How long before the Peso collapses (again)
On recent trip to Argentina I was surprised at how expensive it was, contrary to what I had heard and read. While there are some deals (subway less than a peso) it was really quite costly for a somewhat developed country.
Apparently, inflation is running at around 25-30% a year at least and this has cut away Argintina's big price advantage from after the last devaluation what with the exchange rate changing much more slowly than the price level.
I expect a tourist crash in B.A. once the pricing issue gets more publicity and erodes Argentina's rep as a bargain.
Along with the big drop in commodities prices (Argentina's big exports) I suspect this means a big time devaluation of the peso soon.
What do you think?