Comments on: Cry All You Want http://dailyreckoning.com/cry-all-you-want/ Entertaining Ideas on the Economy, Markets, Gold, Oil and Investing Strategies. Sun, 21 Mar 2010 17:51:25 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Gustave http://dailyreckoning.com/cry-all-you-want/#comment-6405 Gustave Fri, 24 Apr 2009 22:58:58 +0000 http://dailyreckoning.com/?p=15188#comment-6405 The thing is, argentinian farmers are as inept and corrupt as any other local industry. It's a myth that they are the backbone of the economy. Before 2001 a lot of farmers were almost bankrupt since commodity prices were low. So they borrowed money from public banks, money which they couldn't pay back. That was one of the reasons for the crash that happened in 2001. The crash allowed farmers to pay back their loans using devalued pesos instead of dollars...that's why they lobbied for the coup the etat that removed de la rua. Argentinian farmers are mostly protectionist nationalists. If judged by free market standards, they stink. They are being taxed heavily now but they have no moral ground to complain. The state gives and the state takes. The thing is, argentinian farmers are as inept and corrupt as any other local industry. It’s a myth that they are the backbone of the economy.

Before 2001 a lot of farmers were almost bankrupt since commodity prices were low. So they borrowed money from public banks, money which they couldn’t pay back. That was one of the reasons for the crash that happened in 2001. The crash allowed farmers to pay back their loans using devalued pesos instead of dollars…that’s why they lobbied for the coup the etat that removed de la rua.

Argentinian farmers are mostly protectionist nationalists. If judged by free market standards, they stink. They are being taxed heavily now but they have no moral ground to complain. The state gives and the state takes.

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