The recently elected President of Argentina, Javier Gerardo Milei, is championing extensive reforms set to unfold over a 35-year period. These reforms, delineated by \”La Nacion,\” encompass significant cuts in government spending, the eradication of the central bank, and the privatization of critical sectors such as railways, airlines, and oil companies.
In the wake of Milei\’s triumph in the 2023 elections, there arose a heightened interest in his political agenda. The \’La Libertad Avanza\’ party submitted a document outlining the fundamental ideological principles to the Electoral Chamber, a prerequisite for endorsing the candidacy of the liberal economist.
The opening paragraph delineates Milei\’s reiterated definition of liberalism, underscoring the importance of respecting others\’ lives, non-aggression, and the protection of rights to life, liberty, and private property. Core tenets include market autonomy, free competition, the division of labor, and social cooperation.
Following a comprehensive analysis, \’La Libertad Avanza\’ puts forth a sweeping reform plan unfolding across three successive stages, necessitating a 35-year timeline for complete execution.
The initial phase involves substantial reductions in government spending, tax reforms for lower taxes, enhanced labor flexibility to stimulate private sector employment, and a unilateral opening to international trade. This phase is complemented by financial reforms that advocate for the establishment of unregulated and free banking, along with encouraging free competition in the foreign exchange sector.
Concerning the immediate aftermath of Milei\’s government assuming power, the document outlines measures such as eliminating inefficient government spending, optimizing operations, and reducing staff. Milei commits to a 15% reduction in government spending and ministries, suggesting voluntary retirement, early retirement, and contract revisions for underperforming employees.
The economic agenda centers around the privatization of unprofitable state-owned enterprises, including Conicet, Incaa, Ferrocarriles Argentinos, Aerolíneas Argentinas, and YPF.
The document also addresses the agriculture and fisheries sector, proposing special treatment through concessions and privatizations. In the security domain, there are proposals for constructing correctional institutions based on a public-private management system, exploring the feasibility of lowering the age of criminal responsibility, and restructuring national defense, homeland security, and intelligence systems into a unified macro-system called the National Security System.
The stance on firearms ownership is explicitly stated, advocating for the lawful and responsible use of firearms by citizens. In the labor reforms section, priorities include promoting a new law on employment contracts without retroactive effects, replacing compensation without cause with an unemployment insurance system, and reducing taxes for employers.
In line with the overarching theme of tax reduction, the program emphasizes lower taxes for both workers and employers, with the aim of partially abolishing and reducing taxes to foster private business development and stimulate the export of goods and services.