1y ago

Argentine austerity anger mounts, but govt says its working

www.france24.com

18 comments

Annual inflation has hit 254 percent and since Milei ripped away hefty transport and fuel subsidies the price of bus tickets has more than tripled.
"Now I know what it's like to walk," 42-year-old domestic worker Yanina Salto told AFP, who used to take four trips a day to get between jobs.
The cost of medicine has soared over 300 percent year-on-year.
While the government decreed a 30 percent salary increase by March, this is far less than the 85 percent demanded by labor unions -- and the walk-outs are mounting.
On Wednesday, train drivers downed tools, and on Thursday healthcare workers across the public and private sector went on strike, with only hospital emergency rooms expected to function.
Teachers have called a strike for the start of school next week, and the country's main CGT union is debating another general nationwide walkout.
Great success!
- That’s what happens when your previous government runs the economy into the ground. It was only ever going to get worse before it got better, over time it will equalize and stabilize just like it always does.
  
  Or, bear with me here, maybe going against the advice of every major school of economics in as many sectors as possible is a bad idea?
  
  It doesn't help that the current government also seems to be running the economy into the ground
  
  Previous government ran the economy on the ground out of a lack of capacity and bad decisions. This one is doing it as part of its's plan.
  Theres is a soaring debt exacerbated by the previous-previous government (2015-2019), whose ministers are again on the current government. They are continuing their plan while also preparing Milei's own plan to dollarize.
  Previous government was idiotic but managed the pandemics rather well. This government is evil, and only finance sector driven.
Milei's plan: there's no inflation if people don't have money.
Small catch: inflation is a lagging indicator, so after everyone starved to death, couple of quarters later inflation will go down. #success
- Small catch, people didn't have any money before Milei
Of COURSE it's working. When the desire is to cut spending regardless of outcome, the results are always certain.

18 comments