Law to regulate prices and production is passed by Argentinian government

Yesterday the Argentine parliament passed a law that seeks to regulate prices and production as a weapon against inflation. This law has been criticized by employers. Furthermore, two other rules that establish the creation of a prices observatory and a special privileges for consumer protection were approved.

The so-called Group of Six (G6) composed of bankers, industrial tradesmen, builders and the Rural Society, anticipated they plan to denounce this law for being, according to the group, unconstitutional.

The government defended the new law saying it is more benevolent than the one that existed since 1974.  The General Attorney, Julian Alvarez, said: “Before you could imprison an entrepreneur, now you can not. Before you could raid a business without court approval, now you cannot. Before you could close definitely, now you cannot. Before, the Secretary of Commerce could ban the export and import, now you cannot. Before you could control prices and now these are monitored and judicial authorization is needed.”