Economic Libertarian President at Work in Argentina

[Boydstun]

 

Milei's First Six Months

[EC]

He's an anarchist even if some of his ideas are okay. But still an anti-capitalist with no principles like the vast majority of "libertarians" who are as much our enemies as members of the false Left/Right dichotomy in all its evil collectivist/statist/altruist forms.

Edited June 10, 2024 by EC

[DavidOdden]

One of the less-appreciated benefits of the Clinton administration was his recognition that deficit spending was not a good thing, which is fairly shocking and revolutionary given that he was a Democrat. In his reign, we actually had a short period of non-deficit government spending. One positive sign w.r.t. Milei’s administration is that in his first three months there was a consecutive monthly surplus for the first time in a dozen years. The step of devaluing the currency by fiat is a highly-improper choice – this is basically a matter for the market to determine. However, reduction of government spending is a good thing, though spending is not per se the greater evil, taxation is, and there doesn’t seem to be any mention of a “reduction in force” in that realm. Although taxation is fundamental evil, spending is the fundamental problem.

There was a similar event in Kenya, which they elected a seemingly more business-oriented president. An independent problem there was that they have a huge international debt, and because of highly-reasonable fears that they would default on a payment (on a government bond) which comes due this summer, so the currency lost value massively on the currency markets. This guy Ruto negotiated a huge bond to cover the upcoming payment, and suddenly the currency recovered – investors now believe he will pay the debt. The magic recovery was not just due to kicking the can down the road, it was substantially due to an obscure detail, that the bond that they issued is very valuable. The big 10-year bond had a return of over 18%. Comparable-length US government bonds are in the neighborhood of 4.5%, Pakistan is in the area of 14%, Kenya is promising a bit less than a few countries (Turkey, Egypt, Nigeria, Zambia), the almost-highest being Turkey at 28%, however Argentina wins the prize for highest return at 40% for a 1-year bond. These are obviously ludicrous rates – debts that can never be paid. Kenya, Nigeria and Argentina are doomed, they have contracted an uncurable terminal disease.

The cause of this terminal disease is not understanding the proper role of government. It is not “taking care of the people”, such thinking is utterly deleterious to the welfare of the people.

[tadmjones]

In what sense do you mean taxation is a fundamental evil? Government revenue accumulation is necessary, that fact is not a moral question. Is it a semantic thing , that tax has an emotional component ? I would agree that any phrase that tries to equate govt spending with ' an investment in ..' is a twisting of logic to an extant that borders on evil as all govt spending is pure consumption.

But there are legitimate functions of govt and for the functions to have relevance there must be capital consumption in reality., a govt of ,by and for the people needs to be paid for by the people(that's all there really is).

[EC]

1 hour ago, tadmjones said:

In what sense do you mean taxation is a fundamental evil? Government revenue accumulation is necessary, that fact is not a moral question. Is it a semantic thing , that tax has an emotional component ? I would agree that any phrase that tries to equate govt spending with ' an investment in ..' is a twisting of logic to an extant that borders on evil as all govt spending is pure consumption.

But there are legitimate functions of govt and for the functions to have relevance there must be capital consumption in reality., a govt of ,by and for the people needs to be paid for by the people(that's all there really is).

Government taxation is theft and theft is a moral issue and is evil. Governments can only obtain funds via voluntary donation or fees for specific services. 

[DavidOdden]

1 hour ago, tadmjones said:

In what sense do you mean taxation is a fundamental evil?

As he said...

27 minutes ago, EC said:

Government taxation is theft and theft is a moral issue and is evil.

I am more that a little surprised that you were unaware of this.

[tadmjones]

50 minutes ago, DavidOdden said:

As he said...

I am more that a little surprised that you were unaware of this.

Okay , but we do stipulate that a functioning government will consume capital, yes?
 

And that being an empire er I mean major world power , is not conducive to liberty.

[Boydstun]

 

"Argentina's Senate has narrowly approved President Javier Milei's controversial economic reform package." –BBC

On what ought to be, in a free society: Taxes, Assessments, and Initiation of Force (Author "Guyau" of the linked 2007 post was me, and I was the creator of the 1987 theory of the land state from which this solution to government financing emerged for a possible future free society.)

Edited June 13, 2024 by Boydstun