From Buenos Aires Times · Michael Soltys · · 1m 30s
Drowning by numbers
Argentina's economic growth paradox: record numbers mask deepening crisis.
In brief
Argentina's economic growth paradox: record numbers mask deepening crisis. Argentina's economy shows growth but faces job losses, company closures and investment concerns under President Milei. Originally reported by Buenos Aires Times.
Historical context of statistics
The phrase 'lies, damned lies and statistics' dates back to the 19th century but Michael Bentine challenged the assumption that numbers provide superior clarity decades ago.
“lies, damned lies and statistics”
Argentina's economic duality
Argentina reports second consecutive year of growth while manufacturing and construction shrink by three and 4.5 percent respectively this year.
“manufacturing industry and construction shrinking by three and 4.5 percent”
Job and company losses
Over 31,000 companies closed and 330,000 registered jobs lost since Javier Milei became President.
“closure of over 31,000 companies and loss of some 330,000 registered jobs”
Growth ambiguities
Argentina's 2021 growth figure of 10.4 percent was a rebound from minus 9.9 percent shrinkage during pandemic lockdowns.
“2021 growth figure of 10.4 percent marked an all-time historic record”
Chile comparison
Chile's minus 14 percent contraction in 1982 under military dictatorship preceded nearly four decades of continuous growth.
“minus 14 percent contraction of Chile in 1982”
Investment challenges
Milei's RIGI incentive scheme attracted almost US$200 million in investments but most are on standby awaiting next year's elections.
“RIGI incentive scheme for major investments attracted almost US$200 million”
Investment figures
Argentina's 15.1 percent investment figure is the worst since 2001-2002 financial meltdown, far below historical average of 17 percent.
“15.1 percent of Gross Domestic Product posted in midyear”
Fiscal and trade performance
Milei's administration maintains fiscal surplus and trade surplus of over US$25 billion this year despite declining electoral support.
“record surplus of over US$25 billion this year”
Missing money
INDEC calculates US$285 billion 'under the mattress' but this money remains unchannelled into bank deposits and investment.
“US$285 billion 'under the mattress'”
The main idea
Argentina's economy shows growth but faces job losses, company closures and investment concerns under President Milei.
