Key points are not available for this paper at this time.
Significance The primary surplus (0.6% of GDP) was driven by a 35% real fall in primary spending, which offset a recession-induced 4.5% drop in revenues. Month-on-month inflation has also fallen, from 25.5% in December to 11.0% in March, but the fiscal adjustment has deepened the economic downturn, and real wages and unemployment have deteriorated. Impacts Absent an economic rebound, social conditions will deteriorate, affecting Milei’s popular support. Though agriculture, energy and mining may boost growth, their share in total output and jobs is not enough to trigger a significant rebound. Economic reform delays, ongoing exchange controls and the government’s attachment to an exchange rate anchor will obstruct recovery.
A Tue, study studied this question.