Argentina May Issue Bond to Pay $16 Billion Award in YPF Lawsuit

[MilHojas]

Argentina May Issue Bond to Pay $16 Billion Award in YPF Lawsuit

Argentina’s President Javier Milei is considering issuing a perpetual bond to pay a $16 billion lawsuit award to Burford Capital stemming from the nationalization of state-run energy company YPF.

www.bloomberg.com

And a new tax for Argentines will be introduced. Guess how this tax will be called. "Milei tax"? - Nope, "Kicillof Tax".

Archived version

 

[sts7049]

petty, but kinda funny

 

[FrankPintor]

Well, if we can agree to call the expected 30% plus monthly inflation “Milei inflation “, I guess it would be fair.

 

[sts7049]

you can, if you want to keep lying to yourself about the cause

 

[FrankPintor]

you can, if you want to keep lying to yourself about the cause

Look who discovered the equivalent of the “ah but Macri” refrain for the next 4 years

I think “you break it, you own it” applies here.

 

[sts7049]

your argument sounds like something a toddler would say. I know you are but what am I!

 

[FrankPintor]

your argument sounds like something a toddler would say. I know you are but what am I!

Well, I’m not going to be drawn into the pig-wrestling contest you’re inviting me to, but you do seem rather naive. Tell me, how many incoming Argentinian governments in recent history have inherited a healthy, prospering country? I have news for you, it’s been scorched earth all the way and Milei’s administration isn’t encountering anything unexpected.

So of course he complains, bitches at length, declares “public emergencies” (whatever they are, other than maybe a whinge fest too far). But hey, he wanted the job! And if all he can deliver is 30% Milei inflation per month and misery for the middle class, he’s failed. And all you have is “ah, but the poor guy inherited a country in crisis” Do grow up.

 

[Reply Guy]

And if all he can deliver is 30% Milei inflation per month and misery for the middle class, he’s failed. And all you have is “ah, but the poor guy inherited a country in crisis” Do grow up.

True, but we need to wait a bit to see if his policies can unwind the inflation. Policy, interest rate, and money supply changes don't have an instant effect. There are always lags in any economic action.

If 2 years from now inflation is worse than when he took office, we can say Milei was an enormous failure.

Declaring 30% per month inflation the fault of a president who came into power 2 weeks is disingenuous.

 

[redlobster]

If 2 years from now inflation is worse than when he took office, we can say Milei was an enormous failure.

If there is zero inflation, but you cannot afford to buy anything, would that be considered a resounding success?

Many people here live paycheck to paycheck and barely make ends meet. With the recent surge in prices, they are likely to run out of money by the middle of the month, or perhaps by the 20th. And when their children literally start crying from hunger, the rules of the game will change. At that point, inflation will no longer look like the biggest problem.

 

[Reply Guy]

If there is zero inflation, but you cannot afford to buy anything, would that be considered a resounding success?

Many people here live paycheck to paycheck and barely make ends meet. With the recent surge in prices, they are likely to run out of money by the middle of the month, or perhaps by the 20th. And when their children literally start crying from hunger, the rules of the game will change. At that point, inflation will no longer look like the biggest problem.

Yes of course you need to take in the whole economic picture.

My point is that you need to give time for economic policies to play out. The lag effect is one of the basic tenets of economics.