38. Milei and the Libertarian Populist Experiment - Iván Carrino
Episode description
How do we categorize the Milei administration and its policies? Today on the show, we're joined by Argentinian economist Iván Carrino in a deep dive into political movements throughout the country's history, from the authoritarian economics of Juan Domingo Perón to the controversial interventionism of the Kirchners. Can Milei's own brand of Libertarian populism work to revitalize Argentina?
Argentina has fallen from lofty heights, and all eyes are on Javier Milei to right the ship. Once having the highest GDP per capita in Latin America, Argentina is now eclipsed by Chile, Panama, Paraguay, and Uruguay. We explore the ideologies over successive governments that have eroded Argentina's stability, namely the mantra of "spend, spend, spend" that has ballooned the country's deficits in what has been deemed a decadent approach to economics.
Iván takes us through the evolution of "La casta," a seemingly ever-changing metaphor used by incumbent political parties to provide direction for public outrage, which Milei's administration has flipped yet maintained its effectiveness to the voters. Milei's most recent victory, "Ley Bases," a collection of laws aimed at fiscal correction through privatization, shows there is hope yet for his congressional capabilities, which were in question in no small due to the hyper-conservative ideologies of his colleagues. The same ideologies could clash with Milei's strident Libertarianism.
And what of his aspirations for dollarization in the early days of the campaign trail? They are on the back burner for now. Milei's current objective is balancing Argentina's fiscal budget and controlling inflation. Then, once those previous US dollars can be shored up to back the peso, dollarization may finally return to the fore.