Libertarianism: Milei's Example

Hoping for success in Argentina

Libertarianism is out of favor in the United States. Libertarians are anxiously watching President Javier Milei of Argentina. Can he enact libertarian policies? And will they work?

In an interview with Bari Weiss, Milei said,

I became president of a country which for a hundred years embraced these nefarious socialist ideas, which turned Argentina from being the world’s richest country into country #140. 

The second point is that when I came into office, I didn’t stop with the cultural battle. The things I said in Davos I had already been saying all along. But now as the first libertarian president in history, the reach is much greater. My mic is a lot larger. And a lot of people are awakening. In fact, when I started my political career, I said I wasn’t here to guide sheep, but to awaken lions. So what I am getting to see, fortunately, is that worldwide there are a lot of libertarian lions awakening. So even though the present may look somber, I think the roots of a much better future are flourishing.

In America, libertarianism naturally aligns with non-interventionism. In part, this is based on the pragmatic belief that the same government that we regard as clumsy at home is also clumsy when it goes overseas seeking monsters to destroy.

But for some libertarians, abstaining from foreign conflict is a principle. These libertarians see no distinction between good guys and bad guys in world politics.

Milei rejects that view. He says,

I can tell you that if you get the United States out of the role of the world’s policeman, the world would be even worse. Is it ideal? No. But in a world where others play by different rules, if you remove the United States and its role, you will end up encountering a much worse world.

In both Argentina and the United States, government spending is high, leading to large deficits. Milei believes that in the case of Argentina, this was leading to hyperinflation. The time was ripe for strong libertarian measures to shrink government.

In the United States, neither party is willing to curb government spending. In his first term, President Trump ran up the deficit, and all indications are that he would do the same in a second term.

I would guess that it will take at least two or three years for the private sector in Argentina to create enough jobs to make up for the public sector employment that Milei is slashing. I hope that the Argentinian people are patient enough to wait for this to happen. Meanwhile, they can enjoy the advantages of having a currency with much more stable purchasing power.

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