Alison Post and Tomás Bril Mascarenhas study how Argentina's subsidies for energy and transportation are constraining policy moving forward.
Argentina’s economy is in trouble. The Argentine peso saw a 90-percent devaluation from April 2018 to September 2018. Inflation rates are projected to be 30 to 40 percent in 2018 and what was seen as a potential growth year is now forecast to see a 1-percent contraction of its GDP. The country’s economy is at its most fragile since the 2001-2002 economic crisis, and many Argentineans face the possibility of poverty as the country tries to find a way out of its economic woes.