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Economic Reckoning Looms In Argentina's Election

Wall Street Journal Original article ›

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Argentine effort at Price Controls through price constraints, jawboning and controls using an Internal commerce Minister who works out price increases allowed for different products. The aim is to control inflation. The government wants to keep the peso where it is and not let it get stronger in relation to the dollar as agricultural exports are denominated in dollars and with the idea of keeping exports high to generalt a surplus and build Argentina's foreign reserves. Unemployment is down to 8% from 18% according to statistics cited here and Argentina is making a significant recovery. All this happening in the background of the Argentine election in which Mr. Kirchner's wife Christina is running against Mr. Kirchner's former Finance Minister Roberto Lavagna, and is expected to win handily because of the success of the Kirchner years in improving the economy. .


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