Argentina freezes prices to break inflation spiral

Associated Press ^ | February 4, 2013 | ALMUDENA CALATRAVA

[LucianOfSamasota]

BUENOS AIRES, Argentina (AP) — Argentina announced a two-month price freeze on supermarket products Monday in an effort to break spiraling inflation.

The price freeze applies to every product in all of the nation's largest supermarkets — a group including Walmart, Carrefour, Coto, Jumbo, Disco and other large chains. The companies' trade group, representing 70 percent of the Argentine market, reached the accord with Commerce Secretary Guillermo Moreno, the government's news agency Telam reported.

The commerce ministry wants consumers to keep receipts and complain to a hotline about any price hikes they see before April 1.

Polls show Argentines worry most about inflation, which private economists estimate could reach 30 percent this year. The government says it's trying to hold the next union wage hikes to 20 percent, a figure that suggests how little anyone believes the official index that pegs annual inflation at just 10 percent.

The government announced the price freeze on the first business day after the International Monetary Fund formally censured Argentina for putting out inaccurate economic data. The IMF has given Argentina until September to bring its statistics up to international standards, or face expulsion from the world body in

[LucianOfSamasota]

President Cristina Fernandez and her economy minister, Hernan Lorenzino have also announced plans to decree a new gravitational constant and to revise (downwards) the speed of light in a vacuum.

As you can see, totalitarian socialism can solve any problem.

[Defiant]

If only other smart people had thought of that through the ages, we would never have had inflation! (hits self on side of head!).

There is a spot for these economics geniuses in the Obama Administration.

[Ruy Dias de Bivar]

Did they give out WIN buttons? (Whip Inflation Now)

[thackney]

Brilliant idea. They can replace the inflating prices with product shortages instead.

[Paradox]

Why does it seem that Argentina is always having such problems? What is unique to them vs the rest of Latin America?

[Stentor]

Hello shortages. You wouldn’t think that even the bimbo old lady of a Argentine “strongman” could be this stupid. She’s almost as stupid as Pelosi but without the Fed and a reserve currency to back her up.

[Red Badger]

The government says it's trying to hold the next union wage hikes to 20 percent, a figure that suggests how little anyone believes the official index that pegs annual inflation at just 10 percent.

I think I see the problem........

[353FMG]

The result will be that, within days, all supermarkets will be empty of any products.

[dfwgator]

The “Invisible Hand” will always win.

[MrB]

How many times does a leftist have to see it happen?

Price controls = shortages.

They aren’t nearly as bright as they believe themselves to be.

[Kartographer]

Why not it always works out so well!

On Wednesday, Zimbabwean shoppers walk past empty supermarket shelves in Harare, where a price freeze is resulting in shortages.

[Red Badger]

The price controls are to keep the populace sedate.

Once the shortages happen they can blame the producers and then let loose the pent up anger of the populace on them........

[Kartographer]

Preppers’ PING!!

[Tzimisce]

And here come the shortages....

[Liberty Valance]

Margaret Thatcher - ‘The trouble with socialism is that eventually you run out of other people’s money’

[Kartographer]

Please delete double post. Thank you

[P.O.E.]

I actually remember Nixon announcing his wage/price freeze

(Yes, I'm approaching geezerhood).

[SampleMan]

Coming soon to a neighborhood near you.