confidence in the national currency

confidence in the national currency

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Although it is possible that Argentina may converge toward an equilibrium in which the dollar becomes the preferred currency for everyday transactions and financial contracts –that is, an endogenous dollarisation– the experience of other countries that went through inflationary crises followed by successful stabilisation plans suggests that, in the medium and long term, de-dollarisation is a more natural consequence of price stability and the recovery of confidence in the national currency. The cases of Peru and Uruguay are illustrative of two highly dollarised economies that implemented successful stabilisation plans. Figure 6 shows that in both countries, whose stabilisation programs began in 1990 and 1991 respectively, it took several years for inflation to fall below สล็อตเว็บตรง