Argentina has formally announced it won't join the BRICS bloc of developing economies. Friday's announcement is just the latest in a dramatic shift in economic policy triggered by Argentina’s new far-right President Javier Milei.
Some countries would need to stabilise their economies before this would be viable, Argentina in particular with the huge inflation and debt problems would be too much of a liability.
Yeah it seems an odd move from Brazil that Argentina is the one to start off with. It also feels like Brazil, being four fifths of the entire population and GDP of Mercosur, will unavoidably dominate it. But I won’t pretend to know enough about South American politics to really comment further
Because the governments would no longer be able to fake the exchange rate, and their socialist policies would’ve been reveald as a scams they are, without the keys to the money printer.
Also, who would be in charge of the monetary union? A bunch of countries that couldn’t even managed their own monetary systems?
Going with an existing foreign currency as a base is probably better until the situation stabilizes a bit.
Why doesn’t south America agree on a single currency like the Euro?
The Peso. The Sol. The Amero.
Argentina and Brazil have apparently been looking at it https://www.reuters.com/markets/currencies/brazil-argentina-begin-preparations-common-currency-ft-2023-01-22/
I assume that the rest of Mercosur would be invited over time if it’s successful
Some countries would need to stabilise their economies before this would be viable, Argentina in particular with the huge inflation and debt problems would be too much of a liability.
Yeah it seems an odd move from Brazil that Argentina is the one to start off with. It also feels like Brazil, being four fifths of the entire population and GDP of Mercosur, will unavoidably dominate it. But I won’t pretend to know enough about South American politics to really comment further
Because the governments would no longer be able to fake the exchange rate, and their socialist policies would’ve been reveald as a scams they are, without the keys to the money printer.
Also, who would be in charge of the monetary union? A bunch of countries that couldn’t even managed their own monetary systems?
Going with an existing foreign currency as a base is probably better until the situation stabilizes a bit.
I kinda like the name the Amero. Or the Merco. The Lollar (for Latino dollar) would be hilarious, but I’d support it!
If they named it lollar, I’d be willing to overlook the smaller details like political unviability, and fully embrace the project :D
Lol One can only dream!
Show me on the map exactly which policy was socialist.
Oh wait, you can’t because you’re just a conservative piece of shit 👍