Don Williams on the situation in Argentina

Don Williams said...

Ferfal, some info:

1) This source indicates that Argentina has one of the most inequitable distributions
of income in the world --although the USA is not all that great either:

http://en.wikipedia.org/wiki/File:Gini_Coefficient_World_Human_Development_Report_2007-2008.png

http://en.wikipedia.org/wiki/Gini_coefficient#Correlation_with_per-capita_GDP

(Data is from UN statistic report)

2) This Report by the UK's Economic Intelligence Unit lists Argentina as one of the countries most prone to social unrest due to worsening economic conditions:

http://a330.g.akamai.net/7/330/25828/20090318195802/graphics.eiu.com/specialReport/manning_the_barricades.pdf

3) This report indicates that Argentina will see significantly worse conditions in the Third quarter of 2009--
and says that is why Kircher is trying to move the elections up to June from October.

http://www.rgemonitor.com/latam-monitor/256076/is_multiple_equilibria_possible_in_argentina

a) While the report is critical of past Kirchner policies, note that the US Government's bailout
of the our banks is leading to it borrowing heavily --and hence pulling capital away from other
countries.
b) Also, prices for export commodities are falling worldwide because of the bad global economy.

4) Here in the USA, tent cities have sprung up in some of the hard-hit areas like California:

http://www.bloomberg.com/apps/news?pid=20601087&sid=aKqkjyYkFN8w&refer=worldwide

Thanks Don for ruining my day. :)

Just kidding. Yes, the situation here is bad, the volatile social situation can be seen on the streets and it's been growing for a couple years now.

We never did get over the 2001, in spite of the BS INDEC and IMF reports.

Thanks for the links.

FerFAL