The critical value of this indicator, below which increases the chances of a turnaround in the dynamics of the economy is 50 points and Argentina’s economy is now at 38.5. Contrary to what happens to consumption, purchases of durable goods such as cars kilometer zero, continue to grow. “Symptom of good expectations of the population? Of course not. Is that with inflation close to 30% and interest rates time deposits are located less than half of that value, there are truly many ways to safeguard the savings. That is why it resorts to real assets such as cars. This type of behavior has been common among Argentines every time a crisis erupted.

That is why I imagine a person with three cars: a 1989 model, another model 2002 and the new, zero mile you just bought. The turmoil of Argentina’s economy is being reflected in the behavior of the financial system. Funding in the capital market through post-dated checks felt the impact of market fears suffering a strong shortening of deadlines and a significantly higher financial cost. To know more about this subject visit Charles Margulis . Since 11 March (day mobile retentions were announced on agricultural exports), the financial system lost $ 2,000 of fixed-term deposits (approximately $ 700 million). Since the conflict began with the field, the Central Bank lost U.S. $ 1,200 million according to official figures (some market analysts say the amount may be higher.) “There’s nervousness in the business? Yes, I really do. The Employers are nervous.

Talking to Frederick Cohen, an economist friend who works at a leading economic consulting firms in the country, told me that queries and requests for talks on what is happening and what can happen in the country, have multiplied in the last month. This marks a certain extent what is happening in the business environment, as this amount of requirements the consultants had not happened either in the election period. In Argentina the last few months we find more inflation and less growth … This is all because of the conflict with the field? Of course not. Much of this result is caused by postponing direct action to tackle the fundamental problems for the economy of Argentina. Failure to recognize that inflation is accelerating is making it grow more, undermining growth. Failure to implement measures as a reduction in the rate of public spending is also exacerbating the problem. I believe that if Argentina’s economy slows and begins to head towards a recession, it is only product that has not been broken up on time every push factors that exist today on it. Argentina should continue to grow at a healthy pace (“5%?) Without problems, but clearly can not continue a growth of 8%.

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