Javier Milei predicted a “social disaster” and said that the solution against inflation is to dollarize the economy

In the midst of the escalation of inflation in recent weeks and the beginning of a “war” by the government to combat it, Libertarian MP Javier Milei said that the best thing to counter the rise in prices is to dollarize the economy.

On Tuesday, the economist also pointed to the President, noting that “Alberto (Fernández) is the invisible man, he does not exist”; and he warned that the current situation “is much worse than the crisis of 2001.”

“Today, the monetary imbalance that this economy has repressed an inflation of 1,000% between everything it has issued and kept under the cushion in the format of the Leliqs, everything it has issued since this government arrived and the entire monetary imbalance, there is a hidden situation whereby the price level could be multiply by up to 11 times,” he analyzed.

“We are going to live a social disaster,” warned the national legislator of La Libertad Avanza. In this sense, he predicted a scenario of “hyperinflation”, also because “people want to get the pesos off their backs”, beyond the emission level.

In dialogue with A24, Milei criticized that from the perspective of Peronism “this is settled by more public spending, with more fiscal deficits and more monetary emissions”, that is, “more gasoline to the fire”. “They don't realize the barbarities they are doing, they don't even have a dimension of how gross they are, they don't have intellectual capacity,” he lashed out at officials of the national government.

“From the second half of the 20th century until now, except for convertibility, there were always price controls. When was there no inflation in Argentina? During convertibility,” he remarked.

When asked whether the solution is to dollarize the economy, Milei replied: “I am much more radicalized, the solution is more than dollarization. The exercise is called dollarization but it is a much more complex question about how it is done to eliminate the Central Bank.” “We Argentines have already chosen the currency we want: the dollar,” he said.

Faced with the reality that the country is going through, Milei reiterated that she is launching for a presidential race. “If the Argentines decided, I would be President,” he reaffirmed. The economist commented again that he is already building his “shadow cabinet” with four ministries: “Economy, Foreign Ministry, what has to do with social welfare and what has to do with infrastructure”.

Not to mention names, he said that his Minister of Foreign Affairs is someone “super top, a well-known and very prestigious person”.

With her mind set on contesting the country's presidency, Milei commented that weeks ago she held meetings with those who would be “the heads of the Ministry of Economy”: “We were discussing the entire economic program for 11 hours, of which three were dedicated to dollarizing.”

“You definitely have to dollarize, my commitment is to end inflation,” he emphasized. “If we dollarize, the workers' wages will go up like a diver's fart,” he added.

Despite the failure of the exit from convertibility during the 1990s, Milei asked “not to burden Menem for the ineffectiveness of De la Rúa”. And he also referred to Domingo Cavallo, the father of that policy and official of both governments: “Cavallo con Menem was the best Minister of Economy in history and with De la Rúa it was a disaster”. “I was in a center-left government,” excused the author of the playpen.

If Argentina were to move towards dollarization, according to the national deputy, there would be “an 18-month transition of inflation into dollars, but wages will fly.”

KEEP READING: