gold backed argentine peso?

  1. 12,905 Posts.
    lightbulb Created with Sketch. 69
    Nestor Kirchner became president of Argentina today. A couple
    of months ago he proposed returning his country to a gold
    standard, as this Bloomberg dispatch from March reported:

    "Buenos Aires, March 13 (Bloomberg) -- Nestor Kirchner,
    seeking to become president of Argentina, will try to
    return the country to a monetary system where the peso
    is backed by gold reserves, the Buenos Aires Herald
    said, citing Kirchner's economics adviser.

    "The return to a gold standard would be part of a
    policy involving 'neither dollarization nor multiple
    currencies,' the paper cited Kirchner's adviser, Jose
    Maria Las Heras, as saying.

    "The policy would aim for the peso's value to
    eventually converge with a single Mercosur currency,
    Heras was cited as saying. The Mercosur region
    includes Argentina, Uruguay, and Paraguay."

    Imagine Argentina liberated from the U.S. dollar
    and returning to its roots, which made it among
    the wealthiest countries for a while. The country
    was named after silver, and not so long ago a
    common phrase was: "Rich as an Argentine."

    If Kirchner plans to try to live up to his ideals,
    he could become the most dangerous revolutionary
    in the world, the world's greatest anti-imperialist.
    Let's hope that Argentina's presidential security
    force stays alert.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.