As the value of its currency continues to fall and its economy edges nearer to collapse, Argentina’s government is scrambling to establish new measures to protect its currency and to save the country from a long-term recession. The government recently proposed a new plan for the 2019 budget which now includes various initiatives to cut government spending.
In the late 1980s and throughout the 1990s many Latin American countries adopted neoliberal economic policies. Many countries faced negative economic and social results due to the policy shift and reverted to more domestic oriented markets. With that said, in recent years many Latin American countries, such as Brazil, have pushed back into neoliberalist policies. This comes as especially odd considering many global economic powers such as the US, UK, and China are shifting to domestic focused and protectionist policies.
Turmoil and conflict is nothing new to the countries in Latin America, and the last few months some of the most prosperous countries have been experiencing problems. Argentina’s currency took a nosedive, leaving the country in crisis. Brazil’s growth rate has slowed significantly and World Cup protests are growing by the day. And oil heavy Venezuela is experiencing massive protests over inflation and shortages.
The International Monetary Fund (IMF) recently concluded the annual Article IV Consultation with Colombian policymakers, which took place from March 3rd-13th.2The IMF mission was headed by Valerie Cerra, who concluded that Colombia had a strong macroeconomic policy framework and was able to weather the global financial crisis through an inflation-targeting regime, maintaining