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The state manages nearly half the GDP

The public sector never had so many resources and, paradoxically, never accumulated so many questionings from society about the quality of the services provided.  There are families migrating to private education, health and security and even self-defense organizations or the self-generation of electricity with the use of generators. Posing the size of the state as a ideological principle is pointless.  Citizen’s quality of life depends on intelligent, transparent and professionalized governance. 

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2 out of 3 public school students have low proficiency in reading

The 30 years of democracy are being celebrated in one of its worst moments. The institutional degradation reached such a point that police mutinies spared along the country that led to grave acts of vandalism are tolerated. The malpractice in public administration drives to growing taxes and a worsening quality in public services, such as education. Facet to vulnerability generated by the lack of the state some families have recurred to the private sector, but this is a partial solution which raises inequality.

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Cordoba´s police salary soared 130% in the last decade

The delayed arrival of the Gendarmerie to appease the civil unrest in Cordoba led to chaos causing a deep social disruption. This is another piece of evidence showing that enlarging the public sector without strategic sight and poor management does not lead to better public services, but rather in many cases it makes them worse. For the public sector to operate promoting quality of life it has to stop being the scope where different stakeholders struggle for the appropriation of public funds.

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VER

Subsidies and new pensions explain 60% of increase in public spending

The extraordinary growth of public spending in recent years is the main cause of high inflation and exchange rate volatility. Curiously the areas which are the main contributors to the fiscal overflow and need more reforms are not directly affected by the cabinet change. Without a revision of public spending decisions, which are currently made with an important share of demagogy, improvisation and little responsibility, it will not be possible to stop the loss of reserves and stimulate the economic growth.

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VER

Chile is the most developed country in Latin America

Improvisation, opportunism and lack of professionalism in the management of important issues for the future of the country, as the drug policy, show the deep institutional degradation suffered by Argentina. The contrast with Chile is remarkable, where political dynamics have successfully placed the country on a path of sustained economic and social progress in democracy. The Chile’s strategies are not directly transferable to Argentina, but there is much to learn from this small neighboring country. 

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Fiscal deficit is explained by subsidies to companies

Through a norm thought to be used only in case of emergency –a decree of necessity and urgency– the government made ​​explicit that the public spending is growing out of control. The fiscal deficit is one of the main causes of inflation, which put pressure on the exchange rate. Even with some mitigating measures, such as the introduction of a multiple exchange rate system, the pending problem is still the high fiscal deficit. Since it´s no longer possible to increase the tax burden, the only solution is to reduce subsidies to public and private companies.   

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CLARIN Group controls 60% of cable TV

The initial permissiveness for a single economic group to achieve an exaggerated media concentration and the subsequent untimely interventions aimed at correcting this distortion, demonstrate the absence of a modern and effective state.  The cost of this institutional degradation is enormous.  For this reason, a broad political agreement among all political parties should be reached to rebuild the state with emphasis on sound designs of regulatory frameworks, independent control bodies and professional staff.     

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VER

Anses will lose more than half of the funds allocated to PROCREAR

Lack of housing is a severe problem that impairs many household’s quality of life. This explains the high expectations generated by the PROCREAR plan which provides subsidized loans financed directly with pension funds to some families chosen by a lottery. Besides being partial and inequitable, the plan accelerates the onset of an upcoming pension crisis like the ones that have happened thanks to similar initiatives in the past. A genuine solution to the housing problem requires eliminating inflation to regenerate a private market for long-term mortgage. 

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7 out of 10 poor people live in the interior of the country

The electoral campaign is dominated by candidates from the City of Buenos Aires and Great Buenos Aires. This occurs in a context of unprecedented concentration of public funds at the central government, being most of them spent on the City and Great Buenos Aires. However, severe deprivation hits much harder inside the country.  This is a costly contradiction that helps dodge important issues on the electoral debate, like the highly regressive economic subsidies.

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VER

45 cases against Argentina remain unresolved at the ICSID

Argentina is ready to accept 5 adverse verdicts at the ICSID and pay for rights trampled by policies executed after 2002. This abrupt change in attitude suggests that the policies carried out in the last decade were guided mainly by improvisation and lack of expertise than by ideological conviction. Anyhow, the important issue is that this precedent makes clear that an enormous effort will be necessary in order to resolve the remaining disputes. 

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VER