Opposition economist criticized Sergio Massa’s measures and Milei’s dollarization

Opposition economist criticized Sergio Massa’s measures and Milei’s dollarization
August 28, 2023 – 12:58 PM

The economist closest to Carlos Melconian, who is close to Patricia Bullrich, spoke about the government’s announcements and the monetary proposals of the presidential candidates.

He economist opposition line to the Government and founder of the consulting firm Macrowiew, Rodolfo Santangelomaintained that the latest economic measures “are more of the same” because “neither the wages nor the retirements they are going to beat one inflation so tall”.

In a radio interview, the analyst close to Carlos Melconianopined that, in his opinion, “when there are 7% or 8% of monthly inflationyou have to give help (from the State) every two or three months”, but he pointed out that, when there is 15%, as, according to his vision, it will happen in September, it is necessary to advance these measures like the ones he announced he Economy Minister Sergio Massa.

The economist estimated that the august inflation It will be around 11%, but he expects it to “be higher” in September. And he pointed out in this regard that the Government “spent twelve months trying to avoid a devaluation“, which finally arrived last month. On the other hand, he criticized that, now, he wants something even more impossible, which is that the devaluation do not move to prices.

Massa’s measurements

Santagelo He spoke, on the other hand, of the measures announced by Sergio Massa and warned that “They are more of the same, patches that, in reality, are needed in this situation of so much redialbut they are to run behind”.

“We know, from history, that neither pensions nor wages they are going to beat this high rate of inflation. And I don’t think these measures will turn the election result“Santángelo emphasized, in statements by Radio Rivadavia.

On the other hand, he said that it is “terrible” freeze prices (such as medicines and fuel) until November 1. And it is that, according to his vision, “it would be a service to the country if prices thawed in mid-September and the dollar began to move a little”, otherwise, he warned that “the pressure cooker can jump” .

dollarization vs. bimonetarism

The economist calculated that “the devaluation for the August-September bimester was 27% and the inflation of that period will give around 25%” and rejected dollarization, while he was in favor of a bi-monetary regime, as proposed Patricia Bullrichcandidate to which it is related.

In this regard, he was of the opinion that the bi-currency scheme “You have to convince those who have the Dollars to reintroduce them into the economic system” and said: “But that implies build to weight“It is that he considered that, if the peso drifts, there is a risk of hyperinflation.

“You have to be very careful with the monetary proposals that are made in the future, because a central bank who has no assets but many liabilities, if he wants the peso to compete against anyone, he will destroy it. There are more than $30 trillion in circulation: be careful not to protect the peso because we can suffer the consequences,” she emphasized.

Source: Ambito

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