Argentina Introduces 2,000 Peso Banknote. It’s Worth About $4 | Hacker News Reader

Argentina Introduces 2,000 Peso Banknote. It’s Worth About $4

bloomberg.com

24 pointsmfiguiere22 comments

I was thinking of going to Argentina later this year. Would that be a bad idea?

As I understand, the economy mostly runs on gray market US currency (gray market because the Argentine government doesn't acknowledge real exchange rates and sometimes takes capricious action against US currency use.)

There is the official exchange rate set by the government and a number of other rates for various purposes.

The two of relevance to someone visiting from the US on vacation are the "blue dollar" (a black market exchange rate that's basically double the official rate) and the MEP rate (exchange rate used by some, but not all, purchases on American credit cards).

You can read more about these here (https://solsalute.com/blog/money-in-argentina-currency-excha...).

I went to Buenos Aires on vacation earlier this year (late February / early March). I had a wonderful time and would have no hesitation about going back.

There were a few annoyances, such as the different exchange rates and it being nearly impossible to buy a subway pass, but otherwise no more challenging than anywhere else.

Highly recommend it.

Friend of mine went last month, seemed to have no issues.

In Turkey, our largest denomination banknote is 200 TRY. It was launched in 2009 and was equivalent of 130 USD back then.

Right now it's equal to 9,3 USD.

High inflation is a horrible thing to go through.

How do people survive ???. I know in Venezuala people barter and trade used good bypassing the formal economy.

https://archive.is/CylSl

I wonder if their economy has an impact on the price of lithium and whether or not this was made on purpose to counter China's plan, if so, then by whom and how?

I still find it hard to believe that they reached triple digit inflation, especially now that COVID is in the past..

That reminds me of DRC Congo, lot of gold, yet a very poor country, at the mercy of foreign interests

> That reminds me of RDC Congo, lot of gold, yet a very poor country, at the mercy of foreign interests.

No, at the mercy of inept and foolish local politicians that foreign interests take advantage of.

That's true, that's perhaps what I should have wrote

According to [1] they may be not so much inept as heavily coerced under threat of violence.

[1]. Confessions of an Economic Hit Man by John Perkins https://en.wikipedia.org/wiki/Confessions_of_an_Economic_Hit...

Inflation has been going on for decades way before lithium was a factor. Covid is not what caused it.

Inflation has run at ~2-3% since the 1990's.[1] And according to that chart, inflation took off in 2020. You might want to check your reasoning on this issue.

[1]https://fred.stlouisfed.org/series/FPCPITOTLZGUSA

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