Jared Mitchell Macro Economics April 3 2002 Argentina Crisis To truly understand the Argentina Crisis you must first know what has happened with their government within the past two years. Argentina has been in a terrible recession for the past four years. IN December 1999 newly elected president Fernando De La Rua vowed to restore the economy. Then the budget was not looking so good. Economy minister, Jose Luis Machina predicted the budget to over shoot the 5.2 billion …showed first 75 words of 558 total…

…showed last 75 words of 558 total…will hit the middle class and small companies the most that import. So y0u see Argentina has a big problem. There aren’t really any others options other than devaluation. Adopting the dollar was an option in the past. But Argentina no longer has enough dollars to replace the pesos in circulation. Jose Fernandez spoke more on a political level. Speaking of how Argentines lost all trust in their government. Now I know why.