Posted on 06/15/2024 5:23:06 AM PDT by MtnClimber
Javier Milei is on tour. Following trips to Spain, Israel, and Davos, the Argentine president most recently traveled to Silicon Valley, where he spoke with tech giants, including Apple’s Tim Cook, Meta’s Mark Zuckerberg, and Google’s Sundar Pichai. It’s rare these days to see a politician on the right take photos with so many luminaries in the notoriously progressive Bay Area. To Milei, it signifies that “the world is waking up to [economic] freedom” as a means to create broad-based opportunity and sustainably lift the poor out of poverty.
While in California, Milei delivered a highly technical lecture on his new book, Capitalism, Socialism, and the Neoclassical Trap: From Economic Theory To Political Action, at Stanford. He covered the history of economic thought, criticizing John Maynard Keynes while lauding names like Adam Smith, Friedrich Hayek, Milton Friedman, Ronald Coase, and Murray Rothbard—and even some lesser-known economists like Frank Ramsey, Knut Wicksell, and Angus Maddison. The self-described libertarian leader was broadly critical of economic models, which can veer far from reality, and of academic economists for using market failures to justify excessive government intervention.
Back in Argentina, Milei still has a significant battle ahead. He will be judged on his ability to roll back decades of Peronist policies and improve economic performance in the historically inflation-ridden country.
He has already racked up several economic-policy victories. Argentina’s year-over-year inflation rate has fallen to single digits, as of May 2024, thanks to Milei’s “shock therapy” policies of currency devaluations and energy and transportation cuts. Since Milei’s election, the country’s equity markets have rallied significantly, and its dollar-denominated international bonds have reached new highs in response to planned austerity measures. Argentina has made such significant fiscal progress that the IMF has unlocked additional funding as part of its conditional lending deal with the country. Last week, Milei’s most significant legislative reform package to date, including substantial deregulatory and fiscal-consolidation provisions, eked out general approval in Argentina’s Senate, but several pieces face uncertainty in the lower house.
Argentina was once one of the world’s wealthiest countries, but Juan Peron’s statist policies changed the country’s trajectory beginning in the 1940s. Intense regulation, industry takeovers, and destructive export controls—especially those on beef—tanked the country’s fortunes. Following decades of economic tumult, Argentina’s GDP per capita is now about $13,650.
It remains to be seen whether Milei and the legislature can roll back regulatory policies that have stifled whole areas of the Argentine economy. Milei has also yet to follow through on his campaign pledge to adopt the U.S. dollar as the country’s official currency, a move made less necessary by inflation’s downward trend.
Milei also faces political opposition determined to thwart his agenda. He must ask himself: What is the right speed to make economic reforms? His predecessor from 2015 to 2019, Mauricio Macri, failed in part because he was too slow and incrementalist to deliver meaningful change. Milei has taken a different approach—rapid shock therapy well in advance of another election. Reducing government expenditures and deregulating much of the statist economy will undoubtedly come at a high political cost in the short run. Unions in Argentina are already striking against Milei’s economic policies, with the effect of shutting down some public transportation services. Some students are protesting education cuts. But the political cost is one that Milei can bear for the time being.
Milei has made meaningful progress toward his goal of liberalizing the Argentine economy to enable human flourishing and alleviate poverty. Time will tell whether his success continues—and leads other countries to adopt his bold and innovative platform.
We need this in the USA so badly.
I had a roommate in college, a refugee from Argentina who married an American girl for a green card or something and he INSISTED Juan Peron was a RIGHT-WING fascist leader of a military JUNTA, yadda yadda.
Sounded like gobbledegook to me then as well as now, but I was premed, did all my poly-sci while earning an AA at Monterey Peninsula college a decade earlier while stationed at Ft. Ord in the 70’s, supported Prop 10, other reasonable government-restricting legislation, voted for Reagan, etc., but never considered myself a republican and absolutely despised Jimmy Carter..
So I’ve read about his takeover (Peron’s, not Carter’s), command/control economy, “the disappearing” of political enemies, social indoctrination/propaganda, etc., over the decades and if anything, Peron was a CLASSIC leftist/socialist.
Am I wrong?
I also think Peron was a leftist, statist.
When a populist gets elected or seizes power, there is a never ending chain of economically destructive policies on programs to patronize their base. Their base never truly prospers, remains poor and dependent . The country withers as capital is squandered on non productive projects. Yet this political formula has resulted in populist/celebrities and their ilk keeping power for prolonged periods. Currently the US is suffering this phenomena.
According to Nancy Pelos and Hillary and the ‘ladies’ on The View and the left-wing media, Trump’s supporters (aka: republicans/conservative) comprise a cult.
But, the cult’s preferred economic system is capitalism/free-market. No other economic system works to lift everyone out of poverty and create wealth like capitalism. The Trump cult is what the world needs. The cult’s economic system is what the left has been trying to destroy with their progressive economic system of socialism/communism, though they pretend to be capitalists i their rhetoric. Democrats need to join ‘the cult’ and forget their idiotic politics.
Interesting. Thanks for posting.
Milei is providing the blueprint Trump needs to follow.
Jill Biden reminds me a little of Evita.
Best thing that’s EVER happened to Argentina!
Keep it up!
I don’t like the term “Populist”. The prior era of that movement was agrarian leftist.
Argentina is not playing the game of dictators. I actually think Milei is on the right track.
Done correctly they should improve.
The term “Populist” is used like the word “Fascist”, basically it’s used to describe any politician somebody doesn’t like.
And the media in the USA produced:
“Don’t Cry for me Argentina”
Double Bag Barf.
Absolutely Correct.
The left is always redefining the meaning of words to gain a political advantage.
Makes no difference what they call themselves, THEY ARE LYING!
Evidence of Influence
Public Statements and Actions:
Milei has publicly expressed admiration for Ayn Rand and her works. He has cited Rand's ideas in his speeches, particularly her views on individualism and the role of entrepreneurs versus state actors.
At the World Economic Forum, Milei's rhetoric echoed Rand's disdain for collectivism and government intervention, aligning with her philosophy of free markets and individualism.
Participation in Ayn Rand Events:
Milei participated in AynRandCon in Buenos Aires, where he discussed his views and their alignment with Rand's philosophy. This event highlighted both agreements and disagreements between Milei's positions and Rand's ideas
Public Perception and Media:
Media outlets and analysts have noted the influence of Rand on Milei. For instance, the Ayn Rand Institute and other commentators have discussed how Rand's ideas have shaped Milei's political and economic views.
And Hillary wanted that designation so badly she destroyed a family, a party and a country - more than one actually.
I am reading an interesting book written by General George Kenny, "General Kenny Reports". It is amazingly fast paced and written in first person for the most part. Something like 800 pages and I managed only 129 yesterday evening. It has been used as a text for War College. The fineness of detail is astounding but engaging. Kenny was commander of allied air forces and Fifth Air Force in the SW Pacific in WWII of course. He worked for MacArthur but had an impressive freedom and span of control for being under the hand of such a martinet.
What Kenny found when he took command of a failed outfit was what I have said about organizations with too many people, too much non-productive overhead. He even found the mess of a version of DEI. Provide someone a position and he will make a job out of it. Without direction, boundaries and need he will build an empire of trouble. That is what Kenny found when he arrived in Brisbane, Australia in September 1942. That is what we have now. He also found a morass of regulation, paper work and pencil pushers. He dismantled it all. Quickly! He also dismantled the ridiculous version of DEI he found. Command and control are a wonderful thing! Too bad only a few are able to use it effectively when necessary and then go away.
It will be significant if Milei succeeds in undoing the damage caused by leftists if he can do it nonviolently. Many, some here on the FR, think it can only be accomplished by force. I sincerely hope he succeeds.
That’s only true for leftwing populists such as Maduro and Hugo Chavez.
There was violence recently if you didn’t know.
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