Hosting Milei at the White House last week, Trump threatened Argentinian voters with withdrawing aid if his ally was defeated at the ballot box.The election in question is for the legislation, not a re-elect for Milei. Earlier in the article:
“If he loses, we are not going to be generous with Argentina,” Trump said.
Milei, once a global poster boy for budget-slashing libertarian politics, is heading into the polls diminished by his failure to stabilize the ailing peso, despite spending nearly all the Central Bank’s dollar reserves to prop it up.The problem with libertarianism is, quite literally, you eventually run out of your Central Bank's dollar reserves.
Inflation, which Milei had initially managed to stem after taking office in December 2023, has been rising again month-on-month.
I dropped my monetary economics class in grad school, but I remember enough to know that trying to maintain a currency value with finite and limited dollar supplies wasn't going to work.