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I am generally skeptical when it comes to politicians, and Javier mMlei is no exception. The dollarization of his economy makes me sceptical, as does joining the Ukraine agreement. But if you look at inflation and the reduction in government spending, you have to give unreserved praise.
148 sats \ 1 reply \ @Akg10s33 14 Jun
I would like to say that in Argentina it will take some time to adapt to the new model that Milei wants to impose but I am totally sure that they will emerge from the pit of socialism... and in a few years not too distant they will emerge as a nation... Honestly, I personally would like something like this to happen in my native country, Venezuela, and for it to once again be a free country with the potential to move forward into the future.
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This would be nice. A. is on my list to move to when it's getting too hot in the EU
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"Magical Millei". These are the words I listened last night on television while watching a report about Argentina.
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Scoreboard
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It's a positive sign, but the annual figures are still alarmingly high – possibly the highest in the world.
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A compounding desaster
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Kinda obvious, really, as the annual figures look at a 12 month window. Milei has not even been in office for a year, so the annual figure still suffers from the idiocy of his predecessors.
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Indeed, only time will tell if Miley's policies will be successful. I certainly hope so.
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61 sats \ 2 replies \ @OT 14 Jun
This is what I also saw in a mainstream media article today. Inflation at around 300%. Why are they so different from the OP’s data? Is it USD in Argentina or the Peso?
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monthly and annual inflation
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Annualized or compounded?
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Analysts at Credicorp Capital commented: “We have revised downward our inflation estimate for December 2024 to 170.7% from 195.7%.
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This is a strong step in the right direction. Is this month over month or year over year?
Has he cut most of the government programs by now? I know he definitely set out for this, so it probably is contributing to the reduced inflation rate.
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I'm also very sceptical of politicians. In becoming more sceptical of these inflation data coming out from Argentina.
The overvalued 'super peso' can't keep shining forever. A sudden devaluation of super peso will threaten growth once exporters decide they cannot make money by selling abroad.
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Crazy, it's almost as if governments are directly responsible for inflation, that austerity measures can affect it so much, the statist and socialist mind must be borking, wonder what cope they're throwing out round those parts
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61 sats \ 0 replies \ @wispy 14 Jun
Well, don't praise much yet. First, that 25% comes after him winning the elections (as the spike in august for the primary). I don't blame him, but that were two exogenous spikes (I mean exogenous from the policies impacts). AND he's delaying things with an expected impact on the inflation numbers, namely ending subsidies for energy and transport, paying due debts, and a few more.
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It's important to note that Milei himself explicitly and relentlessly emphasizes to people to never believe nor trust a bureaucrat at anything, and that he is not here to "make the state work right" but to dismantle it for, he insists, "the state can not but to be a burden to people".
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A step in the right direction.
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I was watching a video about this recently, and although I doubted Javier Milei a lot at first, it seems that he is doing things quite well, we will see how all this continues.
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Why did you doubt him?
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It would be interesting to know first hand from random argentinians how it looks like and if they have noticed any changes. I have met a few travelers and not very happy with current situation.
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Expenditure dilution allowed the government to move from deficit to surplus in the non-financial public sector and reduce the overall deficit (fiscal and quasi-fiscal) to less than half. In addition, the fiscal improvement contributed to a significant reduction in monetary financing, well below inflation.
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I was skeptical too. You're right. It's really indicative of the climate in the US that the only thing that gets coverage are the protests.
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and once again the mass media only skillfully staged individual small protests. the vast majority of people are quite happy with the policy
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Most politicians don’t understand economics and the connection between government spending and inflation.
Javier is an economist first and politician second. During his campaign his speeches were pseudo lectures about capitalism and freedom. He would cite Friedman and Hayek. He would also explain why men like Gramsci are dangerous. Javier understands the enemy.
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Javier Milei proposed a plan to reduce Argentina's inflation rate by 95% within a year. His plan includes:
  1. Pegging the peso to the US dollar.
  2. Eliminating the central bank's ability to print money.
  3. Ending subsidies and government spending.
  4. Privatizing state-owned enterprises.
  5. Reducing taxes.
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