Country Dictionary

A fork of Rural Dictionary

Mileise

The hyperinflationary economic collapse brought about in Argentina since late 2023, by newly-elected far-right President Javier Milei - mainly by way of shock devaluation, price deregulation, and the defunding of subsidies (all by decree).

The stated goal is to force Argentina's dollarization - but Milei himself appears ignorant of the fact that he'd have to cover 45 trillion pesos (between deposits and cash), making the goal unreachable without pulverizing the country's economy.

Prices have almost doubled in three months, while wages have barely budged - so it's small wonder that (already struggling) Argentines are spending 30% less than before this MILEISE.

by ruckman February 17, 2024

Mileise

A combined hyperinflation and depression, typically caused by shock devaluation of the currency and wide-reaching deregulation by decree.

Refers to the economic collapse in Argentina, following the November 2023 election of far-right demagogue Javier Milei - but may apply to similar crises elsewhere.

"It's Saturday at 4 pm - and the supermarket's almost deserted!"

"Small wonder - given this damned Mileise."

by ruckman March 16, 2024

Mileise

A combined hyperinflation crisis and depression - such as what Argentina has been experiencing since the November 2023 election of Javier Milei.

"Recession? This is a real Mileise. I was just at the supermarket, and it was almost deserted - even though it's Saturday afternoon!"

by ruckman March 23, 2024

carry trade

Carry trade is an investment consisting of borrowing at a low interest rate to invest in an asset providing a higher rate of return, typically for less than a year.

Carry trades often involve borrowing in hard currency (such as dollars, euros, british pounds, or yen) to invest in high-risk, high-interest notes issued by third world countries.

As these investments are typically not sustainable for the issuing country, most such carry trades are cashed out (re-converted into dollars) within a year - during which net returns of 10% to 50% can often be earned.

A disastrous carry trade developed in Argentina during the Macri presidency (2015-19), as both local and foreign investors took advantage of notes with annual yields averaging over 80%. The trick was re-converting the notes into dollars before the inevitable devaluations, in which the investment could lose 20% in a day.

by ruckman December 24, 2019