Economic policies in argentina

ECONOMIC POLICIES IN ARGENTINA

Throughout the period from 1810 to these days our country has experienced different changes involving growth and expansion and crises as well. The importance of landas a factor of production, immigration, exports, capital from abroad, emergence of different social classes, investments or lack of it will be dealt with in this article that aims at showing brieflythe main models or economic policies adopted along these centuries. The main features of each model will be stated together with their effects on society. Here is a short description of the followingperiods: export-led growth, import substitute industrialization, monetarist financial liberalization, convertibility and Argentine crisis (2001).


Export-led Growth (1880-1930)

The export-ledgrowth consisted of investments from and exports to Europe. After the refrigerated shipping was created in 1876, exports diversified into meat and cereals and some processed goods like flour andlinseed oil. These were sent off to Europe, where they were very successful because of high living standards (“Belle Époque”). In return, Great Britain, France and Germany invested in the development ofArgentina. All these countries made direct investments such as railways.
Another factor of great importance for the economic expansion was the arrival of European immigrants who worked on the land.The agro-industry was not the only one to grow in this period. The industrial sector also grew with the creation of some factories in charge of producing food and textile products.
Thiseconomic policy created lots of jobs especially for the immigrants, and most people could expand through this process. The period between 1880 and 1930 was very important for Argentina’s economy and itsformation as a country.



Import Substitute Industrialization (ISI) – (1930-1945)

ISI was the economic policy adopted between 1930 and 1945 and one of the most important changes in...