Sunday, March 30, 2014

GAHH! Argentina is so frustrated!...

...with their soaring prices. An increase in prices occurred following a 19% devaluation in January of Argentina's currency, the peso. Argentinean residents are trying to cope with one of the world's highest inflation rates, fueling social unrest, including a strike by schoolteachers and police sit-ins that led to widespread looting. Last year, Argentinians endured price rises of nearly 30%, according to an unofficial index published by opposition politicians. However, the government, which has been accused of manipulating economic data in the past, claims inflation only reached 10.9% last year. This year, inflation could reach a high of 45%.
The increase in prices has become a wearying feature of daily life. Some stores, the example given in the article was a butcher's store, have abandoned their price boards and instead improvise with a scrap of paper that cashiers update daily to keep up with prices. Women are beginning to take their former spouses to court to seek increases in alimony payments. Cafe owners are complaining that costumers are ordering less food so they can save their money. Store owners struggle to price imported goods, fearing that the peso will slip further and erode prices.
With inflation soaring, the government has placed price freezes on items like vegetables, meats, canned food, and even some school materials. Store owners that do not respect the freezes, or fail to stock the goods, will be subsequently fined or shut down by the government. While steps are being taken to keep the inflation under control, Argentinians are still weary about the peso.
Continue reading the article here if you're interested.

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