All that socialist welfare state spending in Argentina has resulted in.....an economic boom

[marmar]

from truthdig:



(Cristina Fernandez de Kirchner) is the widow of Nestor Kirchner, who died a year ago after winning the award for world’s best husband (Nestor decided not to run for re-election so that his wife could take a turn).

But before he left office, Nestor Kirchner infuriated global elites by defaulting on Argentina’s $95 billion foreign debt. Greece, facing an external debt load five to six times that amount, has decided instead to severely cut back on public spending while it works with other governments to address its debt crisis.

Argentina, on the other hand, pumped money into subsidies and social programs. And while the rest of the world has been circling the drain, financially speaking, Argentina’s economy has been booming, with GDP growing last year by more than 9 percent. .......(more)

The complete piece is at: http://www.truthdig.com/eartotheground/item/the_argentine_model_20111023/

[RC]

1. When the people have money to spend, the economy booms.

Our own national history proves it.

[redqueen]

4. It's a fundamental law of economics.

And those at the top know it, but they don't care.

[closeupready]

7. You're correct; they don't care. Instead, they dress up "don't make me pay taxes!!!!" in fancy

language, bullshit theories like trickle-down, free market, yadda yadda - and then do whatever they want, theories and fancy language be damned.

[JoeyT]

8. They know it, and they oppose it.

Wealth is a competition. If everyone is doing well, you have to do even better. If everyone is sinking and you're not, you're doing better just by standing still.

[redqueen]

9. I've always thought of it as a disease. (nt)

:kick:

[mazzarro]

2. Does she have a remarkable resemblance to Barbara Streisand?

She definitely knows who to pay homage to - her husband and not the international financial over-lords!

[Capitalocracy]

13. Obama needs to take a lesson from Nestor Kirchner.

You don't "look forward, not backwards", you say "nunca mas".

[1776Forever]

3. Please send this to Geithner and Gang - More is better:) n/t

[redqueen]

5. Kick. (nt)

[Tsiyu]

6. Demand for products and services,

combined with income to pay for said products and services, create jobs.

Supply-side economics is economic suicide.

[Uncle Joe]

10. Kicked and recommended.

Thanks for the thread, marmar.

[Capitalocracy]

11. Things are not that great here in Argentina.

Things are getting better, but we've got a LONG way to go. One of the biggest problems here is the regressive 21% national sales tax (enacted under the military dictatorship but has stuck around like an STD since then). And there's an entire class of people here living in villas (shantytowns) that it will take a massive socioeconomic revolution to get out of that situation. But those are all problems inherited from the military dictatorship, Carlos Menem, and the IMF.

[Vidar]

12. K&R.