Inflation melts like snow in the sun

A year ago, the rock and roll president Javier Milei started in office. In a country plagued with hyperinflation, extreme poverty and unemployment. But Milei had a plan, the government needed to shrink hugely. He started with a massive layoff of directors, officials and other workers that were in excess of the government’s staff.

Later on he decided to cut taxes with 30 %, because the government was in need of far less money. This all created a spiralling effect on inflation, inflation started to drop, because labour costs dropped. And it also created new jobs, so less welfare was needed for people without jobs. Which once again led to less spending for the government.

Inflation is still dropping right now, and will probably keep on dropping in the next months and years. Because these are only the starting effects of his economic reforms.

First ridiculed and feared, now…

The Economist titled a year ago that he was a danger for democracy, now they see him as the saviour of a country. It’s shows how narrow minded the media are, but also that the conventional economic models are just not cutting it anymore. We need less government and more freedom of trade and entrepreneurship. That’s what Milei is showing the rest of the world!

Sincerely,

Pele23

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