Sector Público (ingles) archivos - Page 3 of 15

Sector Público (ingles)

THE FEDERAL ORGANIZATION MUST BE REBUILT

The government announced the reduction of discretionary transfers to provinces within the fiscal adjustment package. This reduces the fiscal deficit in the short term. But, to be sustainable in the medium term, a new tax and functional coordination agreement between the nation and the provinces is needed. (more…)

TO DISMANTLE LELIQS THE STATE MUST BE PUT IN ORDER

The enormous accumulation of leliqs and repos poses one of the most urgent challenges for the new government. This will not be solved with changes in monetary and exchange rate policy, nor with fiscal adjustment, but by a comprehensive reorganization of the State to put an end to the chronic fiscal deficit. (more…)

UNPARALLELED OPPORTUNITY TO REPLACE THE CO-PARTICIPATION

The income tax reduction impacts the provinces’ tax revenues. Instead of discussing compensations, this is the opportunity to reach a tax and functional coordination agreement including the distribution of tax sources and the replacement of co-participation by a Convergence Fund. (more…)

THE PENSIONS SYSTEM DOES NOT NEED ADJUSTMENT BUT ORDERING

The institutional mechanism that most compromises the functioning of modern societies is the pension system. As they are life-long rights, decisions made in the past generate fiscal commitments in the present. Pension system’s ordering today can improve future results. (more…)

THE INDEC REFLECTS ONLY A PART OF INFLATION

The inflation measured by the official agency does not reflect the increases repressed behind the price controls and the monetary emission contained by the Central Bank’s leliqs. The release of these containments will be very traumatic if it is not accompanied by a comprehensive reorganization of the State. (more…)

FISCAL CORRESPONDENCE INSTEAD OF TAX CO-PARTICIPATION

While some provinces file lawsuits before the Court questioning the co-participation, others warn that, if it were eliminated, they would not be able to pay the salaries of public employees. Co-participation cannot be fixed. It is necessary to adopt the rule of fiscal correspondence: the one who spends must collect tax. (more…)

PENSIONS PLUMMETED 32% IN THE LAST 6 YEARS

The macroeconomic disaster would be much worse if it were not for the fall in pension expenditure thanks to the drop in the real value of pensions caused by the high inflation. It is essential to organize the pension system instead of trying to freeze this situation by manipulating the pension indexing rule. (more…)

TAX EXEMPTION ARE A DERIVED OF THE TAX DISORDER

The national government sent to Congress a separate part of the Budget which lists tax exemptions that were not historically identified and proposes their elimination to facilitate reaching the fiscal surplus. This is another example of improvisation and opportunism in public policy management. (more…)

CHANGES IN INCOME TAX SHOW THAT THERE IS NO “RIFT” ON BAD IDEAS

In modern countries, income tax is a central source of State revenue. In Argentina –with the support of the right, the left, and the center– the Congress is preparing to practically eliminate it. One more proof that the problem in Argentina is not the “rift” but the lack of professionalism and demagogy. (more…)

LOWERING INFLATION MEANS THAT THE PENSION SYSTEM MUST BE ORDERED

The 2024 Budget presents implausible numbers. Even so, its calculations show that, when inflation goes down, pension expenditure goes up, making it difficult to achieve fiscal balance. This dilemma will not be solved by manipulating mobility again, but by putting the pension system in order. (more…)