Paul Krugman, Nobel Prize winner in economics, suggested that Argentina adopt the euro before the dollar

Under the various proposals of dollarization for the Argentine economy, Paul Krugmanwinner b Nobel Prize in Economics In 2008, he indicated that the country may eventually want to adopt euro As an official currency, depending on its size from foreign trade.

Argentina Trades almost twice as much European Union what with United State. In any case, they should adopt the euro.” Krugman On his social networks, in an exchange conducted with him Brad Setseran economist Council on Foreign Relations.

previously, cutter He stated that “If United State And Canada Not a perfect currency area, so no way around that North and South America It would be an ideal cash area.” South American exports are not cycle bound United Statebut for the Chinese / global commodity cycle. The dollar is not a commodity currency“, he added.

the Argentine exports In june 2023 they were from 33.509 million US dollarsaccording National Chancellery. Of this amount, the United State represents a 7.9% of sales, which places it in third place in terms of economic importance after Brazil And China. On the other hand, the European Union to focus 10.1% affiliate argentine exports, Although the trade balance was in deficit: 14.6% of national imports They came across this organism.

Moneda Sur: The common currency between Argentina and Brazil

the “Southern currencyIt is the name given to the proposal of a common currency between two major economies latin america. This year it was checked by two presidential candidates Union for the Fatherland: Sergio Massa And John Grabois.

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in turn Minister of Economyin January 2023 Massa He gave an interview to the Financial Times, where he confirmed that Southern currency will work in parallel with Argentine peso and l Brazilian Realbut that the necessary parameters for the file common currencywhich includes everything from tax issues to the size of the economy and the role of Central Banks. “It will be a study of trade integration mechanisms,” the official said.

for his part, John Grabois Detailed display of a coin of the same name, “Southern Coin”in the course of his election campaign. and understand that “dead weightSocial leader aims to create a new currency, a Common currency with sister countrieswith what We share the business cycle“.

Highlight the similarities between the currency and the euroConsider the candidate Southern currency It will allow “to stabilize the economy, to end economic inflation and strengthening wages“. “the Southern currency It can be quickly implemented in two consecutive steps. First, l commerce between countrieswe save fx, and secondly, as a file common currencyHe confirmed.

In another context, Lola da Silva He supported a common currency with the countries that make it up brix. Why does Brazil need dollars to trade with China and Argentina? This can be done in local currencies. Europe did it with him euro We are more than half of humanity. “This is why I say we should discuss the issue of having a currency for negotiation between us,” the Brazilian president said in a press conference.

Aileen Morales

"Beer nerd. Food fanatic. Alcohol scholar. Tv practitioner. Writer. Troublemaker. Falls down a lot."

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