Under Argentina’s New President, Fuel Is Up 60%, and Diaper Prices Have Doubled
Under Argentina’s New President, Fuel Is Up 60%, and Diaper Prices Have Doubled
He did say he would apply shock therapy to the economy. He never mentioned if the economy would come out alive.
This is just the price the poor are going to have to pay while the rich get to loot the country.
"some of you may die, but thats a sacrifice im willing to make"
Because inflation has absolutely no bearing on poor people's silver linings.
Who could've guessed that a rightwing government wouldn't solve their issues (which were originally caused by rightwing policies)?
which were originally caused by rightwing policies
Such as...
The implosion of Argentina is a very complex issue, but, essentially, the country allowed itself to be informally dollarized and ceded control over most of its industries to international (read corporativist) interests. When Perón restructured the country, it was done with a limited scope and with relatively short term changes, causing their economy to collapse again later (it doesn't help that Brazil, a powerful potential ally, had undergone a rightwing U.S.-backed coup at the time). Then, the whole Falklands/Malvinas war happened, all rightwing bullshit, and the country still hasn't bounced back.
Easy. You sing “Yay Boo”
"In a storm..."
The air in Buenos Aires aside, It’s really a very clean country.
Look, theres a lot of reasons this guy sucks.
Increasing the costs of two things that are causing the most damange to our planet is not a reason to criticize him tho.
sure it is. removing subsidies on commodities like gas doesn't change the demand for gas, it just puts more of a burden on poor people, and doesn't matter at all to the rich who use it most. that path will only lead to backlash against green policies in general, see the yellow vest protests. in order to reduce consumption you actually need to reduce demand by giving people sustainable alternatives.
It's beginning to look like Venezuela but with libertarians. It's quicker than I thought.
Venezueal is a locked country that's sanctioned to hell, Argentina is about to break incompetence records not ever seen before
If you think that you are under 20 or have been living under a rock.
Hell no. For Argentina to look like Venezuela, inflation must be 100,000%. I wish I was exaggerating. 1 USD is 40 trillion of the old Venezuelan currency pre-Chavez, the one the government has cut 9 zeroes to hide inflation ever since.
Of course, that doesn't mean that the situation in Argentina isn't looking dire.
Argentina isn't sanctioned at all lmao. Thinking Venezuela is a failure is exactly what the US and its allies want you to think with the ridiculous amount of sanctions. Can't have people see Socialism succeeding.
I lived in Argentina for five years. I’ve spent much time since then trying to convince people in the US that you have more rights and freedoms in Argentina. This might be changing now.
If this keeps up I'll have to stop shitting myself.
Don't you dare
I'm guessing it will not stop him from shitting on his citizens.
You can't stopp the plopp
Totally out of context title
Who would've known, the man that made it so people can get their salary in jugs of milk is a complete idiot.
Ffs stop trying to spread hate on this guy, at least try harder, biased articles and no context titles are not helping your dumb agenda either
Makes sense, if stuff is subsidized, the government has to pay for it. If the government doesn't have money to pay for it, they'll just print it out of thin air, devaluing the currency (and thus taxing the working class).
There's gonna be a lot of pain for Argentinians in the months and years to come, hopefully it'll all be worth it...
Neoliberalism is a zombie ideology. Read a book: The Shock Doctrine
Printing money only devalues a currency when there’s no taxation to subsequently shred the money.
Second Thought: Why the Government has Infinite Money
That is not the idea that he had in mind when devaluing the currency. Instead of respecting the international money market exchange rates for USD to the Peso, he has unilaterally declared a new value which is about half of what it was before. The idea is to make Argentinian goods and labor competitive on the international market so the country can vacuum up huge sums of money from greedy investors.
That idea is dumb though because investors tend to want some kind of political stability. They will not just say "Oh I can build my widget for 30% cheaper in Argentina because of this money woo" - they will say "Oh, Argentina will probably seize my assets if we invest there because they're being run by a nutjob dictator."
The black market rate was around 1000 pesos per dollar and the official was 400. They devalued it to bring it closer to the black market one.
If the official rate meant anything, the black market one wouldn't be so drastically different.
Instead of respecting the international money market exchange rates for USD to the Peso
You're completely ignoring the black market Peso : USD conversion rate, which is even lower than what Millei has shifted things to at about 1000 pesos per dollar. The aim is to try to get the rate to actually reflect reality.
hopefully circumstances worsen quickly enough that it'll be noticable for everybody so that the general public can clearly identify it as a direct consequence of this maniac being elected. If its deteriorating too slowly people might just not notice it as much and might go along with all the coming explanations ( probably immigrants, leftists, blahblah). If there's a quick look into the abyss people might wake up and get into action.
"He also devalued the peso by 54 percent, putting the government’s exchange rate much closer to the market’s valuation."
It looks like the situation was worse all this time. The government just stopped pretending.
If there’s a quick look into the abyss people might wake up and get into action.
And vote for the politicians that gave them slow decline again...
This is the standard political cycle in Argentina, like a giant pendulum. Someone starts screaming about how they will fix everything and gets voted in. Their incompetence makes things worse and the cycle repeats with someone new.
Picture me surprised, he looked like a calm and rationale person
This is the best summary I could come up with:
Mr. Galli has been trying to cut back without making life worse for his two daughters, who are 6 years and 18 months old, including switching to a cheaper brand of diapers and racing to spend his Argentine pesos before their value disintegrates even further.
“I prefer to tell you the uncomfortable truth rather than a comfortable lie,” he said in his inaugural address, adding this past week that he wanted to end the country’s “model of decline.”
The economic turmoil paved the way to the presidency for Mr. Milei, a political outsider who had spent years as an economist and television pundit railing against what he called corrupt politicians who destroyed the economy, often for personal gain.
The previous leftist government had used complicated currency controls, consumer subsidies and other measures to inflate the peso’s official value and keep several key prices artificially low, including for gas, transportation and electricity.
With the chronic high inflation, labor unions often negotiate large raises to try to keep up, yet those wage increases are quickly eaten up by sharp price hikes.
“I always say that we are at university, and every day we sit for a difficult exam, every five minutes,” said Roberto Nicolás Ormeño, an owner of El Gauchito, a small empanada shop in downtown Buenos Aires.
The original article contains 1,384 words, the summary contains 216 words. Saved 84%. I'm a bot and I'm open source!
I knew he was going to hurt Argentina badly, but I didn’t expect him to be this quick
I’m so glad Argentina pulled out from BRICS+, it would have been a drain on it
Those actually sound like good things, but not because this guy is good
#fuckcars! A bad day for humanity a great day for public transit!
Yeah. Environmentalism, workers rights, social justice. Totally Milei's core issues /s.
You understand that Milei is creating a libertarian Bartertown hellscape that absolutely will not be investing in public infrastructure, but is in fact privatizing the existing public infrastructure, right?
Private services are so much more efficient! Just look at British rail!
Expensive, unsafe, unreliable, and probably paying fantastic dividends to their shareholders.
You do realize that fuel prices also impact the prices of food, clothing, and medicine, right?
It os the same with the demagogues populists.
He has been in office for 2 weeks I can't imagine this is a result of his policies yet.
Well, I suppose it is technically a change
I think so far this is what people wanted: end the status quo and apply shock therapy.
His supporters hope that in the long run the economy will become independent and the country would come out of the never ending crisis. My guess is that everything will simply end up owned by private interests and while (best case scenario) the economy will do better, people will suffer even more.
The Argentinian economy will not do better, only the wealth of the neocolonial compradors will, and the wealth of their Global North capitalist masters.
That's what I meant, it will do better "on paper".
Hard to call that worse than the mess they are in
ugh welcome to earth where the only way to have a healthy "economy" is for people to suffer. but we cant seem to just live in peace and help eachother out without monetary benefits. so people are forced to suffer because of greedy bastards.
LETS GO WE NAILED IT GUYS
Well, I guess we'll see. Currently I don't really see how privatizing everything and opening real estate market to foreign investors helps poor children but maybe it will. My guess is that when the private corporations take over everything they will squeeze even more money out of the poor but maybe the wealth will somehow trickle down. It's definitely an interesting experiment. My other guess is that if this fails all the libertarians will say that it's because he implemented all the policies they like so much wrong. If he succeeds I'm definitely voting for the right wing nutjobs in the next elections.
Yeah, because Friedman's free market shock doctrine shit just isn't working.
Free market regulating itself is the next bullshit argument
They privatized many of the highways and you have to pass through toll booths every so often as ownership changes. These people provide no service, there are just taking the money. Same with much of the transit—many buses and trains are privately (mafia) owned.