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Coronavirus Raises Concerns at Companies

Argentina is facing an early start of the influenza and dengue season with confirmed cases, and also confronting the threat of the coronavirus (COVID-19) with infected people coming from endemic areas or countries where the virus is active.

Published in El Cronista on March 03, 2020
Take China, for instance, that has virtually stopped many businesses as a result of measures that affect whole regions that are isolated in quarantine and militarized. There is a complicated panorama with confirmed cases and an increasing rate of infection and death in Iran, Italy, Spain, Japan, France, Congo, India, Thailand due to business trips or tourism; many crowded events have been cancelled, and meetings or large gatherings have been prohibited. In these last couple of hours shocking news have broken indicating that the Louvre Museum has decided to close as a prevention measure, and Tokyo Olympics or other sporting events that attract crowds are endangered. Seguir leyendo Coronavirus Raises Concerns at Companies

El coronavirus activa la inquitud en las empresas

Estamos en los comienzos de la temporada de la gripe (influenza) y con el Dengue con casos confirmados se agrega la amenaza del coronavirus “Covid 19” con contagios provenientes de zonas endémicas o de áreas o países con el virus activo.

Publicado en El Cronista, 03 de marzo de 2020
Basta con ver el panorama de China, que está virtualmente paralizada en muchas actividades, con medidas que abarcan regiones completas que están en cuarentena y militarizadas. Complican el cuadro los casos positivos confirmados con números crecientes de contagios y de fallecimientos, como son los ocurridos en Irán, Italia, España, Japón, Francia, Congo, India, Tailandia, con algunos contagios en viajes de turismo o de negocios, en donde se están cancelando eventos multitudinarios, y se prohíben reuniones o concentraciones. En estas últimas horas sorprendió entre otras la decisión de cerrar el Museo del Louvre como medida preventiva, y pone en riesgo las olimpíadas de Tokio, o eventos deportivos que generan concentraciones multitudinarias. Seguir leyendo El coronavirus activa la inquitud en las empresas

Flexicurity to Close the Circle of Inclusion

Argentina has virtually closed the circle of inclusion by covering its entire population as salaried workers or independent contractors, public servants at the municipal, provincial and national levels, unemployed people receiving aid programs, welfare recipients with expense reporting and ex gratia payments scheme participants.

Published in El Cronista on February 18, 2020
As a result, a part of the Argentine population gets income from the production of goods and services, and the rest are financed by welfare programs, public and private medical assistance, free education and food aid. The Supreme Court ruled in favor of extending welfare coverage to mothers of children under 5 who are under arrest with final sentence or in preventive detention.

This process of systematic inclusion is called “Flexicurity”, and the aim is to provide income to the entire population of a country through different subsystems so that nobody is excluded or marginalized. To this end, a flexible labor market is promoted with great upward career mobility, a very effective training and education program, an effective unemployment and outplacement scheme, in a context of growth (The Netherlands, Ad Melkert 1995). This development model is used in Denmark, Norway, Sweden and Finland. Please note that these countries have the highest per capita income rate in Europe and very small populations with the best quality of life. Seguir leyendo Flexicurity to Close the Circle of Inclusion

El modelo de flexiseguridad lleno el circuito de inclusión

Nuestro país ha completado su ciclo de inclusión prácticamente total al comprender a todos sus pobladores en ocupados dependientes o autónomos privados, empleados públicos nacionales provinciales y municipales, desocupados con subsidios y asistencia, subsidiados con cargo, y subsidiados graciables.

Publicado en El Cronista, 18 de febrero de 2020
Con ello una parte de la población recibe ingresos provenientes de una actividad productiva de bienes o de servicios, y el resto se los financia con planes sociales, asistencia médica pública y privada, educación gratuita, y asistencia alimentaria. La Corte Suprema extendió la cobertura de los planes sociales a las mujeres detenidas con pena firme o con prisión preventiva con hijos menores de 5 años. Seguir leyendo El modelo de flexiseguridad lleno el circuito de inclusión

Free Collective Bargaining But Without Economic Planning

Under the Prospect Theory, when people need to take decisions in situations where they should choose from high-risk alternatives, their risk aversion is greater than their anxiety to get gains (Daniel Kahneman, Nobel Memorial Prize in Economics in 2002).

Published in El Cronista on February 4, 2020

The Expected Utility Hypothesis says that under certain axioms of rational behavior, the individual will always prefer actions that maximize expected utility (the von Neumann-Morgenstern utility theorem). These are precisely the parameters used by unions in the context of crisis and uncertainty as a result of stagflation (recession + inflation). Their aim is to get as much as they can, as efficiently as possible, without any restrictions.

As a matter of fact, unions prefer avoiding more losses to acquiring equivalent gains. They’d much rather struggle to survive than venture to win and lose their political or economic power, or representation. This is a logical phenomenon in an economy where the only reason to get a pay rise is the loss of the actual value of the currency due to the destructive effects of inflation. The lack of an economic plan, which is sought-after by bondholders and creditors, shows that for the time being the only priority is to refinance maturing debt. Seguir leyendo Free Collective Bargaining But Without Economic Planning