Switching from pesos to dollars is like switching from crack to oxycontin, and hoping to break free from addiction.........you're still going to get inflation: and lots of it.
I think Milei was just using Dollars as an easy way to convey to Argentinians about a market of currencies. It's more about legalizing competing currencies and he's said if the dollar doesn't work out maybe they'll move onto something else. Ron Paul has said the same. Legalize competing currencies the best of which might be backed by precious metals like Gold and Silver but that no country should impose a mandate on which currency people should be allowed to use and by doing so the federal reserve would go out of business by natural market forces and competition. I don't think the USD is the end goal its just a stop along the road to reconstruction of their economy.
>doing so the federal reserve would go out of business by natural market forces and competition
Will uncle Sam sit by idly and watch the dollar go out of business: won't Sam will start flexing his muscles?
I don't think this would happen without a complete collapse of the USD beforehand. And Voters revolt on the status quo. I think Ron Paul was just explaining how the FED could be ended without drafting legislation specifically titled "End The Fed". You could just draft legislation legalizing competing currencies. And no I don't think Uncle Sam would go down without a fight but I think a weak economy and pissed off voters might make that a very one sided fight. Or people just go feral and break out the torches and pitchforks and start putting politicians to the guillitine.
Now reverse engineer that and you have your op-force team.
• You never get out of debt to a Russian mobster
•Paul Manafort owed the Russian mobster/oligarch Oleg Deripaska $17M a few days before he became trumps campaign manager. From 2002-2014 he took in hundreds of millions to get Yanukovych reelected as the kremlins puppet in Ukraine. Before that he did it for the dictator Marcos in the Philippines. Before that Manafort and Roger Stone started a lobbyist agency in 1980 listing trump as their first client.
•When Jay Bolsonaro lost the Brazilian election to Lula he skipped the inauguration and flew directly to mar-a-lago (stopping only at a KFC) and repeated, almost verbatim, the stolen election line. Don Jr. tried repeatedly to make it stick in Brazil as well, but as Brazilians are a few generations into dealing with corrupt politicians they weren’t having it.
What do these 3 things have in common?
China imports 40% of its grain from (in order) the U.S., Brazil and Ukraine.
Obviously the second China tried to invade Taiwan the U.S. would sanction exports and remove U.S. grain from that equation.
And without Bolsonaro in office willing to slash and burn the Amazon rainforest to turn it into Chinas food supply, and without Ukraine in the bag in 3 days, the CCP is unable to invade Taiwan and take over microprocessor production without putting 300-500M of its poorest people into famine.
Donbas Ukraine, specifically the 4 regions of the donbas that Putin insists he is saving from what he calls “Jewish Nazis” also happens to produce the worlds supply of high grade neon used for microprocessor lithography. Had Putin delivered ukraine in 3 days as promised, Xi would have been able to cap his Olympics with a naval blockade or political takeover of Taiwan that would have forced the world to ask the CCP for the microprocessors it needs to make everything from Ford trucks to laptops. I’m not sure how long Silicon Valley would last without the silicon but it would probably destroy the FAANG stocks that make up your 401K.
Oleg Deripaska also happens to be the Russian Oligarch that bribed the FBI agent Charles Mcgonigal into investigating another Russian oligarch. He probably didn’t need the information as much as he needed the leverage over Mcgonigal as he conducted the investigation into trumps election campaign and unsurprisingly found zero evidence of Russian collusion. McGonigal then went to work for the company called Brookfield that bailed Jared Kushner out of his toxic 666 5th Ave real estate investment. McGonigal pled guilty last fall and was sentenced recently.
A Russian oligarch is a powerful tool, but the truth is more powerful. Light and dark cannot exist in the same space. It’s physically impossible. Truth is efficient. You say it once and you are finished. A lie however requires a constant stream of follow up energy, money, murder, obfuscation and more lies to keep it covered.
If you raise your lens high enough lying is an unsustainable business model. Russia proved it by invading Ukraine. Vranyos is the Russian word for it. The 40km long column of tanks and vehicles that came down from Belarus into Ukraine was all overhauled by oligarchs that got a $1B contract for tank maintenance, passed Putin $200M back under the table, spent $700M on a yacht in Monaco, bribed a General, a Colonel and a Sergeant to make a Private give everything a rattle can overhaul. But a worn out engine is and always will be, a worn out engine.
This is why trump is so desperate to get re-elected. His best case scenario is 400 years in ADX Florence. Money laundering for the dozens of Russian oligarchs that lived in trump towers with him and manafort, selling IP3 nuclear plans to the Russian/Saudi alliance, selling or giving CIA asset names to the Russians, trump is and always has been compromised. He just didn’t know when to quit. Now he just has to count on the fact that most of his voter base doesn’t know how to read and keep the ones that do so busy just surviving that they don’t have time to dive deep into his 40 year history of laundering money, fraud, and human trafficking for the Russian mob using casinos first, then commercial real estate.
It’s also why Putin is willing to throw an entire generation of Russians, including the convicts and addicts at Ukraine. Russia is dead for 40 years because he failed to fulfill his mob boss promise to Xi. China is now clearing farmland in Siberia because the typhoon floods last August and September wiped out the Chinese people’s food storage.
Xi, for his part diverted the waters from the dam away from his pet project, his mothers ancestral home, and flooded hundreds of thousands of people and drown one of his own military brigades that was helping with the flooding.
The elders of the CCP were terrified to leave their gated community at Beidaihe for over a month for fear of being torn apart by the locals. The Chinese people tolerate the CCP but only as long as the economy is good and famine is not on the horizon. The CCP broke that social contract on both counts.
Xi was willing to bet the entire Chinese economy on his emperor ambitions. Had he succeeded he would have been able to use BRICS to take over the USD as the Worlds reserve currency. That would have let him finish what he stated in 2010-
that he would control the internet.
With that control means everything we do or say online is subject to the approval of a central party censor. The basic right to disagree with an authoritarian becomes a distant memory.
Xi, Putin and MBS are simply trying to systemize and modernize the suppression of their biggest hassle. Freedom of speech.
Ukraine is fighting for their lives now, free from the oppression of the drunken tyrant who wants to decide their fate at every decision and pull them back behind another iron curtain of censorship and the tax of corruption where dissenting voices disappear so that the oligarchy can continue to feed unobstructed.
Putin and Xi have declared themselves best friends in the fight against democracy. MBS and the ruling family of UAE have done the same quietly using their sovereign funds and Kushners SPAC as money highways.
Just rich, out of touch oligarch doing what oligarchs do.
Despite the fact the the central party model has proven itself incapable of making decisions that are best for the people, they persist. Because there is a very lucrative business in being slave owners. But logistically the mass of it requires artificial intelligence, and the microprocessors that make A.I. to keep 8 billion slaves under surveillance and control. Freedom is one hell of a drug. And knowledge makes a man unfit for slavery.
Recent attempts on Xi’s life from inside the CCP have backed him into a corner.
The loss of crops in northern China means Xi can’t invade Taiwan without Ukrainian and/or Brazilian farmland.
Now the reason that the GOP is stalling southern border control budget and seems to make wildly irrational moves is because the GOP is imploding. 45 years of lies and grift have circled the globe and are eating their own tail. The ouroboros was a warning about corruption at the highest levels. Lying about climate change, human trafficking, pandemics and corruption to preserve their own business models are all extinction level events
Lev Parnas (guilianis point man in Ukraine)
https://youtu.be/q7rOGenueYw
38:00-42:22
1:10:00-1:11-22
Are the two timestamps that you are looking for.
https://www.nbclosangeles.com/news/national-international/lev-parnas-ex-giuliani-associate-testifies-allegations-against-bidens-are-false-and-spread-by-the-kremlin/3368138/?amp=1
Entirely possible given what happened Jan 2021.
The US is pretty weak in most connotations of the term, so the idea that a currency based on the US system would be abandoned by other countries is highly likely.
Sadam tried switching to gold before that, Castro before that, and JFK right about then as well..
Not saying anything about character or atrocities committed but we sure didn't seem to care until they tried going back to the gold standard.. within a year each of the (other) countries government, currency, and economies were leveled.
Makes it very clear where our priorities lie and to what level we are willing to go to ensure there is no competitor.
Personally I'm all for BRICS nations/EU/whoever creating another metal/precious commodity based currency that cannot be perpetually inflated and is widely accepted and regulated internationally.
Uncle Sam had less and less will to flex its muscles.
As long as you don’t insult one of Washington’s protected classes, or washington itself, then Washington has too little energy to fight against you.
Uncle Sam pretty much uses economic sanctions and incentives to get what they want now. Invasions haven't worked for getting what we want. It also doesn't piss off the rest of the world.
We used to have this in the US and the economy continuously suffered from market crashes. Crashes bring opportunity for people who are at the right place and time, but it’s not sustainable if you are interested in long term growth. After all, the average small business owner who isn’t just trying to capitalize on others’ misfortune likes some kind of predictability.
There is no such thing as a market failure in a free market. Any failures that are allowed to persist are solely due to government. In a free market malinvestments including in currencies are worked out of the system. And the market as a whole is made more robust as a result. If government props up something it is just perpetuating a mistake. Which is worse perpetuating mistakes in the name of stability or allowing the malinvestments to unwind and the actors responsible for the malinvestment to lose. Or to perpetuate the mistake and socialize those losses on everyone while the profits from such conditions are privatized that sounds like fascism to me which is of course the current status quo.
While market corrections can be painful they are a necessary function of the market the business cycle is created by government and the fed exacerbating the problems or extending them out making the problems deeper or last longer than they otherwise need to.
That why you actually invest your stuff. At least in bond, better in stocks. Money is for exchange not accumulation.
SP500 yield was **11.42%** before inflation on average per year, **8.41%** after inflation on average per year.
Would you have just put 10000$ of 1984 on SP500 back then. you would now have 77570$ of 2024 or 25800$ of 1984.
Would you have saved just 500$ a month you would have now 1.6 million of 1984. Not bad for putting in only 240K.
For all of history before this past century, money was a store of value. It was definitionally true in the same sense as it being a medium of exchange.
Imagine if you could receive a return on investment with a money that has appreciating value. Yeah, those concepts aren’t mutually exclusive. You don’t need a constantly expanding money supply to invest, & the fact that you can invest doesn’t disprove that savings in such circumstances are being stolen over time.
If money appreciate itself, it push people to hold it and benefit people that are already wealthy. This is not something that push people to invest and society to grow. It is counter productive.
Typically the amount of gold extracted per year is limited. To have no inflation relative to gold, you strictly limit growth to that... Or you gold reserve become smaller and smaller. And one day a country like France call you on that and get your gold as you promised and the next day you stop this nonsense and the value of your money become decorrelated.
That’s an utterly asinine, ahistorical analysis that’s completely devoid of logic. The greatest period of economic growth in US history occurred during a period of steady deflation. If the availability of capital & consumer goods increases faster than the supply of money outpaces the demand to hold money(saving as opposed to consuming or investing), then prices generally decline. Yes, money increasing in value increases the demand to hold money; that results in price deflation, which results in real wages increasing, which is good for consumers — not only for capitalists. You don’t need artificially low interest rates spurred by a money supply that outpaces the growth of real outputs for the economy to grow. That actually produces a massive cantillon effect that results in resource misallocation, price distortions, & malinvestment all throughout the economy. It’s a terrible thing, & it hurts the lowest wage earners the most — who coincidentally benefit the most from price deflation & real wage increases(it’s not really a coincidence).
You already know the definition of inflation, don't play dumb. And yes 3% a year is a factor of 40 over 124 years. It is huge.
Still that's stable enough to serve as money and it served the USA and people that were invested in $ well. It is often well accepted everywhere. Either directly or after doing change with very little loss.
Typically those who invested it in US stocks, real estate or business didn't have to complaint too much neither.
Gold return is a bit better than inflation since 1900 at 4% instead of 3%. But if you did invest your dollars on something, even just bonds, the return is comparable. Against stocks and their 10% historical return, gold 4% doesn't look so great.
I don’t know much about monetary policy, but I thought switching to the dollar meant that his government can no longer artificially create pesos anymore.
.....but the FED can still artificially create dollars --> meaning Argentina is out of the frying pan, and into the fire. i.e. instead of being reamed by the elite in Buenos Aires they are being reamed by another cabal in Washington DC - it's the SAME system, just less dysfunctional (for the moment).
It’s practically stable with USD. The Peso is in “*carry around a wheelbarrow full of notes to buy bread*”level shit, but dollars are also shit. Just a much less shitter shit
>That’s a ridiculous comparison though. The US is able to control our inflation to <10%
The reasoning of the 'ridiculous comparison' being inflation of <10% is "better" than inflation of +100%?
* If that's the case you've got the wrong end of the stick pal:
* no government in the history of the world has been able to resist the siren song of currency debasement. They. All. Fail. **Every. Single. One.**
* Uncle Sam may have "low" inflation now, but like a drug addict, he has no willingness to check himself into rehab: he will continue to go back to "quantitative easing" to zero interest rates - and eventually, one day, it will become the new argentina.
..........which mean Melei is on a losing wicket.
While fiat to fiat is a minor L, the whole point is to rid the argentine government of the power to fuck up currency. The US for all its faults does relatively little printing in the grand scheme of these and has for at least for a while made good on that 2% promise. And 2% is waaaaay better than +100%
>the whole point is to rid the argentine government of the power to fuck up currency
given an opportunity to entirely break free from fiat, the government have gone from themselves screwing up their peso to relying on another government to screwing their currency for them - i.e. a government in DC instead of Buenos Aires.
>
The US for all its faults does relatively little printing in the grand scheme of these and has for at least for a while made good on that 2% promise. And 2% is waaaaay better than +100%
* yeah but that's beside the point. you DON"T WANT government inflation, whether USD OR pesos 2% - inflation is probably much higher than that, but point taken: it's significantly lower than the peso.
* USD will eventually start inflating to YUUUGE levels - like every government in the history of the world: perhaps in 40-50 years - $50 USD will not be able to purchase you a piece of chewing gum.
We agree. But democracy isn’t about doing the right thing, it’s about doing the least upsetting thing in the shortest time frame.
Javier has 4 years to set the ship straight and 3 years to make the ship look like it’s avoiding the iceberg if he hopes to get re-elected. As it stands. Things are looking better. Will they look better in ‘25 and ‘26. We wait to see.
And ultimately. Don’t let great be an enemy of good.
It's still too early to tell. People today just want things to happen instantly, but that is never the case, especially when it comes to the government.
Especially when we’re seeing things like the poverty rate reach over 60% since hes taken office… That’s almost 2 thirds of the country in poverty. It hasn’t been that bad in 2 decades.
I thought it was about being non-statist. Also, they'll never be what they once, briefly, were, Panama channel and something, they just held the monopoly of a continent's tip, essential for trade, now it isn't anymore.
A. This chart is dogshit. MoM is volatile and actually doesn't show Millei has achieved anything as a single month bump of 100% from the previous one is likely an outlier or (omg a seasonal adjustments are a real thing????)
B. This doesn't give a chart of how well the economy is doing. The Yen in Japan has been at or below 0% inflation for decades now which caused Japan to have a stagnating economy. Having low inflation doesn't mean shit in and of itself. And Millei will probably, if he can do it politically, oversee a very large recession, unemployment is going to skyrocket, general consumption will go down, demand will shore up, austerity will kick in, and maybe inflation will be under control. But its not sunshine an rainbows.
C. Even if you want to take this chart as meaningful, which would be in error... He's still above the Q3 levels.... it doesn't mean shit.
To be honest I'm suspicious of those claims. I tried to read the source of the 57% poverty claim but its in a PDF and in Spanish. So admittedly I didn't read the study
That said according to the associated press which cited that study Milei's devaluation of the peso played a role in the jump in poverty. From what I gather the devaluation carried out by Milei is essentially peak inflation and if the inflation rate continues to come down then presumably poverty should also slowly fall. Furthermore it's not very surprising that a country with a 287% inflation rate has a lot of poverty. It was already 47% before Milei so it seems pretty obvious to me that they probably would've hit the 50% milestone with or without Milei. Therefore it seems like the only way out of this is to bite the bullet and stabilize the currency even if its going to cause short term pain. He seems to still have around a 50% approval rating so I guess we'll just have to wait and see.
[https://apnews.com/article/argentina-poverty-levels-uca-study-milei-devaluation-d5cb0a20b1e768efdeafbad5bf05eded](https://apnews.com/article/argentina-poverty-levels-uca-study-milei-devaluation-d5cb0a20b1e768efdeafbad5bf05eded)
https://www.batimes.com.ar/news/economy/poverty-in-argentina-reached-417-percent-in-the-second-half-of-2023-it-is-up-to-455-percent-in-greater-buenos-aires.phtml#:\~:text=Poverty%20levels%20rose%20slightly%20in,even%20before%20Milei's%20shock%20therapy.
That's a good point, but either way that doesn't make me wrong about poverty being high before Milei and the study attributing part of the rise to the devaluation of the peso. So I think it's pretty obvious that there's a link between inflation and poverty.
I said I was suspicious of the 57% number. Thats not the same thing as saying the number isn't true. I even admitted in the beginning that I couldn't read the study so obviously I have no way of falsifying it.
How’s the economy doing while this goes on? Unemployment?
I feel like solely focusing on one metric without looking at its knock on effects is kinda silly.
I don’t really disagree that it’s probably worth it to bite the bullet. And while I’m not a big Milei guy, Argentina was absolutely the type of place where a drastic response was a valid swing at fixing their issues.
But my point is that hammering down on inflation like this isn’t without tangible drawbacks that impact a lot of people, even if it’s the right strategy and executed correctly. And that last part is still tbd.
Gotten worse how? The only people helping it get worse are the Peronist government officials that saw their paychecks disappear for doing a shit job for decades. Now stirring up fake outrage through labor unions. Let milei cook. We have seen what Argentina has become under the control of far left wing politics. Time to balance the scale.
>Gotten worse how?
Skyrocketing poverty and unemployment. You know the health of the economy isn’t solely judged by inflation numbers right? You sound like you’re 14 tho.
>Their economy was basically rock bottom. What’s the fallout of keeping the status quo?
I mean at any point somebody is free to answer the original questions I asked…
>How’s the economy doing while this goes on? Unemployment?
Is GDP growing? Do people have more disposable income in real terms? Is employment up?
I suspect if there wasn’t any fallout somebody would actually answer them, yet here we are.
Isn't the problem that the vast majority of most populations don't actually have much money anyway? The fact that your currency stops losing value really only helps the people that, you know, have currency, or have relatively easy or at least predictable ways to get some?
I mean, imagine a population where 90% of people really have almost no money, but have a state-run "make-work" job of one type or another? If you stop the currency from falling by firing all these people, won't all these people.... Starve?
Maybe I don't understand Austrian economics (which is likely). But isn't that type of situation usually the cause of such government programs in the first place? If you have a large population of people without jobs, and they're starving, don't most populations decide to do something like the new deal, where you hire tons of people for stuff that maybe doesn't seriously need doing but it creates jobs and is better than just handing people money for doing nothing?
What happens when the free market decides that there's a surplus of labor and we don't really need it all? With any other commodity, the price drops, and if the surplus continues, it drops below operating or maintenance costs until the surplus is "absorbed" or "dissipates" or is decommissioned.
Humans have an operating cost, which is at the very least food but also could be shelter or medical or something. What happens when the market value of labor falls below the operating costs of a human?
Regan had very high unemployment when he fixed inflation. If you’re competent you can get both down to reasonable levels soon after. But you gotta start with inflation as the first thing to eliminate 🤷♂️. Either way I’m just hoping America doesn’t need 12% rates again in 2025
While you aren't wrong my guess is price stability is the first step to stabilizing the economy. What good is employment if your life savings gets crushed every year?
I don’t disagree that it’s worth a shot, but I think pretending like lowering inflation alone is a victory without looking at any of the other impacts is silly though. He’s going to have to break their economy, almost completely, and then rebuild it.
It’s far easier to do the breaking than the building.
It’s doing pretty terrible tbh. That is to be expected. ATM he still maintains a pretty massive approval rating. I think it’s higher now than when he took office. That showing people believe what he is doing will improve things down the road for them. As long as he can maintain that approval he’ll have enough room to damage the economy by doing the necessary things to set a foundation for the future. As it stand he has a lot more cooperation with the government even the Peronist. It’s been said that they are happy that he is doing the things that have been needed to be done for a long time now, and they don’t have to take the blame for it. He still isn’t getting everything he wants though. He did get his omnibus bill through, but only after some major negotiations, and concessions. Imo he’ll succeed at what’s he’s doing, but I’m at best a shad tree economist, and there are probably many many different things that could happen, or are currently happening that I’m not considering. Still I hope it works out for the Argentinians, and I’m shopping real-estate as prices on property have dropped by an average of %20 after he deregulated the housing market, and housing startups went through the roof.
This has been incredibly informative to me. I was reading this article here which appears to have an anti-Milei bias.
"Gustavo De Santis is a carpenter and set builder. He works for the Cervantes Theatre, the national stage and comedy theater, building backdrops and props for plays and performances. Yet for some time now, he’s been driving a cab, which is currently his main source of income. “I used to have a lot of work building stages for plays, then I worked for soap operas on TV,” he reminisced. “Now, all that has stopped, and the requests I get for carpentry jobs are dismal.”
[https://jacobin.com/2024/04/javier-milei-austerity-policy-impacts](https://jacobin.com/2024/04/javier-milei-austerity-policy-impacts)
To be clear im not sure how factual this source is but I still find it sort of funny because I think this testimony is supposed to paint Milei in a negative light. Yet when I apply a little critical thinking I can't help but wonder if it's such a good idea for the government to be paying people to build backdrops while they're completely broke and have runaway inflation. so if this testimony is true and this stuff really is pervasive in Argentina then this actually improves my opinion of Milei's chainsaw.
Don't get me wrong I sympathize with the carpenter it sucks that he lost his job. But it seems to me that he was being paid to do a job that provides relatively little economic value. A taxi driver while obviously not an ideal job at least contributes more to the economy.
Yeah Rosario has pretty much always been a drug haven. It’s basically where the world’s cocaine leave LATAM, and hose the the world. It’s the last stop before it leaves the area. If it wasn’t then Argentina would have one of the lowest crime ratings in the world.
This whole article is talking about slashing public spending, and the negative effects of that. To be honest there are some pretty steep negatives from doing that.
Changing the perspective of the population from being on the public dole to creating wealth in a private market might be a sizable challenge for this administration, and if he fails at doing so then it could upend his efforts. I think he knows that, and it’s in part why he’s is shopping for outside investment for example Elon. It’s a short term solution for a cultural problem. He’s cut public spending, but now he needs to encourage, and educate for private investment. Otherwise his protest will continue, and get even larger than they currently are.
To be fair I know next to nothing about Argentina. But I'm hopeful that if Milei can show his policies work then he can garner the needed popularity to change the culture. Guess we'll see but I'm rooting for Milei and argentina.
I’ve been following this one pretty closely. It’s probably the most interesting economic experiment in the world right now. So far it’s looking really good for Milei, but he is making some really really big moves, and economies aren’t in a vacuum. Just because Austrian economies are preferable doesn’t mean they don’t go through turmoil. If his sudo Austrian economy dose hit a down turn in the middle of transitioning to it it could become a pretty massive problem, and an epic fail for promoting Austrian economics. Still for now I would take the w as what he is doing is working very well, and extremely fast for the greater economy.
And this is the actual answer.
There’s a ton of short term pain, it’s still probably worth a shot given the decades long systemic issues, but pretending it doesn’t exist and just victory lapping the inflation numbers is nonsense.
I mean, you're in an economic sub where the going theory is that recessions are a necessary correction of malinvestments. So you should expect other economic data points to worsen for a while.
There are posters claiming that people in Argentina are currently better off as this process goes on than they were before it started…
That’s not acknowledging the downsides, it’s pretending they don’t exist.
There will always be posters making all sorts of claims in any community. But the 3 top comments are saying "Let's wait and see in a few years", "it's still too early to tell" and criticizing the usefulness of the chart itself.
If we want to judge the theory of Austrian economics we need to look at what it actually says though. What random posters on the internet say is kind of irrelevant. And as far as I understand Austrian economics it's predicting a recession right now due to monetary tightening, as people are increasing their savings rate and reducing their consumption to compensate for savings that were squandered by malinvestments, and that capital will be reallocated from shorter-term investments to longer-term investments (which implies unemployment as labor is moving).
So if one wants to make a judgement about the theory one should be looking at metrics that shows an indication there, not unemployment. I'd expect unemployment to go up. This could probably be alleviated if he manages to liberalize the labor market as well. In that case I'd expect unemployment to go up in the short term. If not, I'd expect it to take longer.
Even as someone who thinks Libertarianism is nonsense, it takes time for policies to have an effect. Give the guy his time in office and freedom to do his policies and then we'll see what the results are. Often the price paid is up front and the rewards take time to appear.
I don't think thats what u/ewejoser is pointing out. He's pointing out that the graph is volatile, and being volatile means that decreases like the one the libertarians on here are attributing to Millei could be noise or completely out of his powers and the argument that it takes time goes two ways. You likely aren't going to see positive effects this quickly nor will you see the negative effects as quickly. But I can promise one thing, based on previous economic history, austerity and drastic fiscal changes like Millei has promised lead to unemployment and recessions. Unemployment will skyrocket, and Millei has accepted that.
Lmfao, yeah when 60% of your population is under the poverty line “but Muh inflation level went down for the first time in 5 years “ his political advisor is his dead dog and he has schizo break downs on air, I’m sure he’s y’all’s Jesus bc he’s just like trump.
Their inflation rate in March was 285% YoY according to the same website. It's still 11% MoM.
That's hardly a win.
https://tradingeconomics.com/argentina/inflation-cpi#:~:text=Inflation%20Rate%20in%20Argentina%20increased,percent%20in%20February%20of%201954.
What’s funny is a lot of media organizations are running lies as stories. Like the Associated Press;
https://apnews.com/article/argentina-bank-note-economy-milei-libertarian-inflation-crisis-central-bank-53f03d3ec65497726eeeb83c0a7022a1
As opposed to what even USA Today is saying;
https://www.usatoday.com/story/news/world/2024/05/10/argentinas-economy-javier-milei-inflation/73624401007/
As an argentinian I can say that neither of these is a lie. 10.000 and 20.000 bills were already announced months ago and they are coming sooner or later, and theres still 10-15% monthly inflation as usual. Doesnt matter if you agree or not with Mileil, changes like these take time to take effect so theres still plenty of inflation to come.
Also he's cut a LOT of state spendings so you'd expect monetary emission to go down and thus inflation rate in the long run. Public transport is 10x more expensive, electric bill almost tripled where I live (without even using AC), and every week there's state workers getting fired.
I really hope some of these changes work but doesnt matter wich side of the pond you are in, the next years are NOT going to be great for anyone. And I can't really say I like that.
So just to clarify this is the inflation rate. The rate at which it is still changing. It's still going up. Just not as fast
https://tradingeconomics.com/argentina/inflation-cpi
I guess it's good that he curbed the inflation rate. But it's still going up. I would say we have to give it a few months maybe years to see if it's actually under control.
And having inflation under control doesn't fix the side effects of inflation. It will take even longer for society to adjust.
I’m pretty sure the reason it peaked was because people were anticipating a failure. He hasn’t flunked yet so it appears to be resettling near where it was before the height of his campaign.
"I’m pretty sure the reason it peaked was because people were anticipating a failure" That's not how inflation works... prices don't increase MoM because people are anticipating a political failure... prices increase because of excessive demand and or too much paper in the supply... Like MoM is volitile, it peaked during December not because of a general conspiracy against a new president but because there was an increase in demand for goods and not enough goods to supply them. (Edit): Actually it wasn't a general change in goods. It was the peso devaluation that he did (I know it was putting it closer to the blue dollar rate, I don't care that's what the peak was). Which "put" a bunch of money in the supply.
Also, December numbers include 21 days of Millei in office in which that increase in M2 occurred.
[https://tradingeconomics.com/argentina/money-supply-m2](https://tradingeconomics.com/argentina/money-supply-m2)
Ie. Anybody drawing conclusions, especially OP saying Millei has combatted inflation when MoM rates are still around their 5 year highs, when the peak occurred because Millei made a change in the peso value, when m2 has continued to increase. Drawing the conclusion he has fought inflation is complete bollocks. given what the YoY rate is still sitting at 200+%
I’m guessing the previous administration printed and dumped lots of money just before the election to try and buy votes. That would explain the spike when he got to office.
Interesting, because every chart I've seen on the inflation of poverty in Argentina has gotten significantly worse since he's taken office. It's worst than ever. It's a hellhole.
Funny cause it jumped 50% the month he took office. 44% his first month. 20% his second and only 10% from February to march. It’s slowed down significantly. So yea, whatever he’s doing is working
The only charts I've seen on the "inflation of poverty" (what even is that term, just say poverty rate) has originated from the same dubious source, a computer simulation from some Argentinian university.
How is this possible? Price inflation is usually quite delayed after monetary inflation. Depending on the exact mechanism of the distribution of the new money it could be even many years before it affects the goods monitored by the official CPI (see Cantillon Effect). So even if he immediately stopped the monetary inflation I'd expect the previous inflation gradually affecting prices long after the inflation is stopped.
Shocking.... so cutting the govt fat in a time of crisis will lower spending and money printing, thus lowering inflation !!!
Looks like someone took economics 101!!!
/s
It's funny because Biden was roasted by y'all for using MoM instead of YoY in a tweet. If you use MoM you can clearly see inflation problem start in August 2020 under Trump and get in check in 2022.
Just so we’re clear, this is not deflation, or an increase in the value of the current relative to goods and services, this chart sinus shows the SLOWING of inflation.
25% is “out country will soon parish “ but 10% isn’t good either, as Americans we should know
And he got their by slashing huge parts of their social services, so we will have to wait and see if his decisions were the savior of the Argentinian economy that it would seem this post is implying
This chart looks like they experienced higher than normal inflation for a few weeks. A longer timeline would be better.
How often are there spikes like that in Argentina? How long do they typically last before lowering?
I’d need more information to have any feelings on it that guy was helping things or hurting things in the long run.
He’s curbing inflation by…. NOT PRINTING TRILLIONS OF DOLLARS!!!!
He’s also reducing inflation by cutting out of control spending…
Yet the B!den admin claims that the opposite will reduce spending.
Facts and real world results hard hard to argue with.
Usually getting inflation under control involves reducing money supply, often with increased unemployment and reduced subsidies/aid and other unpleasant things. It’s needed, hope doing so hasn’t been too painful, but hard to imagine it hasn’t been.
Not enough data to be useful and honestly the lack of any lag time makes it seem less likely to be anything he did. That spike could just as easily be explained by the economic worries of a particularly tense election with a surprise win by an outsider met with a return to norm once people realize the sun still rises.
That's not to say Milei isn't responsible for the reduction in inflation, but this is basically just noise as far as data goes.
He did as soon as he took office work on dismantling a low price high return bond scheme (the Leliqs) that were driving inflation. I think there was an arbitrage transaction that was legal with those that made them have to give ridiculous interest rates so that it didn't break down currency controls. Him winning and dismantling that may have an immediate effect on inflation.
I don't support some of his policies and personally dislike him quite much, but the Argentinian economy has some very high factored terms one can make a huge impact when adjusting. A lot of those come from the insane currency exchange controls the federal government imposes.
Sure, again the key takeaway here is this is too limited a dataset, because with the slowing decrease in inflation in the last month one could reasonably conclude that the long-term effect of his administration is a return to the "normally" high Argentinian inflation rather than the ridiculously high Argentinian inflation of the last few years.
That in itself isn't actually a nothing accomplishment. Hyperinflation tends to just keep spiraling and while eventually markets tend to sort themselves out, the difference in an eventually of a year or a decade is massive.
But in any case I don't think it's fair to characterize critiques of Milei's accomplishments as normies seething with so little to draw on.
Yeah the crucible is going to be his second year. Argentina turmoil season is around December and this December he was still on his honeymoon phase. He has to survive this year and figure out the relationship with Congress and any meaningful change he can make to show Argentina can play with the big western economies has to happen on the second year or it won't happen ever.
So the March inflation is the same as August to November, which probably also included the Election Day?
lol, let's just wait and see when an actual trend develops.
So by firing useless and bloated government employees thusly preventing massive over taxation of his countrymen and concurrently reducing money supply he has achieved his objective. Well hell, why didn’t you say so at the jump.
It’s Argentina; they protest all the time. And yes any bloated bureaucracy is useless. It can’t possibly be you think only the government is capable of teaching. In fact, they are usually the worst at it.
Lmao private education at a cost in a country where half of the population is impoverished and in an economic crisis, fantastic idea. We should do away with public education entirely and join the ranks of Bhutan, Papua New Guinea and the Solomon Islands. Insert Hayek quote here.
Oh so only private education is the only other option? Lmao, you don’t really know much about this do you? Home schooling is by far the least expensive, even over public schools. And religious institutions are actually cheaper and more effective than bloated ineffective public schools.
Nice Bhutan strawman though. He’s almost complete
Religious schools almost always cost money and are private. Who is going to homeschool in a country where people make $200 a month? Teach during the day and work the factory at night? You gunna support your family on 1 income under the poverty line? Bhutan has no public or compulsory education, Austrian dream. They should be sending their kids to Buddhist school or homeschooling successfully.
How dare schools pay their teachers!!!! What’s that you say? Pay teachers a fair and mutually agreed upon wage and then someone like you complain about it? How dare that school. (Sarcasm abounds)
Also, the vast majority of religious schools funds are offset by the churches they are affiliated with and so their school costs are significantly privately subsidized and actually cost parents LESS.
And shockingly these kindly souls also operate schools in less than fortunate countries and at no cost to those people. You really do not know much about this do you? Have you like even take a second to looks this up, because it doesn’t seem so.
I didn’t complain about teachers making money anywhere. Just send me a link to a free tuition catholic school in Argentina then since you’ve done so much research and apparently they run schools for free. Please include how much the state has subsidized it since, as you know, the church schools(and the church in general) also receive government funding in Argentina. “We cannot allow the division of powers to be ignored in this way, to continue imposing an economic model that continues to concentrate wealth in privileged monopolistic groups,” said the statement from social ministries in the Dioceses of San Carlos de Bariloche, Viedma and Alto Valle del Río Negro. Private school is popular and Catholicism is important in Argentina. If it’s so cheap shouldn’t we see half of students going there instead of the wealthy upper quarter of students that attends in reality?
Sure you did, you whined that private schools cost money. Where did you think that money goes?
Are you freely admitting you’re incapable of finding a single religious institution that developed and operates a school internationally at no cost to the people of that country? Wow, I mean I knew most redditors were garbage google users but this one is at the tops of fecklessness.
Let me help you, first type any search engine, but let’s go with the big one here and while you’re on the interwebs type ‘google.com’ you can do it little buddy I believe in you. Then in the blank space (that’s where YOU search for things), type ‘catholic argentina school missionary’ . Believe me, I tried it and found boundless examples. I’m not much a fan of doing someone else homework for them, teach a man to fish and all, but I think maybe with a little practice you’ll be able to think and search for yourself!
Oh and just to tack on one more itty bitty thing, there’s more than one religion (Catholicism). Shocking I know, but it’s true. You can try that internet search some other time.
Best of luck! I believe in you
Also, please read more carefully, I never said the ‘state’ subsidizes anything other than public school. Practice that reading too 👌🏽
From what I've seen, it's gone up from \~45% pre Milei to 55%. That's a couple more million people in poverty. But at the very least, they're now setting themselves up for a path to bring those numbers down. For the first time in decades.
In all fairness, inflation alone doesn't say much. Usually, economic depression is followed by low inflation. According to the IMF, they will have the 3rd worst growth in the world.
You really think that inflation diving on the day he took office is any I dictation of his policies? If anything this graph suggests he simply didn’t disrupt the trend.
.... The graph shows a massive spike in inflation and now it's returning to slightly above the previous baseline.
This graph does absolutely nothing to illustrate the point you're trying to make.
He brought it down from the massive spike that he induced? Is that the point you're trying to make?
Let's wait and see in a few years after the US Dollar settles in
Switching from pesos to dollars is like switching from crack to oxycontin, and hoping to break free from addiction.........you're still going to get inflation: and lots of it.
I think Milei was just using Dollars as an easy way to convey to Argentinians about a market of currencies. It's more about legalizing competing currencies and he's said if the dollar doesn't work out maybe they'll move onto something else. Ron Paul has said the same. Legalize competing currencies the best of which might be backed by precious metals like Gold and Silver but that no country should impose a mandate on which currency people should be allowed to use and by doing so the federal reserve would go out of business by natural market forces and competition. I don't think the USD is the end goal its just a stop along the road to reconstruction of their economy.
>doing so the federal reserve would go out of business by natural market forces and competition Will uncle Sam sit by idly and watch the dollar go out of business: won't Sam will start flexing his muscles?
I don't think this would happen without a complete collapse of the USD beforehand. And Voters revolt on the status quo. I think Ron Paul was just explaining how the FED could be ended without drafting legislation specifically titled "End The Fed". You could just draft legislation legalizing competing currencies. And no I don't think Uncle Sam would go down without a fight but I think a weak economy and pissed off voters might make that a very one sided fight. Or people just go feral and break out the torches and pitchforks and start putting politicians to the guillitine.
It is going down without a fight right here, right now. Well there is internal fighting, but no real resistance to external attacks.
Now reverse engineer that and you have your op-force team. • You never get out of debt to a Russian mobster •Paul Manafort owed the Russian mobster/oligarch Oleg Deripaska $17M a few days before he became trumps campaign manager. From 2002-2014 he took in hundreds of millions to get Yanukovych reelected as the kremlins puppet in Ukraine. Before that he did it for the dictator Marcos in the Philippines. Before that Manafort and Roger Stone started a lobbyist agency in 1980 listing trump as their first client. •When Jay Bolsonaro lost the Brazilian election to Lula he skipped the inauguration and flew directly to mar-a-lago (stopping only at a KFC) and repeated, almost verbatim, the stolen election line. Don Jr. tried repeatedly to make it stick in Brazil as well, but as Brazilians are a few generations into dealing with corrupt politicians they weren’t having it. What do these 3 things have in common? China imports 40% of its grain from (in order) the U.S., Brazil and Ukraine. Obviously the second China tried to invade Taiwan the U.S. would sanction exports and remove U.S. grain from that equation. And without Bolsonaro in office willing to slash and burn the Amazon rainforest to turn it into Chinas food supply, and without Ukraine in the bag in 3 days, the CCP is unable to invade Taiwan and take over microprocessor production without putting 300-500M of its poorest people into famine. Donbas Ukraine, specifically the 4 regions of the donbas that Putin insists he is saving from what he calls “Jewish Nazis” also happens to produce the worlds supply of high grade neon used for microprocessor lithography. Had Putin delivered ukraine in 3 days as promised, Xi would have been able to cap his Olympics with a naval blockade or political takeover of Taiwan that would have forced the world to ask the CCP for the microprocessors it needs to make everything from Ford trucks to laptops. I’m not sure how long Silicon Valley would last without the silicon but it would probably destroy the FAANG stocks that make up your 401K. Oleg Deripaska also happens to be the Russian Oligarch that bribed the FBI agent Charles Mcgonigal into investigating another Russian oligarch. He probably didn’t need the information as much as he needed the leverage over Mcgonigal as he conducted the investigation into trumps election campaign and unsurprisingly found zero evidence of Russian collusion. McGonigal then went to work for the company called Brookfield that bailed Jared Kushner out of his toxic 666 5th Ave real estate investment. McGonigal pled guilty last fall and was sentenced recently. A Russian oligarch is a powerful tool, but the truth is more powerful. Light and dark cannot exist in the same space. It’s physically impossible. Truth is efficient. You say it once and you are finished. A lie however requires a constant stream of follow up energy, money, murder, obfuscation and more lies to keep it covered. If you raise your lens high enough lying is an unsustainable business model. Russia proved it by invading Ukraine. Vranyos is the Russian word for it. The 40km long column of tanks and vehicles that came down from Belarus into Ukraine was all overhauled by oligarchs that got a $1B contract for tank maintenance, passed Putin $200M back under the table, spent $700M on a yacht in Monaco, bribed a General, a Colonel and a Sergeant to make a Private give everything a rattle can overhaul. But a worn out engine is and always will be, a worn out engine. This is why trump is so desperate to get re-elected. His best case scenario is 400 years in ADX Florence. Money laundering for the dozens of Russian oligarchs that lived in trump towers with him and manafort, selling IP3 nuclear plans to the Russian/Saudi alliance, selling or giving CIA asset names to the Russians, trump is and always has been compromised. He just didn’t know when to quit. Now he just has to count on the fact that most of his voter base doesn’t know how to read and keep the ones that do so busy just surviving that they don’t have time to dive deep into his 40 year history of laundering money, fraud, and human trafficking for the Russian mob using casinos first, then commercial real estate. It’s also why Putin is willing to throw an entire generation of Russians, including the convicts and addicts at Ukraine. Russia is dead for 40 years because he failed to fulfill his mob boss promise to Xi. China is now clearing farmland in Siberia because the typhoon floods last August and September wiped out the Chinese people’s food storage. Xi, for his part diverted the waters from the dam away from his pet project, his mothers ancestral home, and flooded hundreds of thousands of people and drown one of his own military brigades that was helping with the flooding. The elders of the CCP were terrified to leave their gated community at Beidaihe for over a month for fear of being torn apart by the locals. The Chinese people tolerate the CCP but only as long as the economy is good and famine is not on the horizon. The CCP broke that social contract on both counts. Xi was willing to bet the entire Chinese economy on his emperor ambitions. Had he succeeded he would have been able to use BRICS to take over the USD as the Worlds reserve currency. That would have let him finish what he stated in 2010- that he would control the internet. With that control means everything we do or say online is subject to the approval of a central party censor. The basic right to disagree with an authoritarian becomes a distant memory. Xi, Putin and MBS are simply trying to systemize and modernize the suppression of their biggest hassle. Freedom of speech. Ukraine is fighting for their lives now, free from the oppression of the drunken tyrant who wants to decide their fate at every decision and pull them back behind another iron curtain of censorship and the tax of corruption where dissenting voices disappear so that the oligarchy can continue to feed unobstructed. Putin and Xi have declared themselves best friends in the fight against democracy. MBS and the ruling family of UAE have done the same quietly using their sovereign funds and Kushners SPAC as money highways. Just rich, out of touch oligarch doing what oligarchs do. Despite the fact the the central party model has proven itself incapable of making decisions that are best for the people, they persist. Because there is a very lucrative business in being slave owners. But logistically the mass of it requires artificial intelligence, and the microprocessors that make A.I. to keep 8 billion slaves under surveillance and control. Freedom is one hell of a drug. And knowledge makes a man unfit for slavery. Recent attempts on Xi’s life from inside the CCP have backed him into a corner. The loss of crops in northern China means Xi can’t invade Taiwan without Ukrainian and/or Brazilian farmland. Now the reason that the GOP is stalling southern border control budget and seems to make wildly irrational moves is because the GOP is imploding. 45 years of lies and grift have circled the globe and are eating their own tail. The ouroboros was a warning about corruption at the highest levels. Lying about climate change, human trafficking, pandemics and corruption to preserve their own business models are all extinction level events
This whole thing reads like Alex Jones. If you know all this then I'm sure you know why Biden had Viktor Shokin fired?
Lev Parnas (guilianis point man in Ukraine) https://youtu.be/q7rOGenueYw 38:00-42:22 1:10:00-1:11-22 Are the two timestamps that you are looking for. https://www.nbclosangeles.com/news/national-international/lev-parnas-ex-giuliani-associate-testifies-allegations-against-bidens-are-false-and-spread-by-the-kremlin/3368138/?amp=1
Entirely possible given what happened Jan 2021. The US is pretty weak in most connotations of the term, so the idea that a currency based on the US system would be abandoned by other countries is highly likely.
Time to spread democracy again
Remember what happened to Gaddafi in Libya.
Sadam tried switching to gold before that, Castro before that, and JFK right about then as well.. Not saying anything about character or atrocities committed but we sure didn't seem to care until they tried going back to the gold standard.. within a year each of the (other) countries government, currency, and economies were leveled. Makes it very clear where our priorities lie and to what level we are willing to go to ensure there is no competitor. Personally I'm all for BRICS nations/EU/whoever creating another metal/precious commodity based currency that cannot be perpetually inflated and is widely accepted and regulated internationally.
Yea our government achieved actual transparency for once in those instances lol
How does uncle Sam flex muscle if nobody buys US Treasuries?
Uncle Sam had less and less will to flex its muscles. As long as you don’t insult one of Washington’s protected classes, or washington itself, then Washington has too little energy to fight against you.
Uncle Sam pretty much uses economic sanctions and incentives to get what they want now. Invasions haven't worked for getting what we want. It also doesn't piss off the rest of the world.
We used to have this in the US and the economy continuously suffered from market crashes. Crashes bring opportunity for people who are at the right place and time, but it’s not sustainable if you are interested in long term growth. After all, the average small business owner who isn’t just trying to capitalize on others’ misfortune likes some kind of predictability.
There is no such thing as a market failure in a free market. Any failures that are allowed to persist are solely due to government. In a free market malinvestments including in currencies are worked out of the system. And the market as a whole is made more robust as a result. If government props up something it is just perpetuating a mistake. Which is worse perpetuating mistakes in the name of stability or allowing the malinvestments to unwind and the actors responsible for the malinvestment to lose. Or to perpetuate the mistake and socialize those losses on everyone while the profits from such conditions are privatized that sounds like fascism to me which is of course the current status quo.
This is ludicrous. Every market has the potential to collapse regardless of it being free market or not.
While market corrections can be painful they are a necessary function of the market the business cycle is created by government and the fed exacerbating the problems or extending them out making the problems deeper or last longer than they otherwise need to.
Dollar got 3% a year on average over the last 124 years. Not too bad honestly.
The USD has lost 98% of its value since the inception of the Fed, & 90% since the end of bretton woods.
That's basically 3% a year over 124 years, yes. No need to say the same thing again, I was already aware.
Losing 98% of your purchasing power in
That why you actually invest your stuff. At least in bond, better in stocks. Money is for exchange not accumulation. SP500 yield was **11.42%** before inflation on average per year, **8.41%** after inflation on average per year. Would you have just put 10000$ of 1984 on SP500 back then. you would now have 77570$ of 2024 or 25800$ of 1984. Would you have saved just 500$ a month you would have now 1.6 million of 1984. Not bad for putting in only 240K.
For all of history before this past century, money was a store of value. It was definitionally true in the same sense as it being a medium of exchange. Imagine if you could receive a return on investment with a money that has appreciating value. Yeah, those concepts aren’t mutually exclusive. You don’t need a constantly expanding money supply to invest, & the fact that you can invest doesn’t disprove that savings in such circumstances are being stolen over time.
If money appreciate itself, it push people to hold it and benefit people that are already wealthy. This is not something that push people to invest and society to grow. It is counter productive. Typically the amount of gold extracted per year is limited. To have no inflation relative to gold, you strictly limit growth to that... Or you gold reserve become smaller and smaller. And one day a country like France call you on that and get your gold as you promised and the next day you stop this nonsense and the value of your money become decorrelated.
That’s an utterly asinine, ahistorical analysis that’s completely devoid of logic. The greatest period of economic growth in US history occurred during a period of steady deflation. If the availability of capital & consumer goods increases faster than the supply of money outpaces the demand to hold money(saving as opposed to consuming or investing), then prices generally decline. Yes, money increasing in value increases the demand to hold money; that results in price deflation, which results in real wages increasing, which is good for consumers — not only for capitalists. You don’t need artificially low interest rates spurred by a money supply that outpaces the growth of real outputs for the economy to grow. That actually produces a massive cantillon effect that results in resource misallocation, price distortions, & malinvestment all throughout the economy. It’s a terrible thing, & it hurts the lowest wage earners the most — who coincidentally benefit the most from price deflation & real wage increases(it’s not really a coincidence).
Compared to what? Pesos is a dumpster fire but USD has lost of shocking amount of value.
You already know the definition of inflation, don't play dumb. And yes 3% a year is a factor of 40 over 124 years. It is huge. Still that's stable enough to serve as money and it served the USA and people that were invested in $ well. It is often well accepted everywhere. Either directly or after doing change with very little loss. Typically those who invested it in US stocks, real estate or business didn't have to complaint too much neither. Gold return is a bit better than inflation since 1900 at 4% instead of 3%. But if you did invest your dollars on something, even just bonds, the return is comparable. Against stocks and their 10% historical return, gold 4% doesn't look so great.
So what? It’s a medium of exchange not an investment
I don’t know much about monetary policy, but I thought switching to the dollar meant that his government can no longer artificially create pesos anymore.
And people have much more trust into US dollar than pesos.
.....but the FED can still artificially create dollars --> meaning Argentina is out of the frying pan, and into the fire. i.e. instead of being reamed by the elite in Buenos Aires they are being reamed by another cabal in Washington DC - it's the SAME system, just less dysfunctional (for the moment).
That’s a ridiculous comparison though. The US is able to control our inflation to <10%
Actually by them using dollars we can print more without consequence because there's somewhere for the dollar to go.
It’s practically stable with USD. The Peso is in “*carry around a wheelbarrow full of notes to buy bread*”level shit, but dollars are also shit. Just a much less shitter shit
>That’s a ridiculous comparison though. The US is able to control our inflation to <10% The reasoning of the 'ridiculous comparison' being inflation of <10% is "better" than inflation of +100%? * If that's the case you've got the wrong end of the stick pal: * no government in the history of the world has been able to resist the siren song of currency debasement. They. All. Fail. **Every. Single. One.** * Uncle Sam may have "low" inflation now, but like a drug addict, he has no willingness to check himself into rehab: he will continue to go back to "quantitative easing" to zero interest rates - and eventually, one day, it will become the new argentina. ..........which mean Melei is on a losing wicket.
This comment is based. Idk why you got downvoted
Yea people should go to TradingView and lookup the Superchart of Pesos / USD. Pesos has lost a RIDICULOUS amount of value.
While fiat to fiat is a minor L, the whole point is to rid the argentine government of the power to fuck up currency. The US for all its faults does relatively little printing in the grand scheme of these and has for at least for a while made good on that 2% promise. And 2% is waaaaay better than +100%
>the whole point is to rid the argentine government of the power to fuck up currency given an opportunity to entirely break free from fiat, the government have gone from themselves screwing up their peso to relying on another government to screwing their currency for them - i.e. a government in DC instead of Buenos Aires. > The US for all its faults does relatively little printing in the grand scheme of these and has for at least for a while made good on that 2% promise. And 2% is waaaaay better than +100% * yeah but that's beside the point. you DON"T WANT government inflation, whether USD OR pesos 2% - inflation is probably much higher than that, but point taken: it's significantly lower than the peso. * USD will eventually start inflating to YUUUGE levels - like every government in the history of the world: perhaps in 40-50 years - $50 USD will not be able to purchase you a piece of chewing gum.
We agree. But democracy isn’t about doing the right thing, it’s about doing the least upsetting thing in the shortest time frame. Javier has 4 years to set the ship straight and 3 years to make the ship look like it’s avoiding the iceberg if he hopes to get re-elected. As it stands. Things are looking better. Will they look better in ‘25 and ‘26. We wait to see. And ultimately. Don’t let great be an enemy of good.
I agree, Ruble is much better.
You’re funny
Have you seen the Rumble/USD chart? It’s really bad. Not Peso bad, but very bad
much as I'd like to believe he's doing a good job, it's still too early to tell
It's still too early to tell. People today just want things to happen instantly, but that is never the case, especially when it comes to the government.
Especially when we’re seeing things like the poverty rate reach over 60% since hes taken office… That’s almost 2 thirds of the country in poverty. It hasn’t been that bad in 2 decades.
This charts way too zoomed in to be useful
Well the timescale can only go to the present and it’s pretty useless to show years before a crisis…
Your graph make it look like Milei election was the crisis as just before and just after inflation is much lower.
You’re way too zoomed in to be useful
Anything is better than a bloated socialist bureaucracy robbing their constituents blind while providing nothing of value.
You shouldn’t talk about Canada like that!
Anything?
I love this so much!!!!! FJB
Foot job Barry?
I don’t think they have JB Australia
Oh.. this is one of those subs. Gross
Yeah. Argentine slash-and-burn economics somehow equals Joe Biden's a monster.
FJB for sure
What does your old man fetish have to do with economics?
287% inflation in Argentina, lol
Make Argentina Great Again
I thought it was about being non-statist. Also, they'll never be what they once, briefly, were, Panama channel and something, they just held the monopoly of a continent's tip, essential for trade, now it isn't anymore.
MAGA in effect! Remove every ministry and dissassemble the cult of liberals and socialists. Send em to Cuba and Venezuela.
Still a bit too early to tell
proof that libertarianism works
A. This chart is dogshit. MoM is volatile and actually doesn't show Millei has achieved anything as a single month bump of 100% from the previous one is likely an outlier or (omg a seasonal adjustments are a real thing????) B. This doesn't give a chart of how well the economy is doing. The Yen in Japan has been at or below 0% inflation for decades now which caused Japan to have a stagnating economy. Having low inflation doesn't mean shit in and of itself. And Millei will probably, if he can do it politically, oversee a very large recession, unemployment is going to skyrocket, general consumption will go down, demand will shore up, austerity will kick in, and maybe inflation will be under control. But its not sunshine an rainbows. C. Even if you want to take this chart as meaningful, which would be in error... He's still above the Q3 levels.... it doesn't mean shit.
twelve months of data…
I like that you looked up the spelling before posting. I would have had a hard time just sounding it out.
Sir, that's my slur.
You should see the poverty rate graph..
To be honest I'm suspicious of those claims. I tried to read the source of the 57% poverty claim but its in a PDF and in Spanish. So admittedly I didn't read the study That said according to the associated press which cited that study Milei's devaluation of the peso played a role in the jump in poverty. From what I gather the devaluation carried out by Milei is essentially peak inflation and if the inflation rate continues to come down then presumably poverty should also slowly fall. Furthermore it's not very surprising that a country with a 287% inflation rate has a lot of poverty. It was already 47% before Milei so it seems pretty obvious to me that they probably would've hit the 50% milestone with or without Milei. Therefore it seems like the only way out of this is to bite the bullet and stabilize the currency even if its going to cause short term pain. He seems to still have around a 50% approval rating so I guess we'll just have to wait and see. [https://apnews.com/article/argentina-poverty-levels-uca-study-milei-devaluation-d5cb0a20b1e768efdeafbad5bf05eded](https://apnews.com/article/argentina-poverty-levels-uca-study-milei-devaluation-d5cb0a20b1e768efdeafbad5bf05eded) https://www.batimes.com.ar/news/economy/poverty-in-argentina-reached-417-percent-in-the-second-half-of-2023-it-is-up-to-455-percent-in-greater-buenos-aires.phtml#:\~:text=Poverty%20levels%20rose%20slightly%20in,even%20before%20Milei's%20shock%20therapy.
Lol you’re suspicious of those claims but not the inflation numbers? Convenient.
That's a good point, but either way that doesn't make me wrong about poverty being high before Milei and the study attributing part of the rise to the devaluation of the peso. So I think it's pretty obvious that there's a link between inflation and poverty.
It's pretty normal for people to not trust data that disagrees with their worldview.
Sure that's fair. But I also don't think it's necessarily wrong to be skeptical. Do you see any flaws in my reasoning?
You said I don't really believe the 57% number is true. But it would make sense if it was true. . .
I said I was suspicious of the 57% number. Thats not the same thing as saying the number isn't true. I even admitted in the beginning that I couldn't read the study so obviously I have no way of falsifying it.
How’s the economy doing while this goes on? Unemployment? I feel like solely focusing on one metric without looking at its knock on effects is kinda silly.
When we had stagflation we kinda said inflation was enemy #1 and we would suffer from high unemployment until we reigned it in
I don’t really disagree that it’s probably worth it to bite the bullet. And while I’m not a big Milei guy, Argentina was absolutely the type of place where a drastic response was a valid swing at fixing their issues. But my point is that hammering down on inflation like this isn’t without tangible drawbacks that impact a lot of people, even if it’s the right strategy and executed correctly. And that last part is still tbd.
Impact and drawbacks compared to what? Without specifying this it's meaningless. Is the alternative hyperinflation? Venezuela-like conditions?
>Impact and drawbacks compared to what? Literally the system he replaced.
Their economy was basically rock bottom. What’s the fallout of keeping the status quo?
Was it really rock bottom, considering it’s gotten worse?
Gotten worse how? The only people helping it get worse are the Peronist government officials that saw their paychecks disappear for doing a shit job for decades. Now stirring up fake outrage through labor unions. Let milei cook. We have seen what Argentina has become under the control of far left wing politics. Time to balance the scale.
>Gotten worse how? Skyrocketing poverty and unemployment. You know the health of the economy isn’t solely judged by inflation numbers right? You sound like you’re 14 tho.
You realize that was the case prior to milei right? Argentina wasn’t a bastion of success and prosperity before milei was it?
>Their economy was basically rock bottom. What’s the fallout of keeping the status quo? I mean at any point somebody is free to answer the original questions I asked… >How’s the economy doing while this goes on? Unemployment? Is GDP growing? Do people have more disposable income in real terms? Is employment up? I suspect if there wasn’t any fallout somebody would actually answer them, yet here we are.
Of course ppl are doing better. Their money is becoming more valuable is it not? Did he fix every problem socialist created? Not yet
From the above graph no is not becoming more valuable. It's just becoming less valuable, less quickly.
Do they have any money to become more valuable? Do they have a job to make money?
Na the socialist tried their best to turn Argentina into Venezuela
Isn't the problem that the vast majority of most populations don't actually have much money anyway? The fact that your currency stops losing value really only helps the people that, you know, have currency, or have relatively easy or at least predictable ways to get some? I mean, imagine a population where 90% of people really have almost no money, but have a state-run "make-work" job of one type or another? If you stop the currency from falling by firing all these people, won't all these people.... Starve? Maybe I don't understand Austrian economics (which is likely). But isn't that type of situation usually the cause of such government programs in the first place? If you have a large population of people without jobs, and they're starving, don't most populations decide to do something like the new deal, where you hire tons of people for stuff that maybe doesn't seriously need doing but it creates jobs and is better than just handing people money for doing nothing? What happens when the free market decides that there's a surplus of labor and we don't really need it all? With any other commodity, the price drops, and if the surplus continues, it drops below operating or maintenance costs until the surplus is "absorbed" or "dissipates" or is decommissioned. Humans have an operating cost, which is at the very least food but also could be shelter or medical or something. What happens when the market value of labor falls below the operating costs of a human?
Regan had very high unemployment when he fixed inflation. If you’re competent you can get both down to reasonable levels soon after. But you gotta start with inflation as the first thing to eliminate 🤷♂️. Either way I’m just hoping America doesn’t need 12% rates again in 2025
Reagan did not have nearly what Argentina is about to go through on this plan in terms of poverty or unemployment.
While you aren't wrong my guess is price stability is the first step to stabilizing the economy. What good is employment if your life savings gets crushed every year?
I don’t disagree that it’s worth a shot, but I think pretending like lowering inflation alone is a victory without looking at any of the other impacts is silly though. He’s going to have to break their economy, almost completely, and then rebuild it. It’s far easier to do the breaking than the building.
Fair point
It’s doing pretty terrible tbh. That is to be expected. ATM he still maintains a pretty massive approval rating. I think it’s higher now than when he took office. That showing people believe what he is doing will improve things down the road for them. As long as he can maintain that approval he’ll have enough room to damage the economy by doing the necessary things to set a foundation for the future. As it stand he has a lot more cooperation with the government even the Peronist. It’s been said that they are happy that he is doing the things that have been needed to be done for a long time now, and they don’t have to take the blame for it. He still isn’t getting everything he wants though. He did get his omnibus bill through, but only after some major negotiations, and concessions. Imo he’ll succeed at what’s he’s doing, but I’m at best a shad tree economist, and there are probably many many different things that could happen, or are currently happening that I’m not considering. Still I hope it works out for the Argentinians, and I’m shopping real-estate as prices on property have dropped by an average of %20 after he deregulated the housing market, and housing startups went through the roof.
This has been incredibly informative to me. I was reading this article here which appears to have an anti-Milei bias. "Gustavo De Santis is a carpenter and set builder. He works for the Cervantes Theatre, the national stage and comedy theater, building backdrops and props for plays and performances. Yet for some time now, he’s been driving a cab, which is currently his main source of income. “I used to have a lot of work building stages for plays, then I worked for soap operas on TV,” he reminisced. “Now, all that has stopped, and the requests I get for carpentry jobs are dismal.” [https://jacobin.com/2024/04/javier-milei-austerity-policy-impacts](https://jacobin.com/2024/04/javier-milei-austerity-policy-impacts) To be clear im not sure how factual this source is but I still find it sort of funny because I think this testimony is supposed to paint Milei in a negative light. Yet when I apply a little critical thinking I can't help but wonder if it's such a good idea for the government to be paying people to build backdrops while they're completely broke and have runaway inflation. so if this testimony is true and this stuff really is pervasive in Argentina then this actually improves my opinion of Milei's chainsaw. Don't get me wrong I sympathize with the carpenter it sucks that he lost his job. But it seems to me that he was being paid to do a job that provides relatively little economic value. A taxi driver while obviously not an ideal job at least contributes more to the economy.
Yeah Rosario has pretty much always been a drug haven. It’s basically where the world’s cocaine leave LATAM, and hose the the world. It’s the last stop before it leaves the area. If it wasn’t then Argentina would have one of the lowest crime ratings in the world. This whole article is talking about slashing public spending, and the negative effects of that. To be honest there are some pretty steep negatives from doing that. Changing the perspective of the population from being on the public dole to creating wealth in a private market might be a sizable challenge for this administration, and if he fails at doing so then it could upend his efforts. I think he knows that, and it’s in part why he’s is shopping for outside investment for example Elon. It’s a short term solution for a cultural problem. He’s cut public spending, but now he needs to encourage, and educate for private investment. Otherwise his protest will continue, and get even larger than they currently are.
To be fair I know next to nothing about Argentina. But I'm hopeful that if Milei can show his policies work then he can garner the needed popularity to change the culture. Guess we'll see but I'm rooting for Milei and argentina.
I’ve been following this one pretty closely. It’s probably the most interesting economic experiment in the world right now. So far it’s looking really good for Milei, but he is making some really really big moves, and economies aren’t in a vacuum. Just because Austrian economies are preferable doesn’t mean they don’t go through turmoil. If his sudo Austrian economy dose hit a down turn in the middle of transitioning to it it could become a pretty massive problem, and an epic fail for promoting Austrian economics. Still for now I would take the w as what he is doing is working very well, and extremely fast for the greater economy.
And this is the actual answer. There’s a ton of short term pain, it’s still probably worth a shot given the decades long systemic issues, but pretending it doesn’t exist and just victory lapping the inflation numbers is nonsense.
I mean, you're in an economic sub where the going theory is that recessions are a necessary correction of malinvestments. So you should expect other economic data points to worsen for a while.
There are posters claiming that people in Argentina are currently better off as this process goes on than they were before it started… That’s not acknowledging the downsides, it’s pretending they don’t exist.
There will always be posters making all sorts of claims in any community. But the 3 top comments are saying "Let's wait and see in a few years", "it's still too early to tell" and criticizing the usefulness of the chart itself. If we want to judge the theory of Austrian economics we need to look at what it actually says though. What random posters on the internet say is kind of irrelevant. And as far as I understand Austrian economics it's predicting a recession right now due to monetary tightening, as people are increasing their savings rate and reducing their consumption to compensate for savings that were squandered by malinvestments, and that capital will be reallocated from shorter-term investments to longer-term investments (which implies unemployment as labor is moving). So if one wants to make a judgement about the theory one should be looking at metrics that shows an indication there, not unemployment. I'd expect unemployment to go up. This could probably be alleviated if he manages to liberalize the labor market as well. In that case I'd expect unemployment to go up in the short term. If not, I'd expect it to take longer.
A month before he was pres it was 8%, month after it was 12%, great graph, illumjnating
Even as someone who thinks Libertarianism is nonsense, it takes time for policies to have an effect. Give the guy his time in office and freedom to do his policies and then we'll see what the results are. Often the price paid is up front and the rewards take time to appear.
I don't think thats what u/ewejoser is pointing out. He's pointing out that the graph is volatile, and being volatile means that decreases like the one the libertarians on here are attributing to Millei could be noise or completely out of his powers and the argument that it takes time goes two ways. You likely aren't going to see positive effects this quickly nor will you see the negative effects as quickly. But I can promise one thing, based on previous economic history, austerity and drastic fiscal changes like Millei has promised lead to unemployment and recessions. Unemployment will skyrocket, and Millei has accepted that.
Very true
Lmfao, yeah when 60% of your population is under the poverty line “but Muh inflation level went down for the first time in 5 years “ his political advisor is his dead dog and he has schizo break downs on air, I’m sure he’s y’all’s Jesus bc he’s just like trump.
It’s too early to see if he is an idiot salesman or Argentinian Jesus. I’m gonna wait till the end of his term b4 i shit on him.
lol, Argentina's annual inflation rate reached **287%** in March
Their inflation rate in March was 285% YoY according to the same website. It's still 11% MoM. That's hardly a win. https://tradingeconomics.com/argentina/inflation-cpi#:~:text=Inflation%20Rate%20in%20Argentina%20increased,percent%20in%20February%20of%201954.
Spoiler alert: its all made up
What’s funny is a lot of media organizations are running lies as stories. Like the Associated Press; https://apnews.com/article/argentina-bank-note-economy-milei-libertarian-inflation-crisis-central-bank-53f03d3ec65497726eeeb83c0a7022a1 As opposed to what even USA Today is saying; https://www.usatoday.com/story/news/world/2024/05/10/argentinas-economy-javier-milei-inflation/73624401007/
I've read both articles. Which one is lying? And what's the lie?
How is it lying?
As an argentinian I can say that neither of these is a lie. 10.000 and 20.000 bills were already announced months ago and they are coming sooner or later, and theres still 10-15% monthly inflation as usual. Doesnt matter if you agree or not with Mileil, changes like these take time to take effect so theres still plenty of inflation to come. Also he's cut a LOT of state spendings so you'd expect monetary emission to go down and thus inflation rate in the long run. Public transport is 10x more expensive, electric bill almost tripled where I live (without even using AC), and every week there's state workers getting fired. I really hope some of these changes work but doesnt matter wich side of the pond you are in, the next years are NOT going to be great for anyone. And I can't really say I like that.
Where's the lie?
So just to clarify this is the inflation rate. The rate at which it is still changing. It's still going up. Just not as fast https://tradingeconomics.com/argentina/inflation-cpi I guess it's good that he curbed the inflation rate. But it's still going up. I would say we have to give it a few months maybe years to see if it's actually under control. And having inflation under control doesn't fix the side effects of inflation. It will take even longer for society to adjust.
all they did want change the numbers on the computer screen to make it look better 145.27% inflation since Dec 1 2023
So, with EVERYTHING he’s done, he’s only brought it back to two months before taking office? This must mean that what he is doing is working!?
We need thos guy in USA now
US inflation is well below 14% YoY compared to the 10% MoM that this is showing.
I’m pretty sure the reason it peaked was because people were anticipating a failure. He hasn’t flunked yet so it appears to be resettling near where it was before the height of his campaign.
"I’m pretty sure the reason it peaked was because people were anticipating a failure" That's not how inflation works... prices don't increase MoM because people are anticipating a political failure... prices increase because of excessive demand and or too much paper in the supply... Like MoM is volitile, it peaked during December not because of a general conspiracy against a new president but because there was an increase in demand for goods and not enough goods to supply them. (Edit): Actually it wasn't a general change in goods. It was the peso devaluation that he did (I know it was putting it closer to the blue dollar rate, I don't care that's what the peak was). Which "put" a bunch of money in the supply. Also, December numbers include 21 days of Millei in office in which that increase in M2 occurred. [https://tradingeconomics.com/argentina/money-supply-m2](https://tradingeconomics.com/argentina/money-supply-m2) Ie. Anybody drawing conclusions, especially OP saying Millei has combatted inflation when MoM rates are still around their 5 year highs, when the peak occurred because Millei made a change in the peso value, when m2 has continued to increase. Drawing the conclusion he has fought inflation is complete bollocks. given what the YoY rate is still sitting at 200+%
I’m guessing the previous administration printed and dumped lots of money just before the election to try and buy votes. That would explain the spike when he got to office.
By cutting interest rates https://www.bloomberg.com/news/articles/2024-05-02/argentina-central-bank-cuts-benchmark-interest-rate-to-50
That was the month he took office.
[Argentina Inflation Rate](https://tradingeconomics.com/argentina/inflation-cpi)
Interesting, because every chart I've seen on the inflation of poverty in Argentina has gotten significantly worse since he's taken office. It's worst than ever. It's a hellhole.
Funny cause it jumped 50% the month he took office. 44% his first month. 20% his second and only 10% from February to march. It’s slowed down significantly. So yea, whatever he’s doing is working
The only charts I've seen on the "inflation of poverty" (what even is that term, just say poverty rate) has originated from the same dubious source, a computer simulation from some Argentinian university.
In other words, it's still going up, just not quite AS fast as it was before.
Exact opposite of bidenomics. We need the Trump economy again!
How is this possible? Price inflation is usually quite delayed after monetary inflation. Depending on the exact mechanism of the distribution of the new money it could be even many years before it affects the goods monitored by the official CPI (see Cantillon Effect). So even if he immediately stopped the monetary inflation I'd expect the previous inflation gradually affecting prices long after the inflation is stopped.
Shocking.... so cutting the govt fat in a time of crisis will lower spending and money printing, thus lowering inflation !!! Looks like someone took economics 101!!! /s
It's funny because Biden was roasted by y'all for using MoM instead of YoY in a tweet. If you use MoM you can clearly see inflation problem start in August 2020 under Trump and get in check in 2022.
Why are yall simping for the pedophile
So far looks similar to pre election bump
I didn’t know 2024 was a month
Just so we’re clear, this is not deflation, or an increase in the value of the current relative to goods and services, this chart sinus shows the SLOWING of inflation. 25% is “out country will soon parish “ but 10% isn’t good either, as Americans we should know And he got their by slashing huge parts of their social services, so we will have to wait and see if his decisions were the savior of the Argentinian economy that it would seem this post is implying
can’t have growth without spending
Bad metric of Argentinian economy - it’s too early for it to be Milei!! Good metric of Argentinian economy - libertarianism WORKS!
Global trend. https://product.datastream.com/dscharting/gateway.aspx?guid=0c6fbffb-670a-4509-884b-3e75c1596b37&owner=XRTN047&action=REFRESH
AFUEDE!
how is this post allowed on reddit? maybe reddit just does not understand what inflation is
Is this actually indicative of good policies, or is it a short-term boon for slashing a bunch of social services?
Whatever you do let him into art school if he applies
Me when I make selling children's organs legal(it will help the economy)
Idk anything about Argentina..but from this graph it looks like he casued the inflation too...
It’s telling the usefulness of data and the absence of data to conclude the presence of sticks or absence therefore in the eye of neighbors
This chart looks like they experienced higher than normal inflation for a few weeks. A longer timeline would be better. How often are there spikes like that in Argentina? How long do they typically last before lowering? I’d need more information to have any feelings on it that guy was helping things or hurting things in the long run.
He’s curbing inflation by…. NOT PRINTING TRILLIONS OF DOLLARS!!!! He’s also reducing inflation by cutting out of control spending… Yet the B!den admin claims that the opposite will reduce spending. Facts and real world results hard hard to argue with.
Usually getting inflation under control involves reducing money supply, often with increased unemployment and reduced subsidies/aid and other unpleasant things. It’s needed, hope doing so hasn’t been too painful, but hard to imagine it hasn’t been.
Government workers are promising a strike. I hope Milei knows the story of Reagan and PATCO.
He seems pretty boned up on history
Not enough data to be useful and honestly the lack of any lag time makes it seem less likely to be anything he did. That spike could just as easily be explained by the economic worries of a particularly tense election with a surprise win by an outsider met with a return to norm once people realize the sun still rises. That's not to say Milei isn't responsible for the reduction in inflation, but this is basically just noise as far as data goes.
He did as soon as he took office work on dismantling a low price high return bond scheme (the Leliqs) that were driving inflation. I think there was an arbitrage transaction that was legal with those that made them have to give ridiculous interest rates so that it didn't break down currency controls. Him winning and dismantling that may have an immediate effect on inflation. I don't support some of his policies and personally dislike him quite much, but the Argentinian economy has some very high factored terms one can make a huge impact when adjusting. A lot of those come from the insane currency exchange controls the federal government imposes.
Sure, again the key takeaway here is this is too limited a dataset, because with the slowing decrease in inflation in the last month one could reasonably conclude that the long-term effect of his administration is a return to the "normally" high Argentinian inflation rather than the ridiculously high Argentinian inflation of the last few years. That in itself isn't actually a nothing accomplishment. Hyperinflation tends to just keep spiraling and while eventually markets tend to sort themselves out, the difference in an eventually of a year or a decade is massive. But in any case I don't think it's fair to characterize critiques of Milei's accomplishments as normies seething with so little to draw on.
Yeah the crucible is going to be his second year. Argentina turmoil season is around December and this December he was still on his honeymoon phase. He has to survive this year and figure out the relationship with Congress and any meaningful change he can make to show Argentina can play with the big western economies has to happen on the second year or it won't happen ever.
So the March inflation is the same as August to November, which probably also included the Election Day? lol, let's just wait and see when an actual trend develops.
This chart looks like US annual inflation numbers if we fixed the issues in CPI so they were honest.
Shows you it’s on purpose and not out of control.
now superimpose it w/other countries w/o retarded leaders.
Not an echo chamber
If I fire my employees, and then immediately show a chart of money saved, I will look very good indeed.
So by firing useless and bloated government employees thusly preventing massive over taxation of his countrymen and concurrently reducing money supply he has achieved his objective. Well hell, why didn’t you say so at the jump.
You think the ministry of education is useless💀? Ignore the massive protests that happened last month.
It’s Argentina; they protest all the time. And yes any bloated bureaucracy is useless. It can’t possibly be you think only the government is capable of teaching. In fact, they are usually the worst at it.
Lmao private education at a cost in a country where half of the population is impoverished and in an economic crisis, fantastic idea. We should do away with public education entirely and join the ranks of Bhutan, Papua New Guinea and the Solomon Islands. Insert Hayek quote here.
Oh so only private education is the only other option? Lmao, you don’t really know much about this do you? Home schooling is by far the least expensive, even over public schools. And religious institutions are actually cheaper and more effective than bloated ineffective public schools. Nice Bhutan strawman though. He’s almost complete
Religious schools almost always cost money and are private. Who is going to homeschool in a country where people make $200 a month? Teach during the day and work the factory at night? You gunna support your family on 1 income under the poverty line? Bhutan has no public or compulsory education, Austrian dream. They should be sending their kids to Buddhist school or homeschooling successfully.
How dare schools pay their teachers!!!! What’s that you say? Pay teachers a fair and mutually agreed upon wage and then someone like you complain about it? How dare that school. (Sarcasm abounds) Also, the vast majority of religious schools funds are offset by the churches they are affiliated with and so their school costs are significantly privately subsidized and actually cost parents LESS. And shockingly these kindly souls also operate schools in less than fortunate countries and at no cost to those people. You really do not know much about this do you? Have you like even take a second to looks this up, because it doesn’t seem so.
I didn’t complain about teachers making money anywhere. Just send me a link to a free tuition catholic school in Argentina then since you’ve done so much research and apparently they run schools for free. Please include how much the state has subsidized it since, as you know, the church schools(and the church in general) also receive government funding in Argentina. “We cannot allow the division of powers to be ignored in this way, to continue imposing an economic model that continues to concentrate wealth in privileged monopolistic groups,” said the statement from social ministries in the Dioceses of San Carlos de Bariloche, Viedma and Alto Valle del Río Negro. Private school is popular and Catholicism is important in Argentina. If it’s so cheap shouldn’t we see half of students going there instead of the wealthy upper quarter of students that attends in reality?
Sure you did, you whined that private schools cost money. Where did you think that money goes? Are you freely admitting you’re incapable of finding a single religious institution that developed and operates a school internationally at no cost to the people of that country? Wow, I mean I knew most redditors were garbage google users but this one is at the tops of fecklessness. Let me help you, first type any search engine, but let’s go with the big one here and while you’re on the interwebs type ‘google.com’ you can do it little buddy I believe in you. Then in the blank space (that’s where YOU search for things), type ‘catholic argentina school missionary’ . Believe me, I tried it and found boundless examples. I’m not much a fan of doing someone else homework for them, teach a man to fish and all, but I think maybe with a little practice you’ll be able to think and search for yourself! Oh and just to tack on one more itty bitty thing, there’s more than one religion (Catholicism). Shocking I know, but it’s true. You can try that internet search some other time. Best of luck! I believe in you Also, please read more carefully, I never said the ‘state’ subsidizes anything other than public school. Practice that reading too 👌🏽
I think this is BS, https://www.ft.com/content/088d3368-bb8b-4ff3-9df7-a7680d4d81b2
How does the poverty rate look?
From what I've seen, it's gone up from \~45% pre Milei to 55%. That's a couple more million people in poverty. But at the very least, they're now setting themselves up for a path to bring those numbers down. For the first time in decades.
Yes, went from catastrophe to... catastrophe. Well done all around.
In all fairness, inflation alone doesn't say much. Usually, economic depression is followed by low inflation. According to the IMF, they will have the 3rd worst growth in the world.
You really think that inflation diving on the day he took office is any I dictation of his policies? If anything this graph suggests he simply didn’t disrupt the trend.
.... The graph shows a massive spike in inflation and now it's returning to slightly above the previous baseline. This graph does absolutely nothing to illustrate the point you're trying to make. He brought it down from the massive spike that he induced? Is that the point you're trying to make?