What dangers the Bulgarian economy faces against Argentinas background?
– Argentina’s fiscal policy encountered major problems mainly because of the big deficits in the local finances. If the Bulgarian society affords the deficit it experienced prior to 1997, we’ll also witness a crisis no matter what the currency system is. In every household which spends more than it earns, there will be a crisis sooner or later. The board in Argentina allowed for a 10-year-long stability despite the leaning of the political class to manage the country’s finances in this way. For 5 years now this country’s finances have been managed with discipline, so that we are far away from the situation in Argentina. – About what should we be careful the most? – Every individual type of public policy should be professional and decent. Every change in the monetary policy might result in a devaluation of our currency. As soon as the monetary power in a state has allowed for its own currency to devaluate, it will immediately entail a devaluation of all savings. However, I don’t think t
