Interesting being in Buenos Aires today. It’s 10 years to the day that the government here announced some moves related to currency controls and taxation, including the corralito, which prevented people from taking their money out of bank accounts. Some of those policies and moves helped create the fiscal crisis of 2002 (it really started December 2001). Now, 10 years later, with Europe and the US melting down, Kirchner has made new tax- and currency-control announcements, and business in Argentina has ground to a halt for anyone with pesos. The spread between black market and white market currency is now approximately 8% (4.33 to 4.66). Luckily, it is still beautiful here in the Paris of South America, and the Malbec and steak is as good as ever (and at even lower prices due to government stupidity).
It was 10 years ago today… don’t cry for me, Argentina
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