NYT editorial recommends Obama to look to Argentina 'for inspiration'

An opinion editorial of the US newspaper The New York Times titled “Argentina’s turnaround tango” stated that President Barack Obama and the US Congress should look to Argentina “for inspiration” in economic policies issues. Nevertheless, the article also warned about the corruption and “government opacity“ of the Latin American country.

“Argentina has regained prosperity thanks to smart economic measures,” the article signed by Ian Mount highlighted, and added that the Argentine government “intervened to keep the value of its currency low, which boosts local industry by making Argentina’s exports cheaper abroad while keeping foreign imports expensive.”

Mount also indicated that “Argentina offers valuable lessons, (…) government spending to promote local industry, pro-job infrastructure programs and unemployment benefits does not turn a country into a kind of Soviet parody,” referring to the Republican’s critics against Obama’s government.

“Argentina is hardly a perfect parallel for the United States. But the stark difference between its austere policies and low growth of the late 1990s and the pro-government, high-growth 2000s offers a test case for how to get an economy moving again. Washington would do well to pay attention,” it continued.

Nevertheless, the author also stated that “Argentina is far from perfect,” and explained that the taxes to imports and exports have “scared away some foreign investment, while high spending has pushed inflation well over 20 percent. And it would be laughable to suggest that the United States follow its lead and default on its debt.”