Economic realities post-coronavirus

perry

Registered
Not to worry. Alberto has everything under control--! He can print as much as he wants for social programs .. ! Also already told the FMI that Argentina can't pay a sou in the next five years. Kicking the Ball to the next President. If he's reelected?

What to worry about is the potential social unrest, hyperinflation and shortage of supplies...! A sort of Germany of the 30's .
They said prices would be controlled and speculators jailed...LOL Alcohol in gel quadrupled . 2 Pharmacies closed . Speculators all over the country.
Not enough jails for all the unscrupulous merchants..

The energy of Montevideo always drags me down and this is the reason for the high suicide rate . I find Argentinian cities quiet joyous before the quarantine of course . I love Mendoza, Bariloche , Rosario , Salta and Parana .

Regarding Argentinas future it will be grim with noone working for months , no exports , no tourism , This will be worse than 2001 unfortunately and we need to assist our friends in need to overcome this period. . I am not in accordance of a long quarantine and believe that there are much better ways of handling this . Older people could have been quarantined quite easily and the rest of the society allowed to live their lives .
 

ventanilla

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How about they don't sell out their country to either? They employ the same tactics as the IMF. Make a loan you know the country can't pay back and then extract your pound of flesh.

You can be sure that Argentina will default on the Chinese loan they get and then their ports will be under Chinese control for the next 99 years. Look at what happened in Sri Lanka.
The difference is that Chinese loans don't come with additional conditions like IMF loans. China just wants to be paid back, but the IMF tries to force you to change your local laws like minimum wages etc.
 

Weyland

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The difference is that Chinese loans don't come with additional conditions like IMF loans. China just wants to be paid back, but the IMF tries to force you to change your local laws like minimum wages etc.
When governments or government organizations loan money they don't do it to collect interest payments. It is for political influence.

The IMF conditions their loans so that the debtor country adopts more business friendly policies so that their member country corporations increase their profits.

The Chinese government doesn't just want to be paid back as you say. They're far more sophisticated than that. China wishes to expand their control over global infrastructure from 5g networks via Huawei, ports, shipping lanes, highways, etc.

Their loans accomplish 3 goals. Export excess industrial capacity, increase political influence abroad and in some cases seize strategic infrastructure without firing a shot. China has taken control of an important port in Sri Lanka, Kenya, will soon control other infrastructure from defaulted loans in Africa.

That's why I stated above that taking money from the IMF or China comes with pitfalls.
 

semigoodlookin

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The difference is that Chinese loans don't come with additional conditions like IMF loans. China just wants to be paid back, but the IMF tries to force you to change your local laws like minimum wages etc.
Do you really believe China just wants to be paid back with no "additional conditions"? I don't think any country would offer such financial help to another without expecting something more than money in return.
 

jeff1234

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Do you really believe China just wants to be paid back with no "additional conditions"? I don't think any country would offer such financial help to another without expecting something more than money in return.
Especially when they make generous loans to countries that will have difficulty making scheduled payments. The payment schedule can be adjusted in return for a small military base here or other consideration.
 

ventanilla

Registered
Do you really believe China just wants to be paid back with no "additional conditions"? I don't think any country would offer such financial help to another without expecting something more than money in return.
Name one 'additional condition' included in the loan agreements then. Their conditions are if the loan is not repaid, not to even receive the loan in the frist place. Defending the IMF while living in Argentina should be illegal, especially as a foreigner.
 

ventanilla

Registered
You mean like the secret chinese base in Neuquen?




Sure that was a courtesy present by our government. Also sure the US appreciated it very much.

Iz
No one here says anything about US bases, of which there are hundreds, used to literally invade and subvert democracy.
 
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