0 sats \ 7 replies \ @TomK OP 12 Oct \ parent \ on: Hans-Hermann Hoppe on Javier Milei Politics_And_Law
Thank you for your detailed reply, it's very stressful for me at the moment. But the points that Hoppe made can still be substantiated by the facts. Using the example of the central bank, we can see that we are in a fluid process. You're right that you can't close such an institution immediately without crashing the banking system. But he doesn't give any prospective guidance on how to proceed. Instead, he is dollarizing Argentina, becoming the new dumping ground for more US government bonds, transporting the state gold to England, whatever that is supposed to bring, he is participating in the proxy wars in Ukraine and Israel and, for me as a libertarian, he is doing exactly what he should not be doing: he is participating in kinetic aggression. But we can continue the dialog in the future to see what else is good.
can still be substantiated by the facts
Careful on this because he made a lot of distorted or even false statements, as I pointed out.
he doesn't give any prospective guidance on how to proceed
What makes you say that? He did, profoundly, that's why the ones that support him still support him, because he is proceeding as he explained he was going to, step by step.
he is dollarizing Argentina
That's part of the plan to two objectives:
- first, being able to end the central bank for good, because that can't be done yet as long as all of your obligations are in pesos, that's the currency debt was emitted with (that's why Hoppe arguments on that aspect are profoundly ignorant: ending the central bank before cancelling all debts would default the country and cause crushing crisis).
- once you have cancelled all debts, which are all in dollars, dollarization can put the last nail in the coffin of the central bank and lead to the second phase Milei explicitly pointed to: a free currency system.
So the dollar is the currency that allows for that transition for many obvious reasons: Argentines are big tenants of dollars for it was always seen as a refuge from inflation respect to the peso, all of our debts are in dollars, all obligations past and future are in dollars, international salaries are in dollars, even the chinese offer and charge in dollars, so it's a pretty straight forward option to transition to a free currency system, where any currency can compete for being the most used, be it the dollar or bitcoin.
transporting the state gold to England
As I said, we have debt obligations and a long track-record of dishonouring them. The transportation of some of the gold (not "all" of the gold) was made to give more assurance to debt creditors that intentions to pay back are serious. Plus the gold can be leased for other financial operations in exchange of fees, and that money helps a lot. It has be done in the past many times, even during the previous government, and the gold always returns.
he is participating in the proxy wars in Ukraine and Israel
"Participating" in what way? He has show support, for sure. But no participation other than humanitarian help where needed.
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This is an excellent review debunking all of Hoppe fallacies, hopefully automatic subtitles are good enough:
I hasn't, but there's a chance ammo can be triangulated to Ukraine regardless. Argentina manufactures and sells 155mm ammo, and nothing prevents it from reaching the Ukrainian front regardless to who you sell it, in the same way Russia violates bans to get the all precious west goods it so much despises on camera.