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idle and fond bondage

The new Argentina export tax on primary goods is four Pesos per dollar

In the Kirchner years, there was a 5% export tax on mining products, which was loudly booed by the industry. So when in February 2016 the newly inaugurated President Mauricio Macri scrapped the tax it was cheers all round and “oh isn’t Argentina wonderful now?”. And here’s exactly what Macri said when announcing the end of the tax, at a presser in the province of San Juan:
“Mining had begun to develop under clear rules and, unfortunately, more than 10 years ago somebody violated those rules and imposed an export tax on mining operations, snatching away resources from San Juan and taking them to the national coffers, which were resources that San Juan needed to keep growing. This is why I want to announce today that the export tax is finished.”
Today he has just reinstated the export tax on mining goods (and other primary exports such as wheat and soybeans), but not at a mere 5%. It’s set at 4 Pesos per US Dollar, which is 10.5% at today’s forex. Now just wait for the financial experts to applaud this move and tell you “it’s for the good of the country”. And while you’re listening, make a note of every person who tells you it’s just a temporary measure because it’s always handy to have a list of names who either know nothing about the subject or are plain straight lying into your face.

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