Argentina Tries to Tax and Spend Its Way Out of an Economic Crisis

You can’t tax what’s not producing forever.
The crops and heavy industry alone are not enough to provide for all expenditure needs, nor is betting on a sudden surge in external commodity prices a “strategy”.
As long as private sector accounts are suffocating then government accounts will be too.
As long as the government turns its back on being part of the world, the world will progress further away only making it more expensive to catch up.
As long as the government insists on interfering in the minutae of doing business, investors will put their money into other economies with clear playing rules.
As long as the government gives its people monopoly money to spend, each time they can only buy less and generate less tax revenue.

None of these things need to sacrifice a social safety net and care for the vulnerable people of society to be able to resolve, but they do require the political class to make a compromise at the expense of state opulence and ego.
 
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Some Argentine ranchers are trading rich land in Argentina for poorer land in Uruguay. With the insane local tax system , and the more rational Uruguay laws, they come ahead financially.
 
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