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Milei's Argentina Offers Terrifying Glimpse of Trump's Project 2025
Elon Musk has already told you what Trump has planned will cause "temporary hardship." Argentinians living under their new libertarian masters can tell already you already what that pain and suffering feels like.
Nov 07, 2024
As the world absorbs the shockwave of Donald Trump’s win in the US presidential election, the playbook for his second term, designed by a handful of right-wing extremists, is already underway in Argentina.
Project 2025 is set out in a nearly 900-page ‘Mandate for Leadership: The Conservative Promise,’ produced by the Heritage Foundation, a right-wing U.S. think tank, as a ready reckoner for the incoming Trump administration. It details authoritarian tactics that exist in various parts of the world, from attacking public education to dismantling policies to tackle climate change to restricting the rights of women, LGBTIQ+ people, migrants, workers and Black people. But if there is one country already trying some of Project 2025’s most extreme policies to weaken the state and render the enjoyment of rights obsolete, it is Argentina.
“If you have any doubts about how Project 2025 would be implemented, you have to look at what has happened in the last year in Argentina,” human rights lawyer Paula Ávila-Guillén, told me in a thought-provoking interview. She is the executive director of the Women's Equality Center (WEC) which works on communication strategies on reproductive health and justice in Latin America.
I knew what was happening in my country Argentina. A 30% cut in state spending and an eleven percentage point increase in poverty in less than a year don’t go unnoticed – even if you don't live there. Nor do the struggles that family and friends go through in a society already used to economic crashes. Still, Ávila-Guillén’s provocation prompted me to delve into the way Project 2025 is being carried out back home.
When Milei took office, he warned the Argentine people that their economic plight might briefly worsen under his harsh measures. This is exactly what millions are now suffering: more poverty and recession.
Project 2025 has been spearheaded by the Heritage Foundation, but includes an advisory board with more than one hundred other Christian right and far right groups and dozens of former Trump officials.
“It is not enough for conservatives to win elections. If we are going to rescue the country from the grip of the radical left, we need both a governing agenda and the right people in place, ready to carry this agenda out on day one of the next conservative administration,” the Heritage Foundation says on its website to introduce Project 2025.
In the months leading up to election day, as Project 2025’s authoritarian goals were increasingly documented by the press, hate watch groups and trade unions, Trump tried to distance himself from it.
Javier Milei, president of Argentina since December last year and an emerging figurehead of the global far right, has never mentioned Project 2025. But he had been looking to establish ties with the Heritage Foundation since at least 2023, according to documents submitted by a lobbyist to the U.S. Department of Justice.
And a copy of the ‘Mandate for Leadership’ was handed to Milei by Heritage’s executive vice-president Derrick Morgan when the two met in Washington in February for the Conservative Political Action Conference (CPAC), according to Argentina’s government website which lists gifts received by the president.
A central goal of Project 2025 is to “dismantle the administrative state” allegedly co-opted by the left or wokism. It entails disbanding federal ministries and agencies, cutting public funding for health, education and welfare, and eliminating programs and resources to combat gender-based violence, discrimination, pollution and climate change.
If there is one country already trying some of Project 2025’s most extreme policies to weaken the state and render the enjoyment of rights obsolete, it is Argentina.
Milei has worked fast in his first ten months in power and has followed this script entirely. The argument for many of his new measures has been the need to lower public spending to balance a lopsided economy, with an annual inflation at 211% and a huge debt owed to the International Monetary Fund. There is nothing wrong with cutting superfluous spending of course, but Milei has gone so much further than anyone might have initially imagined, in what many have dubbed his “chainsaw-style approach” to reducing the size of the state.
“I love being the mole inside the state,”I Milei said in an interview in June. “I'm the one destroying the state from within”.
“I love being the mole inside the state. I'm the one destroying the state from within”
Milei
Milei has made an unprecedented cut to all public spending at close to 30%. He cut investment in education by 40%, denied increases to pensions, cut access to life-saving drugs for cancer patients, defunded the science and technology system and universities, and laid off almost 27,000 public employees.
He closed the public media and froze food distribution to soup kitchens. Now, he’s set to sell-off public companies in the fields of nuclear energy, aviation, fuel, mining, electricity, water, cargo transport, roads and railways.
Milei has eliminated nine ministries, including the Ministry of Women, Gender and Diversity and the Ministry of Education— something that the Mandate for Leadership mentions and Trump has also spoken about.
He has dismantled all gender policies and defunded services including those for survivors of domestic and sexual violence. Last year, more than 170,000 people accessed these services, while official figures show that a femicide is committed every 35 hours in Argentina. It is now unclear whether anyone will continue to keep track of these statistics.
He also closed the Institute against Discrimination, Racism and Xenophobia, which he called a “sinister body used for ideological persecution.” Project 2025 authors would no doubt be delighted. Their blueprint for Trump goes to great lengths to explain how every diversity, equity and inclusion (DEI) policy, program and fund must be removed.
The ‘Mandate for Leadership’ details the need to assemble an army of loyalists from day one to carry out this task of reducing the state. The Heritage Foundation has a database of some 20,000 people in the U.S. who would make up a transitional staff for Trump. But it would require firing tens of thousands of career civil servants to replace them with people loyal to their ideology and ban public employees’ right to unionise.
Milei is actively persecuting civil servants who don’t follow his mindset. In a letter to the diplomatic corps, he demanded those who don’t align with his foreign policy ideas to “step aside,” specifically referencing his plan to repudiate the UN's Agenda 2030 which governments have signed to combat poverty, inequality and environmental destruction.
Days later, in a statement, he announced a purge: “The executive branch will launch an audit of the career staff of the foreign ministry with the aim of identifying promoters of anti-freedom ideas.”
War on gender
According to Project 2025, the next US president must “remove from every existing rule, regulatory agency, contract, grant, regulation, and federal law the terms sexual orientation and gender identity, diversity, equity, and inclusion, gender, gender equality, gender equity, gender, gender-sensitive, abortion, reproductive health, reproductive rights.”
Abortion is mentioned 199 times in the document, including proposing a federal ban, increased criminalization, more restrictions on providing care for miscarriages and obstetric emergencies, defunding emergency contraception and strict surveillance systems on people who have abortions or suffer miscarriages.
Heritage also wants to impose its worldview across borders: restore the so-called ‘Mexico City policy,’ which prohibits any U.S. public funding to foreign non-governmental organizations if they include any abortion-related activity—even if they do so with their own funds.
The right to abortion, legalized in 2021 in Argentina, is in danger under Milei. His party introduced a bill to repeal abortion which he’s referred to as “aggravated murder.” He’s also defunded the distribution of abortion pills and contraceptives.
Milei eliminated a program to prevent teenage pregnancy and has not set aside any funds in the 2025 budget for comprehensive sex education—which is mandatory by law and considered essential to prevent child abuse. Instead, authorities hired the Chilean Catholic organization Teen Star, that promotes abstinence, for training teachers in charge of CSE.
Milei banned the use of gender inclusive language in public services, and put a Catholic lawyer, Ursula Basset, in the foreign ministry to review all the country's positions on gender and climate change. At the last Organization of American States (OAS) General Assembly, Basset stymied the negotiations by demanding the removal of “LGBTI people,” “gender,” “tolerance,” “climate change,” and “families” from agreed intergovernmental statements.
“Argentina was the only G20 country to oppose the Ministerial Declaration on Gender Equality,” signed last month in Rio, Ávila-Guillén told me. The disagreement stemmed from the fact that “family care” was defined as work and the term “reproductive rights” was mentioned. Argentina ended up in a more extreme position than Saudi Arabia or Russia.
“At the G20 meeting, Argentina ended up in a more extreme position on gender than Saudi Arabia or Russia”
Respectability and academic tone is just a veneer for hate in Mandate for Leadership. You only need to skim the document to find polarizing language and the construction of an internal enemy. Milei likewise calls his opponents “rats,” “human excrement,” “fucking lefties,” “imbeciles,” or “traitors.”
“The idea that Milei is the most Argentinian thing that could happen to Argentina is ridiculous; he is part of a much bigger agenda, crafted in the U.S. and which is trying to be implemented in different parts of the world,” Ávila-Guillén says.
The lobbyist that connected Milei with the Heritage Foundation last year is Damián Merlo, partner director of Latin America Advisory Group, a company which lobbies in the U.S. on behalf of authoritarian Salvadoran president Nayib Bukele. Merlo is close to digital strategist Fernando Cerimedo, who also works for Milei and has done so for the former Brazilian president Jair Bolsonaro. Cerimedo is currently under investigation in Brazil for his alleged role in the 2022 failed coup attempt led by Bolsonaro against Brazilian president Inácio Lula da Silva.
When Milei took office, he warned the Argentine people that their economic plight might briefly worsen under his harsh measures. This is exactly what millions are now suffering: more poverty and recession.
In the last days of the U.S. election campaign, a similar message was spread by billionaire Elon Musk who put more than $100 million into Trump's campaign, and who would be, according to Trump, his “secretary of cost-cutting.” Such cuts, Musk warned, might cause “temporary hardship,” but they were necessary in the path to “long-term prosperity.”
Prosperity for whom is not clear—but a recipe for hardship, denial of rights and persecution is on display in Argentina, if you can bear to take a look.
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The Bleak Fantasy of Milei’s Great Argentine Chainsaw Massacre
Despite the record of unremitting failures of neoliberal programs to deliver sustained growth over the last quarter of a century, there are still intellectual and political leaders like Milei who continue to embrace them.
Sep 24, 2024
At the heart of Buenos Aires lies the lovely Calle Florida. The experience of walking through this street that is exclusively dedicated to pedestrians was anything but lovely though, since in the one kilometer from one end to the other I was besieged—albeit politely–by some 200 men and women barking, “Cambio, cambio,” competing to give me the most pesos for my dollars.
It’s a seller’s market, with the “Benjamins”–$100 notes—especially valued. When I began my walk at one end of the street, I was offered 1,100 pesos to the dollar; by the time I reached the other end, the offer had climbed up to 1,400. The online price that morning was 963 pesos. I thought I had a good deal, but an Argentine friend later told me I could have done better.
The Argentine Disease
The daily depreciation of the peso relative to the dollar is a key indicator of inflation, which everyone says is the country’s prime economic problem. The conventional analysis is that the uncontrolled rise of prices stems from the government’s equally uncontrolled printing of pesos to cover its budget deficit. Thus, the peso has lost its function as a store of value, forcing people to resort to the black market for dollars. With the private sector hoarding dollars and international creditors hesitant to lend, owing to Argentina’s having defaulted on its $323 billion sovereign foreign debt in 2020, tourists have become a prime source of dollars for ordinary Argentines and small- and medium-sized enterprises.
The inflation rate for 2023 was over 211%. This was not in the order of the 3,000% annual inflation rate in 1989 and 1990, but as in that earlier period, inflation has resulted in the coming to power of regimes touting radical stabilization policies. In the 1990s, Carlos Menem, the populist Peronist turned neoliberal, famously imposed, among other stringent measures, the one-to-one peso-to-the-dollar exchange rate. The experiment led to chaos, with the country declaring itself unable to service its sovereign debt in 2001.
Last November came the turn of the self-described “anarcho-capitalist” Javier Milei, who has promised not only to make the dollar the medium of exchange in place of the debauched peso but to also lop off whole ministries of government and thousands of government jobs. His controversial but winning image during the November 2023 elections was his going around with a chainsaw to symbolize his determination to radically slim down government, which he regards as a “criminal operation.”
The question on everyone’s mind is, will Milei succeed where previous regimes failed?
Milei Wields His Chainsaw
Milei has been in office for less than a year, but he has taken his chainsaw to the government, as he promised. He chopped off half of the government ministries, devalued the peso by 50%, and slashed fuel subsidies. That was just the beginning. In the teeth of bitter opposition in Congress and in the streets, he got his “Bases Law” passed, which would allow him to roll back workers’ rights; provide tax incentives to foreign investors in extractive industries such as mining, forestry, and energy; reduce the tax burden on the rich; and provide him with the power to declare a one-year state of economic emergency with special powers to disband federal agencies and sell off about a dozen public companies. In order to get the Bases Law through Congress, Milei has postponed his plans to adopt the dollar as the national medium of exchange and “blow up” the Central Bank, as he puts it, deliberately invoking an image associated with Khmer Rouge’s destruction of the Central Bank of Cambodia when they came to power in the late 1970s.
As anticipated, the austerity measures are leading to the contraction of the economy, with the International Monetary Fund, which has signalled its approval of Milei’s policies, expecting a 2.8% decline in GDP in 2024. Still, according to some polls, his approval ratings are above 50%. “This shows that despite suffering in the short term, the people are willing to give the president the benefit of the doubt,” said the Argentine ambassador who gave me an unexpected 45-minute briefing when I claimed my courtesy visa to visit the country. Others, like radio personality Fernando Borroni, assert the president’s popularity ratings reflect not no much approval of him as rejection of the failed policies and personalities of the past.
Milei is perhaps the most colorful and controversial personality to come to power in Latin America in the last few years. Though he is nominally a member of a right-wing party, he has no organized political base but acquired national influence through wide exposure on television, where he poured his vitriol on ideological opponents, indeed, on anyone proposing any kind of government intervention in the economy. He is an unabashed animal lover, making sure to pay homage in his speeches to what he calls “mi hijitos de cuatro patas,” or my four-legged children. There is nothing wrong with that, but people look askance when he claims that he talks to his dead dog, Conan—named after the comics character “Conan, the Barbarian”—through a medium.
He has professional advisers, but the person who controls access to him and is said to be the power behind the throne is his younger sister, Karina Elizabeth Milei, who has been criticized for lacking any previous experience in government and having a background in business that consists mainly of selling cakes on Instagram. Still, she has elicited admiration for her micromanagement of her brother’s successful electoral campaign, prompting some to compare her to Evita Peron and Cristina Kirchner, the wife and successor of the late President Nestor Kirchner.
Mileinomics
Milei is personally quirky, and so, some say, is his economics. His intellectual hero is the radical libertarian economist Murray Rothbard. Reading an essay by Rothbard titled “Monopolies and Competition” was for Milei an experience akin to Paul’s conversion on the road of Damascus. “The article was 140 pages long,” Milei writes. “I went home to eat and began to read it. I could not stop reading, and after reading it for three hours, I said to myself, everything I had been teaching over the last 23, 24 years was wrong.” In addition to Rothbard, those in Milei’s pantheon of intellectual heroes are the paragons of neoliberal thinking, among them Friedrich Hayek, Leopold Van Mises, Milton Friedman, and Robert Lucas of the University of Chicago. (Milei has honored Lucas, Rothbard, and Friedman by naming his dogs, cloned with cells from the dead Conan, after them.)
It is not surprising that Milei condemns socialists, communists, Keynesians, and “neo-Keynesianos” like Paul Krugman. It is also not surprising that, like Friedrich Hayek, he considers the pursuit of social justice as a big mistake that is unjust and disruptive of the efficient working of the market and eventually leads to the “road to serfdom” by an all-powerful regulatory state.
What is unusual is that he includes a number of economists working in the neoclassical tradition in his sweeping condemnation of “bad influences.” Formerly an economics professor, he faults economic modelling promoted by the mathematization of economics for having led some analysts to the illusion that the market can lead to imperfect outcomes.
One fundamental tenet of neoclassical economics that elicits his ire is “Pareto Optimality,” which says that economic outcomes can be achieved that can make people better off without making anyone worse off. According to Milei, pursuit of Pareto Optimality by neoclassical economists has led them to the illusion that government action can improve market competition or make up for “market failure.”
Pareto Optimality, in his view, is the opening wedge that has led to the formulation and legitimation of other concepts such as imperfect competition, asymmetric information, public goods, and externalities—the solution or provision of which would require government intervention. The fundamental error of the economists who have generated these ideas is that they are so enamored with their models that “when their model does not reflect reality, they attribute the problem to the market instead of changing the premises of their model.”
Milei is, in fact, vulnerable to the same error he accuses neoclassical antagonists of committing: that when theory and reality diverge, it is reality that is the problem.
Interfering with the operation of the market always has dangerous consequences. Indeed, breaking up monopolies to bring about a state of perfect competition is erroneous, since monopolies, instead of being aberrations, are, in reality, positive. “In fact, within a framework of free exchange, if a producer is able to capture the whole market, they have done so by satisfying the needs of consumers by providing them with a better quality product…The existence of monopolies in a context if free entry and exit is a source of progress, and the constant obsession of politicians to control them will only end up damaging the individuals they are trying to help.” In short, the market can’t make a mistake, and trying to rectify its supposed errors will only lead to a worse outcome for everyone.
Another classical economist that Milei has placed in the company of Marx, Pareto, and Keynes as an ideological baddie is Malthus, who held that the law of diminishing returns would create a situation where rapid population growth would not be supported by economic growth, leading eventually to general impoverishment. Milei claims that Malthus’ law has been disproven by the tremendous economic growth since the 19th century owing to technological advances made possible by the market, and Malthus’ only use these days is to provide intellectual support for the pro-choice movement, whose advocacy of abortion and family planning he despises.
The Opposition
Not surprisingly, Milei’s hostility has been reciprocated by the women’s movement, which fears that their successful effort to legalize abortion in 2020 will be reversed by the president.
Another sector of society that feels threatened by the new government is the human rights movement. Milei is not so much the object of hostility of human rights advocates as his vice president, Victoria Villaruel, who has defended the so-called dirty war waged by the military dictatorship of General Jorge Videla in the late 1970s and early 1980s that took over 30,000 lives. Villaruel, whose father and uncle were members of the military during the dictatorship, has opposed the trials of those being prosecuted for crimes against humanity and has threatened to begin investigation and prosecution of members of the Montoneros and ERP (Armed Forces of the People) accused of “terrorist crimes.” At the rallies of the two groups representing the Madres de la Plaza de Mayo that take place every Thursday afternoon at the Plaza de Mayo, participants are warned that Milei might allow Villaruel to pursue her vendetta against the memory of the disappeared.
The strongest opposition to Milei is the Peronist movement, which was the base of the governments of Nestor Kirchner, Cristina Kirchner, and Alberto Fernandez that have ruled Argentina for most of the last 24 years. It continues to have the support of some 30% of the electorate. The problem is that neither Peronism nor the rest of the opposition has a counternarrative to Milei’s, admits Martin Guzman, former minister of the economy in the Peronist government of Alberto Fernandez and currently professor of economics at the School of International and Public Affairs (SIPA) at Columbia University.
Two obstacles lie in the way of the formulation of such a counternarrative. One is that while Peronism is a mass populist movement, its leaders have pursued conservative policies when in power, leading to the demoralization of the base. The second, and more significant obstacle, is that “the language and policies that animated Peronism’s working class base in the mid-20th century no longer connect with today’s young workers that are engaged in the gig economy perpetuated by savage capitalism,” according to Borroni, the radio journalist.
Milei and the Youth Vote
It bears noting that the strongest supporters of Milei are male voters in the 16-30 age group, 68% of whom said they would vote for Milei in a poll taken before the November 2023 elections. Argentines who have grown up in the last 30 years have done so in a country that has been constantly in crisis, besieged by inflation, recession, and poverty, which now engulfs an astounding 55% of the population, or 25 million people. To them, both the center-left governments of Kirchner and Fernandez and the center-right regime of Mauricio Macri were abject failures in turning the economy around, making them vulnerable to the inflammatory rhetoric of Milei during the 2023 elections.
Argentina is a proud country, but for many young Argentines, there is little these days to be proud of except perhaps Lionel Messi and the national soccer team (and even they have been tainted by a recent incident where some players were captured on video singing a racially offensive song regarding the African origins of many of those in the French national team that fought Argentina in the World Cup finals in 2022).
Destined to Fail?
Milei has promised to restore Argentina to its 19th-century status as one of the richest countries in the world. But it is difficult to see how Milei will get Argentines out of their economic conundrum and restore their morale as a country. His vision is that of an Argentina of the future purged by the fire and sword of radical austerity and shorn of the “political caste and army of parasites whose only objective is to perpetuate itself in power by sucking the blood of the private sector.” The measures he is taking, however, are likely to follow the well-trodden path of similar programs in the Global South and in Greece and Eastern Europe after the 2008 financial crisis, that is, continuing economic contraction or prolonged stagnation. What is remarkable is that despite the record of unremitting failures of neoliberal programs to deliver sustained growth over the last quarter of a century, there are still intellectual and political leaders like Milei who continue to embrace them. Milei is, in fact, vulnerable to the same error he accuses neoclassical antagonists of committing: that when theory and reality diverge, it is reality that is the problem.
At some point a program of vigorous government action to trigger growth, redistribute income, and reduce poverty may perhaps become attractive again and voters may turn on Milei’s counterrevolutionary economic project. “I have no doubt that Peronism will again come to power,” asserts Borroni. “Whether it will come to power as a a genuine popular movement or in the guise of a popular movement led by the right is the question.” But the bigger question is: will such a new and improved version of Peronism be able to finally lick Argentina’s poisonous galloping inflation while promoting growth and reducing inequality?
“Other countries have been able to control inflation. Why can’t we?” one Argentine I interviewed asked in frustration. That same question is on everyone’s lips, but for the moment, people seem to have suspended their skepticism and given the mercurial Milei some slack.
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'Argentina Stopped': Unions Hold Second General Strike Over Milei Austerity
"It is a day of resistance and demand," said trade groups that organized the action "in defense of democracy, labor rights, and the living wage."
May 10, 2024
Argentina's primary trade union federation on Thursday held another nationwide general strike, the second called since President Javier Milei, a far-right economist, took office in December and began pursuing sweeping austerity and deregulation.
The South American nation's unions organized the strike "in defense of democracy, labor rights, and the living wage," according to a statement from the General Confederation of Labor (CGT), the Argentine Workers' Central Union (CTA), and the Autonomous CTA.
"It is a day of resistance and demand," the groups said, blasting the Milei government's "brutal" attacks on labor rights, social security, public health, education, science, and "our cultural identity." The policies of austerity, say opponents, have disproportionately impacted working people and retirees.
The labor groups called out the government for promoting "dangerous policies for the privatization of public enterprises" and pushing for "a phenomenal transfer of resources to the most concentrated and privileged sectors of the economy."
CGT celebrated the 24-hour strike's success on Friday, declaring that "Argentina stopped," and sharing photos of sparsely populated roads, transit hubs, and other public spaces.
As the
Buenos Aires Timesreported:
In the nation's capital, streets were mostly empty, with very little public transport. Many schools and banks closed their doors while most shops were shuttered. Garbage was left uncollected.
Rail and port terminals were closed, while the industrial action forced the cancellation of hundreds of flights, leaving airports semi-deserted. Some buses—from firms that did not take part in the strike—were running in the morning, although with few passengers. Cars were circulating, but traffic levels were similar to that seen on weekends.
The port of Rosario, which exports 80% of the nation's agro-industrial production, was all but paralysed in the midst of its busiest season.
A spokesperson for Milei, Manuel Adorni, claimed the nationwide action was "an attack on the pocket and against the will of the people" by those "who have curtailed the progress of Argentines over the last 25 years," the newspaper noted.
Meanwhile, union leaders stressed that the strike was the result of "a government that only benefits the rich at the expense of the people, gives away natural resources, and seeks to eliminate workers' rights," as CTA secretary general Hugo Yasky put it.
As the action wound down Thursday, Yasky described it as a "display of dignity of the Argentine people" that sent "a strong message" to Milei's government as well as the International Monetary Fund "that intends to govern us" and the country's senators.
Argentina's Senate is now debating an "omnibus" bill that contains some of Milei's neoliberal economic policies—including making privatization easier—after the package was approved last week by the Chamber of Deputies, the lower congressional body.
Rubén Sobrero, general secretary of the Railway Union, signaled that more strikes could come if lawmakers continue to advance the president's policies, tellingThe Associated Press that "if there is no response within these 24 hours, we'll do another 36."
From Europe to North America, trade groups around the world expressed solidarity with Thursday's strike.
"Milei's policies have not tackled the decadence of the elites that he decries, instead he has delivered daily misery for millions of working people. Plummeting living standards, contracting production, and the collapse of purchasing power means some people cannot even afford to eat," said International Trade Union Confederation general secretary Luc Triangle in a statement.
Triangle noted that "the government is targeting the rights of the most vulnerable sectors of the population and key trade union rights, such as collective bargaining, that support greater fairness and equality in society, while threatening those who protest with police repression and criminalization."
"In this context, the work of the trade unions in Argentina is extraordinary. They have emerged as the main opposition to the government's dystopian agenda, uniting resistance and building a coalition in defense of workers' rights and broader democratic principles," he added. "The demands of the trade unions in Argentina for social justice, democracy, and equality are the demands of working people across the world. Their fight is our fight and that is why the global trade union movement stands with them."
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