Is President Kirchner Improving The Lives Of Argentinos?

[Dublin2BuenosAires]

Well, there are still 100 pesos bill instead of 1.000.000 pesos bill like it happend when i was a child.
With the background of the international economy crisis, the inflacion we have is a bliss.

This is the perfect anecdote to explain argentina. It used to be terrible economically, now it's just bad so we should be happy.

I think it's naive in a Lat Am context to suggest Argentina could suddenly become Canada or Aus, it ignores the inequality issues in the region. We all know those well worn phrases about Argentina's fleeting pre-depression status as an economic powerhouse are overstated and irrelevant in the 21st century. However, if this is the sum total of the will to changer for the better and manage a proper economy then we are not in good shape!

Ambition is critical eh?

 

[Dipoots]

Inflation is probably the biggest problem in this country right now. It's frustrating for me, and I know it's frustrating for you all.

Nonetheless, if everyone sells pesos and buys dollars, the peso will, by that very action, become absolutely worthless.

If some "economist" says that inflation is going to be 25 percent this year, and large newspapers like La Nación and Clarín say that inflation will be 25 percent, what will happen? Everyone, from property owners, to small shops, to big corporations will raise their prices by 25 percent--regardless if such predictions are based on sound economic analysis or not.
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Most economists say that the problem is printing money. In Argentina, money printing is a symptom of the problem, not the cause. If the
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But what happens if there isn't a fire at all? Most of these problems are, unfortunately, self-inflicted and a part of a vicious, vicious cycle that's hard stop.

Inflation here is symptom of the problem as well, not the root cause. I tell many external pple that Argentina has a lot of gifts but lacks the most important of all, confidence.

 

[Dipoots]

You know why the stupid politicians here need 1 millon to create a job, simple 994.000 for the corrupt pocket 6000 to pay the new employ

I thought a new joke...

Q: how many politicians does it take to create 1 job

A: Depends.

In Switzerland, Zero
In USA, just give a number
In Argentina, hmm .....the Indec is the official agency for inflation report.... it meticulously collects data from all aspect of businesses.... say 10.2 percent or so...pare pare. I want to go.

 

[Matiasba]

I strongly prefer growth with inflation (as I said before, and as the history shows, this country cannot grow without inflation) than the deflation-recession we had in 98-2002. If you think about it, inflation also means money in the streets, money in peoples hands, which is why prices go up. Is a demand inflation. The whole idea this government has is precissely that: money to the argentines, expand the internal market, incorporate poor people to the economy, thats why the enormous mass of subsidios, the HUGE increase of the jubilaciones, in quantity and in quality, thats why the asignacion universal por hijo, which explains almost 2 points of the growth per year, or every social plan, give to the lowest stratus, traditionally excluded, money so that the economy can be bigger every year. The most time this country grew was when we didnt have almost poverty, from 1965 to 1975, 10 years, and not by accident stopped in 1976 with the dictatorship. The more the country grows, the more that it costs to continue growing. Now we re again in the limit, 10 years, and in a context of world economic crisis, we went down from 8% to 2% last year, and we ll probably stay in that numbers. But still growing.

 

[Napoleon]

I strongly prefer growth with inflation (as I said before, and as the history shows, this country cannot grow without inflation) than the deflation-recession we had in 98-2002. If you think about it, inflation also means money in the streets, money in peoples hands, which is why prices go up. Is a demand inflation. The whole idea this government has is precissely that: money to the argentines, expand the internal market, incorporate poor people to the economy, thats why the enormous mass of subsidios, the HUGE increase of the jubilaciones, in quantity and in quality, thats why the asignacion universal por hijo, which explains almost 2 points of the growth per year, or every social plan, give to the lowest stratus, traditionally excluded, money so that the economy can be bigger every year. The most time this country grew was when we didnt have almost poverty, from 1965 to 1975, 10 years, and not by accident stopped in 1976 with the dictatorship. The more the country grows, the more that it costs to continue growing. Now we re again in the limit, 10 years, and in a context of world economic crisis, we went down from 8% to 2% last year, and we ll probably stay in that numbers. But still growing.

Mercopress doesn't seem to agree with you Matias: http://en.mercopress.com/2013/04/25/official-poverty-in-argentina-2.5-million-people-private-estimate-11-million

 

[sesamosinsal]

Inflation here is symptom of the problem as well, not the root cause. I tell many external pple that Argentina has a lot of gifts but lacks the most important of all, confidence.

Nicely said. I think this can be said for all levels of Argentina. How many people/entities do you really trust? For me, the number is vastly different here than it is back home.

 

[Bajo_cero2]

Inflation here is symptom of the problem as well, not the root cause. I tell many external pple that Argentina has a lot of gifts but lacks the most important of all, confidence.

Yes and no. The problem is the huge tax evasion. You don t collect enough taxes, you have to print.
Check out that the nain comnplains of people is about that they cannot evade taxes freely nowadays. So, the K might have many issues, but they have clear what are the problems and how to fix them.

 

[Bajo_cero2]

This is the perfect anecdote to explain argentina. It used to be terrible economically, now it's just bad so we should be happy.

I think it's naive in a Lat Am context to suggest Argentina could suddenly become Canada or Aus, it ignores the inequality issues in the region. We all know those well worn phrases about Argentina's fleeting pre-depression status as an economic powerhouse are overstated and irrelevant in the 21st century. However, if this is the sum total of the will to changer for the better and manage a proper economy then we are not in good shape!

Ambition is critical eh?

Pecfection is enemy of possible.
Remember that Tekila or Vodka crisis had nothing to do with Argentina but they created a huge crisis here where the chain of payments were lost. My family lost our clothes factory after that. Now you have a huge crisis worldwide and we have average inflacion (in arg) of between 20 up to 30%.

We have billets of 100 pesos, not 1.000.000 pesos like who achieve to have with real hiper inflación (p to 900%).

 

[trennod]

Yes and no. The problem is the huge tax evasion. You don t collect enough taxes, you have to print.
Check out that the nain comnplains of people is about that they cannot evade taxes freely nowadays. So, the K might have many issues, but they have clear what are the problems and how to fix them.

Tax evasion happens all over the world. The is a highly taxed country (IVA 21% for eg), which probably makes up for a big part of the tax evasion.

Another problem of "fiscal leakage" which you may be skipping across is that of corruption. This government is one of the most corrupt in Argentinas history (and thats saying something). The President has gone from $2m to $70m in 8 years. Imagine how much the rest of the crew Baez Fariña etc have taken as well. Would have to be atleast another $100m. And thats only the tip of the iceberg. You multiply that a few times by a few federal politicians and you start to accumulate quite a piggy bank which could be used on improving the lives of Argentines.

The crisis worldwide is overplayed down here, things have slowed a little but the economically/politically sound states are still going fine. Those resource based economies are generally still doing pretty well, as should Argentina.

 

[nativexpat]

Hmm let me think:

Less violent thefts? No.
Less people sleeping in the streets? No.
Less children working in the subte? No.
More police doing their job? No.
Population living in harmony? No.
Better public education? No.
People hopeful about the future? No.
Easier to do business and travel abroad? No.

Me quiero ir.....