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Commentary notes that Argentina has around 30 different official and unofficial dollar exchange rates, following reports that the government was considering a currency merger with Brazil. The piece argues that multiple rates act as a hidden tax and that a currency union is impractical without monetary and fiscal discipline.
Multiple exchange rates encourage farmers to hold or delay sales of soybeans and corn, which can tighten export supply and support meal prices. A currency reform would change that export incentive.
euromoney.comRob DwyerFeb 6, 2023Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
