Argentina’s crippling fear of floating

Argentina's economic rollercoaster rider over the last decade has all the elements of an eye-catching economic case study. At the inflection point of the cycle in 2002, the peso was devalued from parity to 2.7 pesos against the dollar, domestic contracts were de-dollarised and bank deposits frozen and restructured. The country defaulted on its outstanding foreign debt and unemployment soared. While dramatic policy initiatives have nursed the economy back to growth, the failure to deliver price s