> Argentina's room for maneuver is very limited. It's a small country
> with big debts. It has less wiggle room than a larger country, like
> Brazil. If it were to default as a conscious, explictly rebellious
> strategy, it would be screwed - frozen out of global markets, unable
> to finance the import of basic goods. Without a change in the
> creditor countries, or without the formation of a serious and large
> debtors' cartel, there's not much the Argentinas of the world can do.
Why can't Argentina, after a devaluation, pay for imports with the money it earns from exports? Why should it have to borrow? Especially if it taxes luxury imports.
Seth