Inflation, Dollarization, retirements and the Central Bank
“Tell me ‘yes or no’ if they are going to dollarize the economy, if they are going to close the central bankif they are going to return AFJPif they are going to eliminate the subsidies“Massa shot at the start of the debate.
Milei initially rejected the rules of the game that the Unión por la Patria candidate sought to impose on him, and asked that he provide explanations about the “inflation levels of 300%poverty of 40% and destitution of 10%.” Massa told him that in the countries where dollarization had been applied, “such as Zimbabwe or Micronesia, had failed.” But Milei accused him of “lying.”
When Massa returned to the BCRA, Milei responded: “Yes, I’m going to finish with the BCRAbecause it’s him origin of inflation. The machine is the way you steal from us. As with the monetary issue, in these 20 years that we left convertibility, 280,000 million dollars were stolen from us. In fact, the Government of criminals in which you participate is stealing 90 billion dollars from us, and this year you are taking 25 billion dollars more. ¿Who do you want to continue screwing up their lives by stealing from us with inflation??”, asked.
Subsidies
The official candidate accused Milei of pretending “cut subsidies and take rates to very high levels.
And he insisted that Milei provide definitions “yes or no”: “Yes, we are going to end inflation, yes, we are going to close the Central Bank,” the libertarian responded. But regarding the rates he clarified that “Before increasing them, we are first going to recover people’s income.”
Foreign trade
Another of the hardest crossings was linked to the commercial relationship with the world.
Massa accused Milei of pretending end trade relations with Brazil and China. Milei denied this, but maintained that foreign trade should be guided by the private sector.
“The State does not have to get involved in negotiations between private parties. “When you want to get involved it is to get some advantage for your friends,” the libertarian shot.
Massa accused him of trying melt down regional economies from the interior of the country, who base their exports on sales to China and also sought to sow doubts about Milei’s knowledge of how the State works. “You who know, why don’t you explain to me how you benefit your friends with the SIRA (import authorizations)“Milei reproached him.
In another order, Milei explained: “as a libertarian liberal, I deeply believe in international trade and in the opening. “The countries most open to the world have per capita income nine times higher than those that are closed.”
Likewise, he considered that “the State does not have to interfere in commercial relations” and continued: “The State ends up being a hindrance and the best example is what is happening in Mercosur, which has no exit road and is not progressing anywhere.”
The libertarian ratified his “alignment with the United States, Israel and the free world” and added: “I am not willing to propose relations with those who do not respect liberal democracy, individual freedoms that advance individuals or peace. I do not want to have anything to do with them.”
Salaries and economic activity
Milei promised that his eventual government “will allow the economy to recover” and he shot: “The problem is that you, Sergio, blew up our income. With you as Minister of Economy, income fell 33%. If we had the same income as the convertibility, before having the misery that we have with you, of 350,000 pesos, we would have 1,800,000 pesos. Look at the misery you generated,” he snapped at the Unión por la Patria candidate.
Finally, Massa postulated that the way out of the crisis is “with increase in exportswith the 40,000 million more that the country will export next year, with the construction of work on the basis of better incomes.” He also reiterated his willingness to advance in “an agreement of national unity that allows the reduction of the tax system and withholdingsand a path of tax simplification so that SMEs and businesses do not take a course to pay taxes”.
Production and work
Milei warned that the number of private employees “It has been stagnant since 2011” and stated that this is so “because there is no investment, due to fiscal pressure.”
“In Argentina it is impossible to earn money. If money were to be earned, the gang of expropriators appears with the idea of social justice, income redistribution and equal opportunities and goes and steals the result of the fruit of their work,” he said.
And he added: “The private sector saves a lot in Argentina. The problem is the State.”
After Massa put the salary difference between men and women for the same task, the libertarian rejected that idea: “I am surprised that being Minister of Economy you do not know how to read the data. “I failed when I tried to teach you.”
“I’m sorry that you think about topics you don’t know about.“, he stated, after which he added: “You want to regulate commerce and I want it free. “When you say protect (the industry), you say do business with friends to the detriment of good Argentines.”
At the closing of the Production and Work thematic axis and in response to Massa’s accusation that LLA aspires to eliminate labor rights, Milei stated: ““My program is what I propose, not the lie that you tell.”
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IMF and the role of the State
Massa stated that “Argentina needs rediscuss its program with the Fund (International Monetary) which is inflationary, increase the export development program, improve income distribution and lower taxes on the basis of a great agreement.
To this end, he listed four premises to be adopted starting December 10: “Let’s go to the fiscal surplus, to the trade surplus, to a regime of competitiveness and accumulation of reserves that allows it to be paid to the Fund to definitively remove it from Argentina.”
For his part, Milei expressed that “Argentina has been in decline for 100 years: The 20th century began as the richest country in the world. Today we are number 130. We have 45% poor, 10% indigent and inflation running at 300% with a high risk of hyperinflation as a result of the caste model based on the premise that where there is a need, a right is born.”
To this he countered that “for real economists, all problems are solved with the market, private property, free prices and without state intervention, but the political caste does not like that, which for 113 years had a fiscal deficit that was financed with debt.” that burdens future generations and that always ends up defaulting, turning the country into the maximum serial defaulter”the libertarian stressed.
Source: Ambito
