Banking Crises in Argentina

Essay specific features

 

Issue:

Business

 

Written by:

Betty W

 

Date added:

November 8, 2013

 

Level:

University

 

Grade:

B

 

No of pages / words:

4 / 974

 

Was viewed:

5828 times

 

Rating of current essay:

 
Essay content:

A fixed exchange rate was maintained due to the fact that most of the lent dollars were borrowed to entities earning in pesos. 2. Government Risk. Public banks were holding a large share of government paper in their assets. Argentina suffered from the transition of a dictatorship to a democracy. The dictatorship left the country with huge amount of debt...
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The dictatorship left the country with huge amount of debt. When democracy was reinstated in 1983, the new plans to institute the Argentine's economy demanded more debt. Soon, the interest payments on the acquired debts were so high that the government was unable to keep up with them. Inflation stretched to 200% per month in 1989...
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