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53 sats \ 4 replies \ @SimpleStacker 30 Dec 2024 \ parent \ on: Argentina’s world-beating currency rally puts pressure on Javier Milei econ
Interesting. There is a lot of subtext here that I totally missed, not being from Argentina myself.
Am I right to say that your main area of disagreement with the article is that you think keeping the peso strong is not as risky as the article suggests and is actually an important policy for bringing down inflation?
All missed points are critical (so critical the situation is and hence the merit of the nuclear bomb deactivated by Milei's team), so my main area of disagreement is the entire area.
Talking specifically about the strengthening of the peso, it's not only not risky at all, but it's vital for the economic recovery and long-term growth. It's not even new, for having a strong currency has been historically a key element of economic recovery, such as in the case of the german miracle, and the japanese miracle. The fact this kind of media so blatantly manipulates such very well established and very well documented historical and current facts is orwellian.
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how can a strong currency be bad for a country that is trying to recover from years of hyper inflation?
The media doesn't understand inflation
If the peso was weak, they would criticize Milei for a weak currency
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The media doesn't understand inflation
They don't need to, they say what they are paid to say
If the peso was weak, they would criticize Milei for a weak currency
Exactly right, this is the modus operandi
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Inflation or hyper inflation means the currency is devalued or worthless
I don't see any downside for Argentina with a stronger peso
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