PINAR DEL RIO


support babalú


Your donations help fund
our continued operation

do you babalú?

what they’re saying


bestlatinosmall.jpg

quotes.gif

activism


ozt_bilingual


buclbanner

recommended reading





babalú features





recent comments


  • jsb: I use Marta’s recipe.

  • Gallardo: Please, how much is a Venezuelan citizenship worth these days? NOTHING. Who wants one? NO ONE.

  • Humberto Fontova: Naturally the most popular (among Cuban politiqueros and wannabees) act by Batista (abrogating the Platt Amendment) was...

  • asombra: Cuba’s political class, such as it was, could be seen as its Achilles’ heel. Apart from exceptional cases, it was...

  • asombra: Montaner lives in Spain, and I expect he identifies more with Spaniards than with “those people” and is more in his...

search babalu

babalú archives

frequent topics


elsewhere on the net



realclearworld

Argentina descends deeper into the pit of Castro-Communism

Belen Marty in PanAm Post:

Argentinean Senate Introduces Sweeping Soviet-Style Economic Plan

Dictatorship-Era Law of Supply Not Interventionist Enough for Kirchner

Chief of the Argentinean Cabinet of Ministers Jorge Capitanich.

In yet another aggressive move against private enterprise, Argentinean officials introduced a new bill to the Senate on August 5: the New Regulation of Production and Consumption Relations.

This legislation aims to replace the current governing Law of Supply by establishing limits on prices, production levels, and profit margins, and has already received harsh criticism from certain industries.

The Kirchner administration’s goal with this proposal is to “prevent abuse and the misappropriation of the value-chain surplus.”

The existing law has been in place since the military dictatorship of 1974, which established prison sentences for business owners convicted of “induced shortages.” The principal difference with the government’s new proposal is that it provides further state control over the market in the form of price controls. Once signed into law, it will legally codify the government’s current agreement with suppliers and distributors of products subject to the Careful Prices program.

“It is essential to observe the behavior of the price system and the extent to which economic concentration allows certain economic groups to abuse their dominant position,” reads the proposal.

In addition, the bill further defines the state’s role in “defending the interests of consumers in order to make the price and quality of services consistent with offers proposed by companies.”

Total Market Control

Article 2 of the bill would grant the Commerce Secretariat the authority, when “strictly necessary,” to “establish profit margins, reference prices, and maximum and minimum price limits at any stage of the economic process.” It will also be granted the authority to dictate policies governing the trade and distribution of production, and command the continued production of certain items.

The same article allows the secretariat to assign “volumes of production, manufacture, sale, or offering of services.”

Under Section E, it is granted the power to request “all documentation regarding the commercial transactions of businesses or economic agents” and allows the agency to “order the annulment of concessions, privileges, tax regimes, or special credits.” It further grants the Commerce Secretariat the ability “to seize, appropriate, and even sell goods and services that are scarce or in violation, without prior expropriation proceedings.”

Continue reading HERE.

H/T Fausta

1 comment to Argentina descends deeper into the pit of Castro-Communism

You must be logged in to post a comment.