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Argentinas economic status - Essay Example

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The paper first considers a brief history of the past economic problems and then addresses the current economic problem through various findings and analysis. We also look upon the technical and financial assistance provided by the developmental organizations World Bank and IMF…
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Argentinas economic status
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Download file to see previous pages This research will begin with the statement that with 23 states and also an autonomous city, Argentina had been the second largest country in Latin America. Covering a total area of 2766890 square kilometers the country stands as the eight largest nations measured 30th in terms of population. The country had a fairly high per capita income in 1920 but suffered from severe political instability during the 80s due to the economic crisis. The country was under 22 years of military rule and after that changed 25 presidents. Currently, the country is recovering from a severe downturn that it suffered owing to the 2001-02 economic crises. Reportedly the country has defaulted on debt in 2005 and then made a debt repayment of $9.5 million to IMF in January 2006. IMF even questions Argentina’s accounting measures and credibility of data especially the one concerned with inflation. Keeping this at backdrop the paper intends to present a study of Argentina’s economic status by looking upon its past history of economic crisis and also examining the extent of recovery from such a crisis currently. The country of Argentina situated in Latin America had been going through a political turmoil for many years along with disastrous economic conditions. Economic crisis followed by debt crisis has been piling up one after another. Currently, the country is facing the problems of high prices and persistent double-digit inflation....
To test such a hypothesis we first consider a brief history of the past economic problems and then address the current economic problem through various findings and analysis. We also look upon the technical and financial assistance provided by the developmental organizations World Bank and IMF. Literature review Several economists have analyzed and performed research studies on Argentina’s economic condition. A research study has been performed to get an idea of poverty prevailing in Argentina due to such economic conditions. The data has been collected from EPH which is the main household survey of Argentina. Real income has been taken as an indicator of poverty and inequality. Fall in real income (8%) for the years 1992-96 comes along with the increase in GDP (8.9%) for the same years. Such a discrepancy reveals an overestimation of GDP in the data provided by local Argentinean surveys. Some unaccounted income such as rent and capital income might also be a cause for such a dubious result (Gasparini). Growth incidence curves have also been used for studying the changes in income pattern. The curves have been below the horizontal axis and positively sloped. High inequality in income is revealed from such a study of income changing patterns (Gasparini). Poverty status of Argentina has been studied using poverty lines with three poverty indicators namely the headcount ratio, the poverty income gap and FGT. Value of poverty lines have been expressed in local currency units. The data has collected for the period 1992-06. Such a study has shown that although Argentina has somewhat recovered from the 2001-02 crisis it has not been able to eradicate poverty. With the crisis there has been ...Download file to see next pagesRead More
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The topic of "Argentina’s economic status " is quite popular among the assignments in college. Still, this text opens a new perspective of seeing the question. I’ll use the idea for my own sample.

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