More on Argentina

In his harsh reaction to the Mexican oil reform that I posted below, Macario Schettino also mentions Argentina gobbling up its population's pensions. In case you missed it, here's Alvaro Vargas Llosa with more info:

I recently suggested that the U.S. government's bailout of the financial system, which includes the de facto nationalization of several banks, would arouse populists around the world and give them the perfect alibi to confiscate private property. President Cristina Fernandez de Kirchner of Argentina has been the first to confirm my prediction.

Terrified that she would not be able to pay off about $10 billion of public debt fast approaching maturity, Fernandez de Kirchner nationalized her country's private pension funds. The 10 affected funds constituted the biggest source of savings for Argentina's economy and the financial system's primary source of liquidity. With the stroke of a pen, the savings of 10 million people--about $30 billion--have been passed on to the Peronist government, which is sort of like putting the family jewels in Ali Baba's care.