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 Argentina: GDP

Updated:12/20/2013 2:44 PM
Analyst:Elena Resk in West Chester

First Take
The Argentine economy expanded 5.5% y/y in the third quarter, more than expected but down from 8.3% in the previous quarter. Domestic demand continued to be the main driver of growth in the third quarter, supported by expansionary policies ahead of the legislative elections. Growth will decelerate into 2014 as interventionism erodes confidence and holds back investment, inflation hurts competitiveness, and interest rates increase. As with inflation data, the International Monetary Fund and private analysts have put in doubt the veracity of GDP figures in recent years.

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