• 0 Posts
  • 16 Comments
Joined 1 year ago
cake
Cake day: October 25th, 2023

help-circle









  • Changing the language doesn’t change the output. You can call it whatever you want. But its a fact that a modern economy needs to participate in the global markets. Ite either that or self reliance (which means no oil, no smartphones, no imports generally). I am supposing that you dont want the second one.

    From this the only conclusion is that a country needs to produce something and be competitive, and the easiest way to do that is with investment.

    All those things are facts. Now, are there alternatives? Obviously, for example, France’s economy is in big part goverment run with success. But for that you need to maintain a competent government which in Argentinas I think we can agree that it is not the case.

    So, you either establish a more or less free market with a bit of stability, or you have a competent gov. The IMF thinks the first is easier, and so it recomends it.

    With that said, obviously some government intervention is needed and social policies are usually good, but to maintain those you need money, and sadly, you cant just print it (Again, Argentina is a great example for that).



  • In particular yes. And even if its usually a bad idea an equilibrium must be found between social services and Liberal policies. And Argentina is clearly in much need of some Liberal policies. This president might take it too far, making some irreparable mistakes like doralisation, but seeing the state of the Argentinian economy its provably an overall positive. But again, its. Abit sad that he feels like insulting is the way to do it.

    Also, the IMF usually gives good advice to counties, most of its bad reputation comes from them trying to impose unpopular measures to counties on the border of collapse and it usually fails. But that’s like blaming Hospitals for not beeing able to save all patients. They usually ask for a but too much (as you said they are liberals after all) but its a good idea to listen to them



  • Yes in normal countries. But Argentina has an official fixed rates that is unrelated to reality. This means there are two exchange rates, the official one and the real one. Thie measure just puts the official one closer to the real one. And as Argentina uses gov money to pay the official rate thus this reduces the gov expenses and in the long term it stabilises the currency. Yes, in the short term its a shock to the economy making some thins more expensive (for those that had access to the gov rate) but its just bc before the gov subsidised those things indirectly.

    Most of the ideas of this president are actually good. Its just a shame that he has to insult and act to apply them. He’s just doing what the IMF has proposed for years and telling everyone it’s a revolution.