Argentina's President Seeks Economic Fix, Targets Troubled National Airline
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Argentina's new president plans to stop subsidizing the state-owned airline Aerolineas Argentinas, which has lost $8 billion since 2008.
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The airline's unions want continued subsidies, arguing the airline would fail without them, but the airline is bloated and inefficient.
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Shutting down state enterprises like Aerolineas Argentinas could help Argentina control high inflation and economic contraction.
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Argentina is facing major economic problems - 140% inflation, -5% GDP growth, and 40% poverty rate.
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While Aerolineas Argentinas has value, Argentina needs policies that attract airlines, not subsidize inefficient ones; the airline could be privatized or shut down.