Argentine own goal

[allegra]

I concur with the comments made by bigbadwolf.

 

[RWS]

So (as a former historian, with Argentine friends and relatives) do I.

 

[jp]

Andther +1

Nicely put Mr Wolf.

 

[Rad]

The US government is considering a pension grab too - basically stealing the assets from 401(k) plans and switching them for government bonds. USA is on it's way to become a banana republic. Will The US Government Nationalize Private Retirement Plans?

 

[criswkh]

Yes, Argentina will be affected by the crisis, but not to the degree as all the other countries that rely mostly on loans, credit card debit, and other forms of "easy" money. Argentina doesn't have much bankruptcies for companies or individuals. Somehow the people of Argentina will survive when another fall occurs. Most people are more prepared now. I don't see that happening in the US. The US people get freak out when gas runs out or limit supply of food. http://news.ktar.com/?nid=45&sid=863118
http://www.cnn.com/2008/US/04/24/rice.prices.ap/index.html

 

[perry]

Very well said Chriswkh. The chance for severe social unrest is much higher in the USA than Argentina when we reach the end of this

 

[soulskier]

Yes, its not a bad place to watch the world end, as Chatwin opined.

Thats our philosophy!

 

[Smartypants]

I'm wondering what the peso will do now that the dollar has started it's slide down. Everyone can get dollar now, it's FREE!!!!

 

[citygirl]

Well, the dollar is up in most areas - its the pound & the euro that are taking the bigger hit right now.

And Pericles, while I am quite aware of the history of Argentina, I am talking about the current situation here. I believe a huge portion of Argentina's GDP is derived from export of commodities (esp soybeans, etc). That market has taken a huge hit. Again, where will they make up the revenue?

I am not forecasting an end-of-days scenario by any means. But I do think Argentina has a long history of short-term choices that benefited the few & screwed the masses. And I'm not seeing a lot that tells me the present is any different.

 

[Smartypants]

Well, the dollar is up in most areas - its the pound & the euro that are taking the bigger hit right now.

Check your last days graphs

And Pericles, while I am quite aware of the history of Argentina, I am talking about the current situation here. I believe a huge portion of Argentina's GDP is derived from export of commodities (esp soybeans, etc). That market has taken a huge hit. Again, where will they make up the revenue?

Argentina should do more direct bartering and direct barter tax. Switch soya for stuff that Argentina don't produce themself. No credit involved....

And stop creating money as debt, but that's a long shot.

I am not forecasting an end-of-days scenario by any means. But I do think Argentina has a long history of short-term choices that benefited the few & screwed the masses. And I'm not seeing a lot that tells me the present is any different.

the "benefit the few & screw the masses" are true for the whole world, just a bit more common here I guess. Western world are about to be hit pretty hard by financial reality, not experienced by a long time. Will see how it goes