Argentina bears watching as it is a leftist government run by Peronist party President Cristina Kirchner.

A classic example of how the socialist administrative state reacts to freedom

from The Gray Area:

The two reports below reflect a classic example of how the socialist administrative state reacts to freedom and reality. The subject of the reports is the surprise primary victory of a 'Trump style' candidate in Argentina. The media and the socialist administrative state is scared to death. The Washington Post, as would be expected, takes the position everyone must leave the country. Authoritarian oppression and financial ruin will soon begin. Why? Because the candidate, economist Juan Milei, has promised to dismantle Argentina’s central bank, dollarize the economy and break up the “political caste”. A beleaguered citizenry has launched into a wearyingly familiar crisis mode, rushing to spend pesos in anticipation of the inflation to come..

The Wall Street Journal deals with this story differently. Argentina used to be one of the most developed and wealthiest countries in the world, but a century of state intervention in the economy has shown how dangerous it is to disrupt the normal functioning of markets. [An economist focused on monetary policy] augurs well for a country with a history of fiscal mismanagement, corruption, uncontrolled inflation and a disastrous default.

Even a selfish government that’s keen on reaping increased tax revenue from growth should have an interest in making a commitment to monetary liberalization. In a country such as Argentina, that is welcome news to everyone except the state bureaucracy and power base. Even worse for the socialist elites, Mr. Milei has named each of his five dogs after economists, including Murray (Rothbard) and Milton (Friedman), revealing his belief in free markets.

Reality is not the friend of those who prefer government control over freedom. The USSR, North Korea, Cuba, Venezuela, Argentina and most of the rest of South America have tried socialism, Marxism & communism and all failed. People suffered and died. But, what about China you say? The same thing. That was a failed system in the early 90s until they instituted free market reforms. Then things turned around for China. They accepted reality, at least a little bit. The difference is these reforms are still under central government control, and along with other failed government policies, are continuing to destroy the country, and most importantly destroying its people.

I don't know anything about Mr Milei, whether he would be a good leader or not. What I do know is the plans he has articulated, if properly implemented, will be a good start for Argentina and other countries in South America.

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