The Day – Inflation in Argentina suffers permanently


Regarding the Old Lyme letter regarding Argentina and inflation, I can say the following: I know the case well because I was born and raised in this country and lived there for many years. . Between 1880 and World War II, Argentina went through a period of unprecedented growth and prosperity and became one of the richest countries in the world. This has been accomplished by huge investments from abroad, free market capitalism, few regulations and a stable currency. The government did what it was supposed to do and stayed away most of the time.

During the war Argentina sold food to both conflagration camps in large quantities, then in 1946 came Peron, freely elected but soon becoming a fascist dictator. He decided to give people rights, much like BBB, and pay for it by printing money. Very quickly, inflation hit like a storm. While Peron was overthrown in 1955, all subsequent governments had similar semi-socialist platforms resulting in endless inflation. As a result, most rich people have their money invested overseas, college graduates leave as soon as they graduate, and private companies have fled. Argentina is today one of the poorest countries.

Bill schmidt



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