Argentina's Convertibility Plan Case Solution
This article discussesthe economical and political development in Argentina from 1989 to 1995, with a focus on the part of the currency board. Culminates in Argentine policy makers (Menem in particular) considering the best way to react to the tequila crisis at the center of 1995.Moreover, there is emphasis on the tradeoff between a fixed exchange rate to preserve price stability and the necessary high rates of interest that influence fiscal equilibrium. A rewritten version of an earlier instance.
This is just an excerpt. This case is about GLOBAL BUSINESS
PUBLICATION DATE: December 12, 2001 PRODUCT #: 702002-HCB-ENG
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