Paper short abstract:

After the election of Milei, Argentina has become an experimental site for inflation-tackling policies. This paper explores how ordinary Argentines are adapting to this new phase of monetary disorder, and how past experiences of inflation inform everyday coping practices and political critiques.

Paper long abstract:

The election of Javier Milei, the chainsaw-wielding anarcho-libertarian, to the Presidency of Argentina, promises to cement Argentina’s status as prime experimental site for inflation-tackling policies. During his opening speech, Milei stated that in the face of the existing ‘monetary disarray’ there is no other alternative than ‘adjustment’ and ‘shock’. Full dollarisation may not ensue as promised during the election campaign, but his regime quickly devalued the official peso by 50% and is promising to cut public spending by 5 percentage points of GDP which entails severely shrinking public sector employment and services for the population. Argentina, however, has a long history of inflationary crisis which dates back to the 1970s, with its worst episode occurring in 1990 when hyperinflation broke out and an annual rate of 5 digits was recorded for the first time in history. Our paper explores the role that inflation plays in Milei’s rise to - and exercise of - political power. We ask: how are ordinary Argentines adapting to this new phase of monetary disorder? What political critiques were important during the campaign and how have they changed since? And how do past experiences of inflation, demonetisation and money pluralism, and public sector cuts inform contemporary practices and critiques? How does everyday political talk reinterpret expert theories on monetary policy? In short, we want to explore the links between vernacular monetary understandings and pragmatics and political critique and contestation.