Just updating this thread as it looks like Argentina is finally on the upslope. Monthly inflation has dropped from 26% to 2.7%
The interesting part is that he still has the population behind him, even though they all got poorer over the last year.
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Their measurement horizon is very short but it’s good that inflation seems to be reigned in. What I don’t get is if he wants a small gvt it means he wants to rely on FDI to grow the economy right? Because his next challenge is how to grow that economy. I am wary of using the same economic policies for a developing country as those for a developed country because if you are not careful you can get trapped in a low level equilibrium. I am intrigued to see what he will do to grow the economy.
afuera amirite
I guess we’ll see. Instead of a case of “number go up”, is it a case of “number go down”?
All you gotta do is reduce the money supply.
Sure. But its also about cutting public spending.
And he cut it from 44% to 32% of GDP.
Thats a huge adjustment in only a year which makes it dangerous on the ground for society in general. But they
seem to be onboard still which does benefit him.
Apparently you can make big changes and impose shocks when there is buy-in from the public.
Looking at what seems to be on the horizon in the US, I wonder how much buy-in there is in the US.
I know that the answer is “less than Trump and Elmo think there is”… but objectively I wonder if there’s more than my cynical nature suspects.
Number go down!
Milei under attack for his role in “pump and dump” cryptocurrency scheme.