An alternative view of the argentine crisis: structural flaws and structural adjustmet policy

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Main Author: Jan Kregel
Format: Artículo científico
Language:en
Published: Universidad Nacional Autónoma de México 2003
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author Jan Kregel
author_facet Jan Kregel
contents An alternative view of the argentine crisis: structural flaws and structural adjustmet policy Jan Kregel Economía y Finanzas This paper discusses the conventional explanation of Argentina´s crisis. It is argued that the crisis was not, as common wisdom states, the consequence of an inappropiate fiscal policy, but rather of the structural flaws in the stabilization programme intro-duced at the beginning of the 1990´s. The programme was unable to correct the persistence of large stocks of debt which, in turn, exposed the economy to external shocks and set it on a path of vicious dependence on foreign inflows. The explanation of Argentina´s fall is put into recent historical perspective, and the paper offers a detailed evolution of the government´s decisions, the ebbing political conditions as well as an exposition of the workings and failure of the so thought automatic adjustment mechanism that was the Currency Board´s alleged main trait. It does so by recalling the emerging markets´ heart breaking pace during the nineties. Last but, certainly, not least, it provides a reflection of the pending aftermath. 2003 artículo científico 0185-1667 https://www.redalyc.org/articulo.oa?id=60124301 en http://www.redalyc.org/revista.oa?id=601 Investigación Económica application/pdf Universidad Nacional Autónoma de México Investigación Económica (México) Num.243 Vol.LXII
format Artículo científico
id redalyc_60124301
institution Redalyc
language en
publishDate 2003
publisher Universidad Nacional Autónoma de México
spellingShingle An alternative view of the argentine crisis: structural flaws and structural adjustmet policy
Jan Kregel
Economía y Finanzas
An alternative view of the argentine crisis: structural flaws and structural adjustmet policy Jan Kregel Economía y Finanzas This paper discusses the conventional explanation of Argentina´s crisis. It is argued that the crisis was not, as common wisdom states, the consequence of an inappropiate fiscal policy, but rather of the structural flaws in the stabilization programme intro-duced at the beginning of the 1990´s. The programme was unable to correct the persistence of large stocks of debt which, in turn, exposed the economy to external shocks and set it on a path of vicious dependence on foreign inflows. The explanation of Argentina´s fall is put into recent historical perspective, and the paper offers a detailed evolution of the government´s decisions, the ebbing political conditions as well as an exposition of the workings and failure of the so thought automatic adjustment mechanism that was the Currency Board´s alleged main trait. It does so by recalling the emerging markets´ heart breaking pace during the nineties. Last but, certainly, not least, it provides a reflection of the pending aftermath. 2003 artículo científico 0185-1667 https://www.redalyc.org/articulo.oa?id=60124301 en http://www.redalyc.org/revista.oa?id=601 Investigación Económica application/pdf Universidad Nacional Autónoma de México Investigación Económica (México) Num.243 Vol.LXII
title An alternative view of the argentine crisis: structural flaws and structural adjustmet policy
topic Economía y Finanzas
url https://www.redalyc.org/articulo.oa?id=60124301