An Overview of the Argentine Financial Crisis

The financial crisis in Argentina during the late 1990s and early 2000s resulted in severe issues with foreign debt, inflation, unemployment, and political turmoil for the country. Argentina not only suffered a currency crisis, but also suffered a political crisis. Fallout from the economic collapse was so severe the Argentinean population resorted to civil unrest and protest, which in turn exacerbated Argentina’s problems at the turn of the century. While other issues related to this financial crisis such as the impact on the lives of the Argentinean population or the political turmoil and corruption are certainly worthy of discussion, this paper will focus on the currency crisis and the Argentinean government’s role in this economic…show more content…
In an effort to move Argentina from an internationally isolated and state-dominated economy to one that encouraged international trade and foreign investments, Carlos Menem, in the early 1990s, initiated a wave of privatization, which included state-owned industries such as utilities (Feldstein, 2002). Following the examples of Chile and the emerging economies of Southeast Asian nations, Menem hoped this liberalization would foster growth in productivity and economic growth.
On April 1, 1991, Argentina’s Congress, with Domingo Cavallo as Minister of Economy, enacted the Convertibility Law (or Ley de Convertibilidad) legally adopting the currency board (Hornbeck, 2002). This legislation essentially pegged the Argentinean peso to the U.S. dollar. The government guaranteed the convertibility of the peso to U.S. dollar at a one-to-one exchange rate, limiting the printing of pesos to only those necessary to purchase dollars in the foreign exchange market. Thus, the central bank was required by law to hold foreign reserves to cover its peso liabilities (Hanke and Schuler, 2002). With this fixed exchange rate, the Argentinean government was hoping to preserve the value of their currency and stabilize inflation. The peg was initially successful, as it cured hyperinflation that occurred at the end of the 1980s and provided price stability needed for economic growth in the early 1990s. However, by the late 1990s,
Are you in need of assignment help?
Are you a high school, college, or university student pursuing a diploma, bachelor’s, master’s, or Ph.D. degree? Sometimes, assignments and life can overwhelm you.
Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?
That is where we step in. Whichever your reason may is, it is valid! With our student assignment help service, you can submit all your assignment on time and score superb grades. You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.
Our academic writers are graduates with bachelor’s, master’s, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an academic writer with our assignment help service is to have a college bachelor’s degree. When assigning your order, we match the paper subject with the writer’s area of specialization.
What subjects does your online assignment help service help with?
We offer student assignment help on various subjects. These include:

Nursing
Psychology
Sociology
Business
Statistics
Finance
Literature
Law
Finance
Computer science

Why should you use our assignment help service?

You get unique plagiarism-free papers
We ensure timely delivery of all assignments
Papers are of unmatchable quality
We can handle assignments of any deadline
We have a pool of skilled, experienced native English writers
The minimum requirement to be a writer with our company is to have a bachelor’s degree
Writers go through rigorous tests and mentorship
You get a subject-relevant academic writer
We ensure strict adherence to paper instructions
We can handle tackle bulk assignments
We charge fair and reasonable prices
We offer awesome discounts to our clients
Our customer support is available 24/7
You get superb grades consistently
We guarantee 100% privacy and confidentiality
We are 100% legit
Customer satisfaction is our core priority
You can communicate directly with the writer
Our quality assurance department ensures your paper’s quality is top-notch
We have secure payment methods

How does our student assignment help service work?
1. Place an order
You fill all the paper instructions in the order form. Make sure you include all helpful materials so that our academic writers can deliver a perfect paper. It will also help to avoid unnecessary revisions. At this point, you can attach files that are provided for the assignment. We usually insist a lot on the client uploading the grading rubric if it is available. The writers adhere to the highest level of the rubric to ensure that you get a perfect grade.
2. Pay for the order
Proceed to securely pay for the paper so that we can assign the paper to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.
3. Track the progress
You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer.
4. Download the paper
The paper is uploaded to your personal account and sent to your email. You also get a plagiarism report attached to your paper.