05/23/2020 - 11:04
Always controversial, the economist Carlos Melconian suggested this Saturday to create a "crown" to alleviate the process of inflation and loss of value of the peso that is expected in the coming months.
The idea of the crown was "to finance public spending with a paper that is given a substitute value of the peso," he explained to the Economy 21 program, by FM Milenium. The former president of Banco Nación in the macrista management put it this way: "When I have to pay you 100, I tell you 'take 80 pesos and 20 in coronamonedas. The coronamoneda is an inflationary damper ."
Melconian estimated that inflation will accelerate due to the current high emission. And he argues that something must be done because "if not, the 5,000 bill will already be devalued, because inflation will come on account to eat it."
The difference with the patacones of the 2000s is that at that time they were issued because "you had no cash. This is different: I have to issue 3 billion, which is going to cause inflation, inflation is going to eat me by the peso and a third of what I have to issue it, I do it in a currency. The currency must be given a value that over time liquefies, it becomes extinct. And if there is an inflationary problem, the currency is a buffer of X inflation points in the future . It is not a bonus , nor does it pay interest, it liquefies against the peso, "he added. "If inflation is going to liquefy, that a large portion of the currency is liquefied before liquefying the peso," he added.
Are there chances of hyperinflation? "Hardly not today. Yes, there is a huge probability, depending on future economic policy," he said.
Regarding the debt and default in which Argentina entered as of Friday the 22nd, Melconian criticized Martín Guzmán's original proposal, which he described as a "paper" . "The little light ahead is that the government did not pay but it will fix. I suppose if there is a responsibility to look ahead and one wants to be president, the other minister, and they go to the votes, and it is their dream life, and all that generalized sanata is correct, they will fix. There is no way that leaves you well not fixing . "
"This minister (for Guzmán) went with an illogical thing, he was rejected and he failed and now politics will take over. On the other side they will say 'this is what we want and this is the paper that the minister presented with Stiglitz' (which he does time is on another channel) ".