Argentina: Repeating history

Just this week, Argentina secured the largest loan in the history of the International Monetary Fund. The executive board of the IMF approved a loan of $ 56 billion to help stabilize the country’s currency and economy.

Argentina had already received $ 15 billion earlier this year, but it was not enough, as markets had lost all confidence in its leadership, forcing it to request additional funds.

The great South American Nation, bankrupted in 2001 thanks to the same failed economic policies of the IMF, is now attempting to repeat its history.

Its political leadership, headed by Mr. Mauricio Macri, is stubbornly convinced that by taking record debt, Argentina will be able to make its problems disappear. Mr. Macri, who took office when the country was in much better shape, is yet to produce a single prosperous economic policy.

Mr. Macri and Ms. Vidal promised a revolution of joy and happiness, while implementing some of the most disastrous economic policies the continent has ever seen.

Policies like the price increase of public services by over 900%, including water, electricity, heating, gas and transportation. All while cutting taxes for the rich, committing money laundering crimes, attacking the electorate and hiding behind Argentina's most popular sport.

The problems facing the South American nation are the same it faced back in 2001, right before its economic crash. These problems include an unhealthy addiction to debt, inequitable distribution of wealth, the constant erosion of social rights, all while undermining senior citizens, retirees, public educators, the needy, poor, disabled and the working class.

Long forgotten are the promises of zero poverty, economic growth, prosperity, happiness and joy.

This month, Argentina passed a budget with huge austerity measures and enormous cuts to education, healthcare and social programs. The congressional bill expects Argentina's economy to shrink by 0.5% in 2019, which would be an improvement compared to this year, as the contraction for 2018 is expected to be 2.5%.

Institutional violence

During the budgetary discussions this month, massive riots erupted in Buenos Aires. Once again, the police used violence to keep people from demonstrating in the streets.

Just like in 2001, the current administration does not hesitate to suppress public opinion through the use of violence.

Some powerful scenes erupted this week in the media, as it became clear that the 2019 budget would implement austerity measures that would reduce funding to public education, healthcare and social pensions.

Ever since taking office in 2015, Mr. Macri has done nothing but cut taxes for the rich, while reducing funding for the working class and poor.

Pathetic results

During 2018, the results of Mr. Macri's policies have created rampant inflation. According to the International Monetary Fund, Argentina ranks 5th when it comes to high inflation, right between Yemen and Iran. But as the year isn't over yet, it is very likely it will beat Yemen and come in 4th, right behind Sudan.

Back in 2015, Mr. Macri himself had suggested that high inflation was proof of poor government. Now he's been forced to eat his own words, as he has generated double digit inflation for 3 years in a row, with inflation during 2018 expected to hit 50%.

Somber outlook

Argentina’s economic history is expected to repeat itself. Three years of economic decay and failed policies will likely be enough to convince Argentina's electorate that Mr. Macri is leading them in the wrong direction.

Argentina’s economy will continue suffering next year, making Mr. Macri’s administration the worst in the country’s recent history.

For the fourth year in a row, Mr. Macri will continue doing the same thing over and over, expecting different results. This behavior is the very definition of insanity.

Mr. Mauricio Macri, just like Mr. Francesco Schettino, has demonstrated to be a disastrous captain.

But not all is lost for Argentina. Next year will be the end of Mr. Macri's disastrous administration. Hopefully Argentina can pick a better option for its leadership.

I'm hoping it will be a truly beautiful one.

Blog site: https://chuckmccarthy.wordpress.com/

About the Country:

Argentina has without doubt some of the most amazing landscapes in the world, from the glaciers in Patagonia to the falls in Iguazu, from the height of the Andes to the Atlantic coast, there is something amazing for everyone to see. It is a country with all climates, impressive wildlife and breathtaking sceneries. When it comes to wines, it is world-class. And did I mention the beef ? Incredible. People are extremely friendly, they love to talk and are generally wearing a smile. They are highly educated, extremely opinionated, and everyone has the courage to speak English to help you with anything. It is like taking a trip to Spain and Italy at the same time, but with a Latin American warmth you will find nowhere else. Ultimately, it is a country condemned to success, yet that success is on vacations abroad. If you have the chance to go there, do it.

About the Author:

An academic in his late 60's, who has dedicated most of his life to education. A historian that knows that history repeats itself, and each time it does, the price goes up. A romantic with a soft heart, but an unwavering voice. An American man in love with a beautiful Argentinian woman.

A traveler, who has seen the world and been to Argentina on at least a dozen occasions, in his search for a new home. A professional recruiter, who is able to find the perfect person for that crucial job. A friendly neighbor, who is always willing to help. A God-fearing man, who respects all religions as much as his own. A pacifist, who prays for peace, but knows that some things are worth fighting for.

A Professor of Law, who is not shy to have a heated debate, under the common rules of respect and within the boundaries of truth. An analyst, whose opinions are based on facts. An experienced man, ?who wishes to leave a better world than the one he found.

A person who welcomes your opinion, even if different from his own.

Link to previous articles:

Argentina: Friendly handshakes

www.dhirubhai.net/pulse/argentina-friendly-handshakes-charles-mccarthy/

Argentina: Lost identity

www.dhirubhai.net/pulse/argentina-lost-identity-charles-mccarthy/

Argentina: Sold-out Politicians

www.dhirubhai.net/pulse/argentina-sold-out-politicians-charles-mccarthy/

Argentina: Game Over

www.dhirubhai.net/pulse/argentina-game-over-charles-mccarthy/

Argentina: heading back to the bottom

www.dhirubhai.net/pulse/argentina-heading-back-bottom-charles-mccarthy/

Argentina: Play it again, Mau

www.dhirubhai.net/pulse/argentina-play-again-mau-charles-mccarthy/

Argentina: There you go again

www.dhirubhai.net/pulse/argentina-you-go-again-charles-mccarthy/

Argentinians Unite:

www.dhirubhai.net/pulse/argentinians-unite-charles-mccarthy/

Argentinian Beauty:

www.dhirubhai.net/pulse/argentinian-beauty-charles-mccarthy/

Argentinian Courage:

www.dhirubhai.net/pulse/argentinian-courage-charles-mccarthy/

?Argentina's mo$t horrible sport:

www.dhirubhai.net/pulse/argentinas-mot-horrible-sport-charles-mccarthy/

Argentina, don't make me cry for you:

www.dhirubhai.net/pulse/argentina-dont-make-me-cry-you-charles-mccarthy/

A huge loss for Argentina:

www.dhirubhai.net/pulse/huge-loss-argentina-charles-mccarthy/

The Pope vs. the President:

www.dhirubhai.net/pulse/pope-vs-president-charles-mccarthy/

How do you imagine Argentina in 5 years?:

www.dhirubhai.net/pulse/how-do-you-imagine-argentina-5-years-charles-mccarthy/

Difference between Canada and Argentina:

www.dhirubhai.net/pulse/differences-between-canada-argentina-charles-mccarthy/

Argentina to repeat 2016 results in 2017. Results may go unnoticed:

www.dhirubhai.net/pulse/argentina-repeat-2016-results-2017-meager-may-charles-mccarthy/