Nobody downloaded yet

Economic Crisis in Argentina - Essay Example

Comments (0) Cite this document
This essay critically reviews the major roots and causes of the Argentinian economic crisis of 1998 and considers its long-term economic and political impacts. It is argued, that the roots of the crisis lied in political and economic policies of the governments that followed the military regimes…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER99% of users find it useful
Economic Crisis in Argentina
Read TextPreview

Extract of sample "Economic Crisis in Argentina"

Download file to see previous pages The government’s policies largely focused on addressing the human rights issues and ensuring independence of judiciary thereby strengthening the democratic process. These policies were very effective in increasing Alfonsin’s popularity. However, when the independent judiciary started to hinder the new government’s objectives, government abandoned the policy of judicial independence by promulgating laws such as ‘Full Stop Law’ and ‘Due Obedience Law’ (Tedesco, 2002, p. 472). These policies greatly decreased the popularity of government and provoked military rebellion, guerilla attacks and labour conflicts thereby weakening the government (Tedesco, 2002, p. 473). Hence, the increased confrontation between the labour class and government resulted in a failure of economic policy. Carlos Menem succeeded Alfonsin as president of the Latin American Republic. Menem tried to bring about a consensus between the labour class and the ruling elite and was somewhat successful. However, he used the power earned from the political consensus to establish a hegemonic rule over the country. He restructured ‘the supreme court of justice’ and inducted his supporters and close aides as judges at the highest level. Similarly, the accountability courts or ‘the Tribunal de Cuentas’ was reformed with government friendly judges. These policies encouraged large-scale corruption by government officials. This resulted in a large scale economic unrest (Tedesco, 2002, p. 476). Different economic factors paved way to the grave economic crisis of Argentina. Alfonsin inherited a country with severe economic issues to be resolved. The government introduced a series of economic reforms including...
This essay is one of the best examples of thorough retrospective analysis of the origin, transmission and cessation of the economic crisis in Argentina, with focus on the economic policies, that led to the overcoming of the crisis.
The shift from dictatorship to ‘real’ democracy did not yield the anticipated results. Carlos Menen, the Argentinean President from 1989 to 1999, introduced reforms that proved catastrophic for the economy. His policy of privatizing the government owned corporations and encouraging foreign investment in banking and other sectors back-fired. Huge amount of funds were transferred overnight out of the country decreasing substantially the country’s foreign reserves. The government froze all the foreign currency accounts. But this move angered the country’s wealthy middle class. They deemed it as a violation of basic human rights and a pro-elitist policy
Different economic factors paved way to the economic crisis of Argentina. The government introduced a series of economic reforms including introducing a new currency. The government has to take huge loans to support this move but could not pay the interest. This decreased the confidence in new currency.
The economic bail-out packages offered by international monetary organizations contributed a little towards containing the situation. It was the people’s spirit and its recognition on the part of government that finally led Argentina out of the crisis. The country needs a political culture which strengthens democratic institutions.
...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Economic Crisis in Argentina Essay Example | Topics and Well Written Essays - 1500 words”, n.d.)
Retrieved from
(Economic Crisis in Argentina Essay Example | Topics and Well Written Essays - 1500 Words)
“Economic Crisis in Argentina Essay Example | Topics and Well Written Essays - 1500 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Economic Crisis in Argentina

Economic Comparison between Brazil and Argentina (Economic Development And Growth)

...experienced large capital inflows that led to reduction appreciation of its currency. The country has raised tax rates on specific foreign investment to reverse increasing currency appreciation. Brazilian exchange rate against the US$ was 2 and 1.77 in 2009 and 2010 respectively. Argentina adopted managed flexible exchange rate following 2001-2002 economic crisis. The peso’s real exchange rate was undervalued to increase exports volumes. Argentine exchange rate against the US$ was 3.7 and 3.9 in 2009 and 2010 respectively. Interest rates Brazil experiences high interest rates. The Brazilian strong economy coupled with very high interest rates (47.25% and 44.65% in 2009 and 2010...
8 Pages(2000 words)Term Paper

Journalism - The Economic Crisis

...Task The Economic Crisis The economic crisis started in the mid 2007 and continued through 2008and caused many financial institutions to collapse. The crisis changed how many people lived since they had to cut on their budgets so that they could be able to survive and take care of their daily needs. The crisis not only affected people in the United States, but was felt by people all over the world. The interview I conducted revealed people’s feelings about the crisis and it showed how people reacted to the crisis by cutting down their budgets (Jickling). The people I interviewed gave varied responses to...
5 Pages(1250 words)Research Paper

Analysis of Argentina Economic Recovery

...from financial recession. This essay analyses Argentina’s managed floating exchange rate regime from the recovery of economic crisis to the Present. Economists have mentioned many factors that contributed to Argentina financial turmoil. Some economists have cited Argentina economic policies as a factor that contributed to financial recession (Hornbeck). Analysts have claimed that IMF had questionable policy advice and lending to Argentina because it overlooked risks that Argentina was likely to face (Saxton). It is apparent that numerous lending programs that international community gave to...
4 Pages(1000 words)Research Paper

Economic Crisis

...? 2008-2009 Economic crisis The paper focuses on the root causes of the tremendously loathsome economic crisis encountered by the world, especially the United States of America (USA) in 2008-2009 along with the rigorous steps employed by the US government to stabilize and uplift the economy’s condition from the devastating financial boogie trap. Primarily the focus is stressed on the proximate causes that ignited and spurred up the economic downturn. In the subsequent step, endeavors made by the US government in the stabilizing mechanism of the economy is explained with particular emphasis on the role of President, Congress, Secretary of the State, and Treasury Secretary in order to abolish the adverse consequences on the economy... ....
8 Pages(2000 words)Research Paper


... Task: Argentina Argentina has a rich history of the political upheavals in the nineteenth century. The country acquired autonomy from Spain that was their colonial master. Their independence came after their military confrontations with the Spain army under the leadership of Jose De San Martin. However, true formation of the Argentinean nation began after their independence that was a period marred with civil wars. It was during this time that Juan Manuel de Rosas came into power. He was born into a family that had wealth and power (Sarmiento, Mann & Stavans 7). The leader of grew up on the estancia in the province of Buenos Aires. Rosas led the Argentinean nation for 17 years from 1829 to 1852. Most historians describe his rule... as...
3 Pages(750 words)Essay

Water Privatization in Argentina

.... Public opinion polls indicated a gradual decline of support accorded privatisation of water and sanitary services (Schargrodsky, 2009). Findings provided by studies indicated that the water systems in Argentina were deteriorating following privatisation. The findings illustrated the presence of impurities in the water distributed through its networks. Such findings were proved devastating to the image of the concept of water privatisation. The concessionaire was accused of generating enormous profits at the expense of citizens. This was evidenced during the economic crisis in Argentina and the shortcoming by the regulatory agency. Other factors contributing to the...
5 Pages(1250 words)Essay

Korean Economic Crisis

...Comparison and Contrast between the Korean Economic Crisis In the Late 90's and 2007-2009 I. Introduction The economy of the Republic of Korea is known as one of the most stable in East Asia. In fact, it is considered as on the most developed in the entire continent, a fact recognized by many economists of the West. It is a dominantly free-market economy, which, according to the CIA World Factbook, is ranked as the fourth largest in Asia and the 15th largest in the world. (CIA World Factbook) The World Bank has declared South Korea as a high-income economy. This is just from the macro-economic point of view. If a closer look at how this status has benefited its citizens, its...
19 Pages(4750 words)Term Paper

Economic crisis

...World & UAE: Stock Markets Before & After Financial Crisis "The Chinese use two brush strokes to write the word 'crisis'. One brush stroke stands for danger; the other for opportunity. In a crisis, be aware of the danger-but recognize the opportunity." John F. Kennedy The world was at its peak in every industry, investors continued to invest all their life time savings. People thought that the economic boom will never end, everyone started thinking about the amount they have earned today; thinking about short-terms living life like its about to end. Suddenly, the economies began to decline and the investors were not able to pull out their money from the crashing...
12 Pages(3000 words)Essay

Economic globalization of Argentina

..., which projected the nation’s progress as the globalization model of economic success. Fortunately, despite the Mexican crisis in the mid of the 90’s, Argentina experienced high GDP growth and income level, but its economy could not avoid the increasing inequality and unemployment levels, and later billions of public debt and uncompetitive currency level. Thesis: This document brings out and elaborates the consequences of the economic globalization of Argentina’s finance, trade and labor since the 1990s. It argues that poorly controlled economic integration with the global economy contributed to the financial strain, collapse of fixed...
6 Pages(1500 words)Essay

Economic Crisis

However, in order to achieve a sustained level of increase in the aggregate output level, it is important that the government must take efforts which can stabilize the economy. Over the period of time, the overall quantum and level of public debt have increased to a greater length within the UK. Higher public debt levels along with extra reliance on credit by the private sector have resulted in significant economic problems for the UK as an economy. ( , 2011) This economic situation of UK, therefore, required a rebalancing of an economy with the reconsideration of both the fiscal as well as monetary policies adopted by the current government of David Cameron. The changes in the fiscal policies of the government were aimed...
10 Pages(2500 words)Assignment
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Economic Crisis in Argentina for FREE!

Contact Us