isolate the South American nation. Both measures mark a shift from U.S. policy toward Venezuela under former President Donald Trump. President Joe Biden’s administration announced it would grant temporary protected status to Venezuelans already in the United States, allowing an estimated 320,000 people to apply to legally live and work in the country for 18 months. Trump issued an order deferring deportation for a smaller number of Venezuelans on his final day in office. The Trump administration also significantly tightened U.S. economic sanctions on Venezuela, most notably on its crucial oil sector, to try and force regime leader Nicolas Maduro to give up power after an election in 2018 that the United States and more than 50 other countries consider fraudulent. U.S. sanctions, …