this post was submitted on 14 Aug 2024
41 points (87.3% liked)

World News

38979 readers
2843 users here now

A community for discussing events around the World

Rules:

Similarly, if you see posts along these lines, do not engage. Report them, block them, and live a happier life than they do. We see too many slapfights that boil down to "Mom! He's bugging me!" and "I'm not touching you!" Going forward, slapfights will result in removed comments and temp bans to cool off.

We ask that the users report any comment or post that violate the rules, to use critical thinking when reading, posting or commenting. Users that post off-topic spam, advocate violence, have multiple comments or posts removed, weaponize reports or violate the code of conduct will be banned.

All posts and comments will be reviewed on a case-by-case basis. This means that some content that violates the rules may be allowed, while other content that does not violate the rules may be removed. The moderators retain the right to remove any content and ban users.


Lemmy World Partners

News !news@lemmy.world

Politics !politics@lemmy.world

World Politics !globalpolitics@lemmy.world


Recommendations

For Firefox users, there is media bias / propaganda / fact check plugin.

https://addons.mozilla.org/en-US/firefox/addon/media-bias-fact-check/

founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
[–] AssaultPepper@monero.town 1 points 2 months ago* (last edited 2 months ago) (1 children)

From the Wikipedia link:

Option (a): A stable exchange rate and free capital flows (but not an independent monetary policy because setting a domestic interest rate that is different from the world interest rate would undermine a stable exchange rate due to appreciation or depreciation pressure on the domestic currency).

Option (b): An independent monetary policy and free capital flows (but not a stable exchange rate).

Option (c): A stable exchange rate and independent monetary policy (but no free capital flows, which would require the use of capital controls).

My money is on (a) since capital controls doesn't align with his libertarian platform. Do we know how quickly he'd have to announce his intentions?

[–] Gsus4@mander.xyz 2 points 2 months ago (1 children)

It sounds a bit like being a Eurozone country. Free capital flow, fixed exchange rate, no monetary policy. It can work well if you can keep trade balance, but you will be waiting to see what the Fed does and instead of inflation you may have wage stagnation or actual cuts to services to keep a balanced budget. It all depends on being able to export enough to have liquidity to run the economy?

[–] AssaultPepper@monero.town 2 points 2 months ago

The EU also took option (a) it says below so you're dead on.

He doesn't seem opposed to large cuts on services. Issue is if they can't produce enough goods will they eventually run out of services to cut 👀.

Also seems like stagnation is already at play:

But Argentine wages have remained stagnant or declined, with the monthly minimum wage for regulated workers just $264 as of this month, with workers in the informal economy often paid less.

Source