Tourism will generate 1.5 million jobs in Argentina in 2024

[Betsy Ross]

I would say in many places they are about 100% to 150% more. Of course there are exceptions to this and where prices have gone up more than that. But it depends when in 2023 you are referring to. Prices were very cheap last year. I spent June and July 2023 in Buenos Aires and prices were good but the exchange rate was only around 500 pesos to $1 USD at the beginning of the trip then going up to 600 pesos to $1 USD by the end. Then in November the exchange rate was already 1,000 pesos to $1 USD. It was insanely cheap to eat.

I posted about the "Chori Index" (comparing it to Big Mac Index).

Chori - Delicious Choripan Restaurant in Palermo Soho

blood sausage? yep, Morcilla made into choripan is Morcipan i guess - it's too squishy to be in a sandwich. but i like it on its own in a barbecue mix of meats! sounds gross, tastes great (maybe from my scottish DNA or something) 5% a month yeah i read 4-5% monthly recently...

www.expatsba.com

In November 2023 it was only 3100 pesos for a Chori Cerdo Classico and if you look now it's 9,700 pesos for the same thing. About 210% inflation on the same thing. And the USD is about the same as it was in November 2023 now. So that is a big increase. It is important when looking at price comparisons you're looking at the exact same thing.

What I notice in the USA is things are deceptive because at the grocery store and even at restaurants, they are giving much smaller portions. At Costco many items might be the same thing but instead of a 10 count they are now doing 7 count so prices have risen drastically. Or at the same restaurant portion sizes are much smaller.

I try to save receipts once in a while when I dine out so I can compare it and see the true inflation on things. I was with @Johnny and we went to Arambu Bis which is a great spot in Recoleta with great food. We got 2 gourmet burgers, foi gras, 2 bottled waters, 1 Pepsi Light. Grand total? $17 USD. The exchange rate was about the same. I got 1,050 pesos to $1 USD. Food is never getting that cheap ever again in Buenos Aires.

I would guess it's probably 250% higher than these prices I paid in November 2023.

View attachment 8180

I love this place! Yes food was very cheap last year. I doubt we will see this again.

 

[Johnny]

I would say in many places they are about 100% to 150% more. Of course there are exceptions to this and where prices have gone up more than that. But it depends when in 2023 you are referring to. Prices were very cheap last year. I spent June and July 2023 in Buenos Aires and prices were good but the exchange rate was only around 500 pesos to $1 USD at the beginning of the trip then going up to 600 pesos to $1 USD by the end. Then in November the exchange rate was already 1,000 pesos to $1 USD. It was insanely cheap to eat.

I posted about the "Chori Index" (comparing it to Big Mac Index).

Chori - Delicious Choripan Restaurant in Palermo Soho

blood sausage? yep, Morcilla made into choripan is Morcipan i guess - it's too squishy to be in a sandwich. but i like it on its own in a barbecue mix of meats! sounds gross, tastes great (maybe from my scottish DNA or something) 5% a month yeah i read 4-5% monthly recently...

www.expatsba.com

In November 2023 it was only 3100 pesos for a Chori Cerdo Classico and if you look now it's 9,700 pesos for the same thing. About 210% inflation on the same thing. And the USD is about the same as it was in November 2023 now. So that is a big increase. It is important when looking at price comparisons you're looking at the exact same thing.

What I notice in the USA is things are deceptive because at the grocery store and even at restaurants, they are giving much smaller portions. At Costco many items might be the same thing but instead of a 10 count they are now doing 7 count so prices have risen drastically. Or at the same restaurant portion sizes are much smaller.

I try to save receipts once in a while when I dine out so I can compare it and see the true inflation on things. I was with @Johnny and we went to Arambu Bis which is a great spot in Recoleta with great food. We got 2 gourmet burgers, foi gras, 2 bottled waters, 1 Pepsi Light. Grand total? $17 USD. The exchange rate was about the same. I got 1,050 pesos to $1 USD. Food is never getting that cheap ever again in Buenos Aires.

I would guess it's probably 250% higher than these prices I paid in November 2023.

View attachment 8180

I was amazed with how cheap food was during my trip. Everything almost felt free. I remember this place @earlyretirement ! Great meal. Even if they are 250% more expensive than last year it would still be worth it to me. The food was delicious. Bummer that the meals will be more expensive. I will do my fair share to eat my way in January to improving the economy of BA!

 

[import export]

That is eye popping Vince, what would you say the average increase in restaurant prices has been versus a year ago?

His claim of 350% isn't true. But @CraigG many places are 200% to 250% higher in pesos than they were last year. Prices were insanely cheap last year. But some places are getting very expensive now. I don't think it makes sense trying to compare them to the States because locals don't make anywhere near the salaries of the States.

Many expenses keep going up. Some things are slowing down but others just keep going up with no slowdown.


@TonyTigre I think maybe you are reading his post wrong. I think Wally is right that. The guy is saying he got the same exact meal at La Cabrera at EZE. It doesn't make sense he would be comparing another restaurant. But it would be more convincing if he had an itemized receipt for the same meal. I do know that last year food prices were unbelievably cheap. I fly out of EZE twice a year and I have been to the restaurant he posted about and it is probably up 250% from last year to this year. The receipt he posted is about what I paid for a steak. I think mine was $32 dollars and this was a few weeks ago. Last year I think I paid $13-$14 dollars for the same steak.

I fly in and out of EZE because I come from Brazil often for work. 350% isn't correct but I can confirm that the prices from the bottom last year at La Cabrera at EZE are probably 200+% higher now vs. 2023 prices.

I do not know of any restaurants that have raised their prices 350%. I would call BS on that but plenty of places have gone up 200% from last year.

I would say in many places they are about 100% to 150% more. Of course there are exceptions to this and where prices have gone up more than that. But it depends when in 2023 you are referring to. Prices were very cheap last year. I spent June and July 2023 in Buenos Aires and prices were good but the exchange rate was only around 500 pesos to $1 USD at the beginning of the trip then going up to 600 pesos to $1 USD by the end. Then in November the exchange rate was already 1,000 pesos to $1 USD. It was insanely cheap to eat.

I posted about the "Chori Index" (comparing it to Big Mac Index).

Chori - Delicious Choripan Restaurant in Palermo Soho

blood sausage? yep, Morcilla made into choripan is Morcipan i guess - it's too squishy to be in a sandwich. but i like it on its own in a barbecue mix of meats! sounds gross, tastes great (maybe from my scottish DNA or something) 5% a month yeah i read 4-5% monthly recently...

www.expatsba.com

In November 2023 it was only 3100 pesos for a Chori Cerdo Classico and if you look now it's 9,700 pesos for the same thing. About 210% inflation on the same thing. And the USD is about the same as it was in November 2023 now. So that is a big increase. It is important when looking at price comparisons you're looking at the exact same thing.

What I notice in the USA is things are deceptive because at the grocery store and even at restaurants, they are giving much smaller portions. At Costco many items might be the same thing but instead of a 10 count they are now doing 7 count so prices have risen drastically. Or at the same restaurant portion sizes are much smaller.

I try to save receipts once in a while when I dine out so I can compare it and see the true inflation on things. I was with @Johnny and we went to Arambu Bis which is a great spot in Recoleta with great food. We got 2 gourmet burgers, foi gras, 2 bottled waters, 1 Pepsi Light. Grand total? $17 USD. The exchange rate was about the same. I got 1,050 pesos to $1 USD. Food is never getting that cheap ever again in Buenos Aires.

I would guess it's probably 250% higher than these prices I paid in November 2023.

View attachment 8180

Thanks for posting this example of Chori. I go there all the time. You can see from your example what I am referencing with 200%+ price increase in a year. That is common. This receipt from Bis Restaurant on Vicente Lopez is also a good example of how inexpensive it was last year. That same meal now is probably 215% higher. A coke at most restaurants is about 3,000 pesos now. A burger there is about 20,000 pesos now.

 

[Digital Nomad]

The claim of 350% increase is false or very misleading at best. That poster was comparing the prices of two different restaurants from two different airports, with the key difference being that one appears to be a full table service restaurant and the other a quick service place. Look carefully at the photos... the plates, cups, utensils, etc...

Yeah it isn't the same location so not an exact comparison but the prices were probably similar. Although I think at EZE the prices might be higher. I don't know anywhere that had 350% increase. Probably the absolute highest is maybe 250% but probably 200% is the norm which matches what the inflation was in the past year.

Prices have finally stopped going up. A few restaurants tried raising prices but I see them rolling it back because business slowed down. I am renting an Airbnb by Don Julio and it's not nearly as busy as last year. Some restaurants are barely making it. Many people aren't going out like they did before.

 

[Uncle Wong]

The claim of 350% increase is false or very misleading at best. That poster was comparing the prices of two different restaurants from two different airports, with the key difference being that one appears to be a full table service restaurant and the other a quick service place. Look carefully at the photos... the plates, cups, utensils, etc...

Same chain I think but different airports. I guess the question to ask is what was the difference in prices from one to the other. Both are steak and the same restaurant I think. Not sure what the difference might be on prices. Assuming they were the same it's not 350% as @TonyTigre mentioned.

Still 266% difference is brutal. I have seen enough cases of 200% inflation which is crazy if you think about it. It seems like at most salaries have only doubled so this is unreal. I guess the only people going are people that are wealthy or tourists. I keep reading that tourism has fallen off a cliff so these places charging these kinds of prices must be hurting.

 

[Canada Goose]

The claim of 350% increase is false or very misleading at best. That poster was comparing the prices of two different restaurants from two different airports, with the key difference being that one appears to be a full table service restaurant and the other a quick service place. Look carefully at the photos... the plates, cups, utensils, etc...

I read that post on X and was thinking the same as you @TonyTigre that he is very bad at math! I get his point about the big price increases. Prices seem to be at least 200% more than last year. I see some posts online about prices and I think many of the more cost conscious nomads are going to leave if they haven't already. I found prices too cheap last year. I felt so sorry for locals I was sometimes giving tips that were huge % relative to total amounts. In Ubers and taxis I was doubling the amount as it was so low. My local friends hated me for doing that but I couldn't resist!

 

[TonyTigre]

The facts about the post where that poster claimed 350% increase are clear. All you have to do is look at the photos of the receipts and the food on the table.
1. He was clearly comparing January 7th, 2024 and December 4th, 2024. Not even comparing 2023 vs. 2024. The receipts have dates on them.
2. They are two totally different restaurants, not the same chain franchise, Again, look at the receipts.
3. One is a full table service restaurant and the other is a quick counter service restaurant based on the photos of the food that showed the material of the plates, cups, utensils, etc...

It's ridiculous to claim that prices at the restaurants went up 350%, or even 266% between Jan 7th and Dec 4th 2024 when cumulative official inflation between that timeframe was only about 80%.

-------------
Unrelated to that specific post which was comparing changes from 2023, but on the subject of year over year comparison (2023 vs. 2024):
1. When we say price increases from 2023 vs. 2024, it's important to compare prices between the same month in both years. It's a huge difference to compare January or July 2023 vs. December 2024 instead of comparing December 2023 vs. December 2024.
2. As you continue comparing price increases between Jan 2024 vs, Jan 2025, Feb 2024 vs. 2025, Mar 2024 vs. 2025, etc... you'll see the year over year percentage decline drastically.
For example, these are my estimates for year over year inflation comparisons for the next 6 months.
168% for Nov 2023 vs. Nov 2024
120% for Dec 2023 vs. Dec 2024
88% for Jan 2024 vs. Jan 2025
70% for Feb 2024 vs. Feb 2025
58% for Mar 2024 vs. Mar 2025
50% for Apr 2024 vs. Apr 2025

 

[Johnny]

The facts about the post where that poster claimed 350% increase are clear. All you have to do is look at the photos of the receipts and the food on the table.
1. He was clearly comparing January 7th, 2024 and December 4th, 2024. Not even comparing 2023 vs. 2024. The receipts have dates on them.
2. They are two totally different restaurants, not the same chain franchise, Again, look at the receipts.
3. One is a full table service restaurant and the other is a quick counter service restaurant based on the photos of the food that showed the material of the plates, cups, utensils, etc...

It's ridiculous to claim that prices at the restaurants went up 350%, or even 266% between Jan 7th and Dec 4th 2024 when cumulative official inflation between that timeframe was only about 80%.

-------------
Unrelated to that specific post which was comparing changes from 2023, but on the subject of year over year comparison (2023 vs. 2024):
1. When we say price increases from 2023 vs. 2024, it's important to compare prices between the same month in both years. It's a huge difference to compare January or July 2023 vs. December 2024 instead of comparing December 2023 vs. December 2024.
2. As you continue comparing price increases between Jan 2024 vs, Jan 2025, Feb 2024 vs. 2025, Mar 2024 vs. 2025, etc... you'll see the year over year percentage decline drastically.
For example, these are my estimates for year over year inflation comparisons for the next 6 months.
168% for Nov 2023 vs. Nov 2024
120% for Dec 2023 vs. Dec 2024
88% for Jan 2024 vs. Jan 2025
70% for Feb 2024 vs. Feb 2025
58% for Mar 2024 vs. Mar 2025
50% for Apr 2024 vs. Apr 2025

What is your experience with price increases in BA @TonyTigre? What are you seeing at the restaurants you go to? I haven't been back since November of last year. What kind of inflation are you seeing?

 

[Vero]

The facts about the post where that poster claimed 350% increase are clear. All you have to do is look at the photos of the receipts and the food on the table.
1. He was clearly comparing January 7th, 2024 and December 4th, 2024. Not even comparing 2023 vs. 2024. The receipts have dates on them.
2. They are two totally different restaurants, not the same chain franchise, Again, look at the receipts.
3. One is a full table service restaurant and the other is a quick counter service restaurant based on the photos of the food that showed the material of the plates, cups, utensils, etc...

It's ridiculous to claim that prices at the restaurants went up 350%, or even 266% between Jan 7th and Dec 4th 2024 when cumulative official inflation between that timeframe was only about 80%.

-------------
Unrelated to that specific post which was comparing changes from 2023, but on the subject of year over year comparison (2023 vs. 2024):
1. When we say price increases from 2023 vs. 2024, it's important to compare prices between the same month in both years. It's a huge difference to compare January or July 2023 vs. December 2024 instead of comparing December 2023 vs. December 2024.
2. As you continue comparing price increases between Jan 2024 vs, Jan 2025, Feb 2024 vs. 2025, Mar 2024 vs. 2025, etc... you'll see the year over year percentage decline drastically.
For example, these are my estimates for year over year inflation comparisons for the next 6 months.
168% for Nov 2023 vs. Nov 2024
120% for Dec 2023 vs. Dec 2024
88% for Jan 2024 vs. Jan 2025
70% for Feb 2024 vs. Feb 2025
58% for Mar 2024 vs. Mar 2025
50% for Apr 2024 vs. Apr 2025

Thank you @TonyTigre for pointing this out. I am getting tired of some expats and foreigners crying everyday how expensive things are getting. They weren't concerned about us last year when we were suffering huge inflation. They came with their informal dollars and life was cheap. Now they know how we feel! I am not arguing that inflation hasn't been bad but I don't know any restaurants that have gone up 350%. Many categories have gone up including public transportation and medical premiums but if anyone can show me anything else.

I hope and pray your numbers are correct Tony. Seems like the professionals and big American banks are using those kinds of estimates for next year.

 

[Vince]

Agree it is fair to compare same exact thing at same places. I mentioned already I haven't seen 300% type increases anywhere on food and places that have tried to price higher seem to be coming back down. My healthcare premium has gone up 225% from December 2023 to December 2024. That is painful. But inflation is slowing down. I don't have to deal with it for a while in Argentina but now will deal with it in the States. We rented out our place to family members in BA so I hope once I am back inflation is below 50% a year. Crazy as that sounds.

 

[import export]

Agree it is fair to compare same exact thing at same places. I mentioned already I haven't seen 300% type increases anywhere on food and places that have tried to price higher seem to be coming back down. My healthcare premium has gone up 225% from December 2023 to December 2024. That is painful. But inflation is slowing down. I don't have to deal with it for a while in Argentina but now will deal with it in the States. We rented out our place to family members in BA so I hope once I am back inflation is below 50% a year. Crazy as that sounds.

I think the sooner some expats complaining over increased prices the better. This is the new reality that the prices last year were not realistic and those prices will probably never exist again in USD prices.

 

[JonToronto]

We agree with you @Betsy Ross that it is fair to put an apples-to-apples comparison. We just posted this on X.

https://twitter.com/x/status/1866220309352988840

I like this Choripan index! I go to Chori all the time and have noticed the price increases all of this year. It is good to see it go down. That is probably as good of an index to use as any for inflation. Of course there are a lot of tourists that go there so maybe that skews things but it is a good example to see how much a restaurant can raise their prices without going out of business. Their choripan is good but it has gotten expensive this year. The last time I went it was slower. They used to have a line out the door and standing room only.

I doubt we will ever see food as cheap as last year again in dollar terms. The true test will be if places go out of business before the economy can heat back up. Thank you Tony for posting your comments. Also thanks to everyone sharing pricing information. That is the only way we can track true inflation.

 

[Larry]

According to my friends on the ground in BA tourism already is suffering. My friends cousin owns a restaurant and she is saying business is down about 40% from earlier this year. Airline tickets aren't cheap but part of the sting was the affordable prices in BA. Now it seems like a lot of places have prices higher than Europe or US. I'm not saying it isn't worth it but the numbers speak for themselves if less tourists are coming.

Tourism is suffering terribly. And why not? With an unrealistic value on the peso! People outside of Argentina speak of the Milei Miracle. I always laugh and it is my friends asking that live outside of Argentina. I tell them there is no miracle. One of my friends here in Argentina, Carlos who knows Argentina well often times explains to me that this has all been tried before with a former Minister of Economy - Martinez de Hoy who had very similar policies in places that Milei does.

Everyone when I tell them that argue with me that Martinez de Hoy did not have a fiscal surplus. I asked ChatGPT about this and here is the response. Some of the things will shock you as they are the same things Milei is trying to do now. Hopefully Milei has different outcomes but we all know he will take on even more debt with the IMF again.

Question: Did Martinez de Hoy have a fiscal surplus?

Answer:

No, José Alfredo Martínez de Hoz did not achieve a financial surplus during his tenure as Minister of Economy in Argentina from 1976 to 1981. In fact, his economic policies led to significant financial problems and a massive increase in Argentina's external debt.

Economic Policies and Their Impact

Martínez de Hoz implemented a series of economic reforms that had far-reaching consequences:

1. Financial liberalization
2. Opening of the economy to imports
3. Reduction of export taxes
4. Liberalization of prices and rents
5. Elimination of subsidies and social programs
6. Wage liberalization
7. Significant borrowing from the IMF

These measures, rather than improving Argentina's economic situation, resulted in:

- A sharp decline in national industrial production
- Increased inequality and poverty
- High inflation rates
- A dramatic increase in external debt


Debt Explosion

One of the most significant outcomes of Martínez de Hoz's policies was the explosive growth of Argentina's external debt:

- At the beginning of his tenure in 1976, Argentina's debt stood at approximately $9.7 billion[6].

- By the end of the military dictatorship in 1983, the debt had skyrocketed to $45.1 billion[6].


This represents a staggering increase of over 365% in just seven years.

Long-term Consequences

The economic model implemented by Martínez de Hoz had lasting effects on Argentina's economy:

- It marked the end of the import substitution industrialization model[4].

- It initiated a process of financial valorization that destroyed much of the productive apparatus[4].


- The financial system became increasingly concentrated, privatized, and controlled by foreign entities[2].



In summary, rather than achieving a financial surplus, Martínez de Hoz's economic policies led to a significant deterioration of Argentina's financial situation, with consequences that continued to affect the country long after his tenure ended[1][4][6].


Sources


[1] [PDF] un quiebre olvidado: la política económica de martínez de hoz https://cdi.mecon.gob.ar/bases/doc/aaep/cong/00/muller2.pdf


[2] La "pequeña revolución" de Martínez de Hoz - Leyes de la Dictadura https://www.lasleyesdeladictadura.com.ar/index.php?a=ReadArticle&article_id=3


[3] José Alfredo Martínez de Hoz - Wikipedia, la enciclopedia libre https://es.wikipedia.org/wiki/José_Alfredo_Martínez_de_Hoz


[4] El modelo económico de Martínez de Hoz | A 45 años del inicio del ... https://www.pagina12.com.ar/331557-el-modelo-economico-de-martinez-de-hoz


[5] El negocio financiero del "crawling peg" y el regreso de a "La tablita ... https://www.dataclave.com.ar/econom...-de-martinez-de-hoz_a671e2b3fbc47701e5321cbb3


[6] ¿Quién es José Alfredo Martínez de Hoz? https://observatoriodeladeuda.ulp.e...blico--¿Quien-es-Jose-Alfredo-Martinez-de-Hoz


[7] Superávit fiscal por ajuste a jubilaciones, provincias y gasto social https://www.perfil.com/noticias/eco...-jubilaciones-provincias-y-gasto-social.phtml


[8] ¿El retorno de Martínez de Hoz? - El Economista https://eleconomista.com.ar/economia/el-retorno-martinez-hoz-n62577


[9] En octubre el Sector Público Nacional volvió a registrar superávit ... https://www.argentina.gob.ar/notici...vio-registrar-superavit-financiero-por-523398


[10] Argentina registrará "importante" superávit financiero en octubre https://www.reuters.com/latam/negocio/355RYPNPG5KSRGPTBIXQEHDUAU-2024-11-12/

 

[Avocado]

Martínez de Hoz implemented a series of economic reforms that had far-reaching consequences:

1. Financial liberalization
2. Opening of the economy to imports
3. Reduction of export taxes
4. Liberalization of prices and rents
5. Elimination of subsidies and social programs
6. Wage liberalization
7. Significant borrowing from the IMF

These measures, rather than improving Argentina's economic situation, resulted in:

- A sharp decline in national industrial production
- Increased inequality and poverty
- High inflation rates
- A dramatic increase in external debt


Debt Explosion

One of the most significant outcomes of Martínez de Hoz's policies was the explosive growth of Argentina's external debt:

- At the beginning of his tenure in 1976, Argentina's debt stood at approximately $9.7 billion[6].

- By the end of the military dictatorship in 1983, the debt had skyrocketed to $45.1 billion[6].


This represents a staggering increase of over 365% in just seven years.

Long-term Consequences

The economic model implemented by Martínez de Hoz had lasting effects on Argentina's economy:

- It marked the end of the import substitution industrialization model[4].

- It initiated a process of financial valorization that destroyed much of the productive apparatus[4].


- The financial system became increasingly concentrated, privatized, and controlled by foreign entities[2].

Read this is verbatim what Milei is doing! Now he is going to go to #7 and get more $$$$ from IMF. I don't think IMF will give too much money this time. At least I hope not. I hope they can fix this without no more debt!