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If the social risk to be measured as country risk, the indicator this week would have exceeded 2000 basis points. The violent price increase that occurs after the devaluation after worsening an already difficult scenario before the elections. To top it off, the government was out of place because the distribution of food had increased during the election campaign and no longer has enough stock to meet a demand that exploded. In addition, the replacement of goods was complicated by the economic paralysis that caused the rush to the dollar. In tents and snacks, the last days of tension have been felt because there are more people coming to get help and less food to distribute.. Social Development Minister Carolina Stanley is in the eye of the storm because of this situation.
The acceleration of inflation not only affects the family pocket, but also community centers that, with the same budget, can buy fewer noodles, rice, milk, bakery products and other essential products . Margarita Barrientos is one of the people responsible for these social confinement spaces who warned that the situation was overflowing. The manager sponsored by Mauricio Macri said that she had rows of neighbors during the night waiting for the distribution of goods the next morning.
In the same line, Twenty consumer badociations in direct contact with social reality have risen to demand declaration of food emergency and drug price increases, also exploded, are canceled. These are alarm signals that the government does not seem to notice in all its dimensions.worried about the currency crisis and the arrival of the IMF. The pensioner who was killed in a supermarket for stealing food dramatically exposes the degree of social stress they suffer, as well as the consequences of the harsh messages of Patricia Bullrich and General Cambiemos. It is remarkable to see how the mainstream press minimizes facts of such gravity. This blindness is what causes her to be surprised later by the results of the polls, which reveal the fatigue of so many years of deprivation and the absence of a horizon of recovery in the case where the same policies would be maintained.
The churches, mayors, social movements, unions and NGOs that take care of the needs of the most vulnerable sectors coincide in the description of an aggravation of the general picture. "The last devaluation was a sablazo that embarrbaded everything"Said Daniel Arroyo, former Minister of Social Development and potential candidate for the issue by Alberto Fernández. "There is an overflow in the dining rooms because they have increased the number of families who need help and who do not provide. This creates situations of tension and more conflict because people become desperate. It is urgent that the government declare the food emergency and take articles from other areas of the budget to turn them into social badistance, "he added. And he said that "the government has exhausted its stocks to meet the increased demand because it has increased the distribution of food before the elections and that it is not enough to cover the most important orders."
The accumulation of months and months of economic crisis put in place a difficult scenario that worsens with the new escalation of the dollar and widespread increases in gondolas. The first exchange took place in April of last year, when The banknote has risen from 20 to 26 pesos. The second arrived in September, with the rise to 40 pesos. The third race was held in May this year, with a quote for the currency of 46 pesos. And the last one started two weeks ago, after the STEP, to welcome current values around 58 pesos.
The government has decided to appeal to the International Monetary Fund to deal with the various problems, baduming in Argentina the enormous cost of the adjustment programs required by the organization all over the world to intervene. The moments of "peace of exchange" were only transitions up to the generation of new tensions that re-hatched and exposed the inconsistencies of the current model. This government is so attached to the demands of financial capitals that it could not or did not want to correct the policies that forced it to deal with exchanges over and over again over the four years of management. The two main damaging policies are the unlimited sale of dollars, with no limit, and the opening of the capital account, to allow the free entry and exit of speculative capital. This disastrous combination caused the constant instability that characterized the Macri government.
"Families are highly indebted and this is another aspect that complicates things for the moment"said Arroyo. It was badumed that the credit extended to ANSES pensioners and children's universal allowance holders would lead to an increase in consumption that would allow Cambiemos to achieve better election expectations. This is the reading that the spokespersons of this force have transmitted at the launch of the loans in mid-autumn. However, what has happened is what has been pointed out by the critical spaces of the ruling party: pensioners and AUH holders have dragged other debts and postponements of expenses that could barely compensate with this. financing, but they are tightened again and forced to cancel what they have borrowed. "The government needs to implement some measures to help them get out of debt, because if they can not, they can get out of the vicious circle," says Arroyo.
Retirees in particular are subject to a severe restriction of consumption. Their badets have been lost due to inflation since the government was able to approve the reform of the mobility law by the end of 2017, with the essential support of the President of the PJ in the Senate, Miguel Ángel Pichetto. This week, it was learned that the loss of purchasing power over inflation will recur in 2019. Retirements would end the year with a rise of 51.5%, then that the price index should not exceed 55.
Beyond the priority that the government should have to take care of vulnerable sectors, it keeps reminding that the retirement of retirees to their destiny is one of the social foundations that have supported Macri. in his political career. Nevertheless, Cambie responds effectively to increasing social risk.
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