Quote:
Originally Posted by revlis87
Could anyone break down in simple terms what the sudden problem is with the Argentine economy/dollar regulations and why this may lead to something catastrophic like hyper-inflation? Consider your audience someone who worked very hard to get a B- in economics 101 in college, so the simpler the better.
A group of mother****ing financists (anonymous, of course, nobody knows who and how many they are) are trying to make a profit out of monetary exchange.
They buy lots and lots of dollars in a short term, so it raises weirdly. Then, supported by the media willing to **** this government and the groups favoured by the raise, they start a rumour: "the dollar is going to skyrocket, a crisis is coming".
People get scared and well, you know the rest. That's why regulations started.