With each passing week the feeling that the Argentine economy is approaching the one we experienced in the eighties cannot be avoided. It does not mean that the situation will be exactly the same nor...
Credibility, That Undervalued Asset
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Credibility, That Undervalued Asset
Fourth week
September 2022
When the Central Bank raised the rate by 5.5 percentage points to an effective rate of 107% a couple of weeks ago, the logical thinking of most economists, including those of us at Econviews, was that the higher rate would help narrow the FX spread. Clearly, little more than a week later we can confirm that it did not happen. So we ask ourselves: is our economic theory wrong? Probably not, but things happened.
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