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From: "Walter Lippmann" <[EMAIL PROTECTED]>

Published Wednesday, August 1, 2001
in the Miami Herald
Argentines protest, seek jobs
By JANE BUSSEY
[EMAIL PROTECTED]

BUENOS AIRES -- Twenty-four hours after authorities launched a
desperate effort to avoid defaulting on the nation's debt,
thousands of out-of-work Argentines blocked highways across
the country and marched in the capital to protest and demand
jobs.

On the outskirts of Buenos Aires, protesting students,
pensioners and the unemployed blocked major thoroughfares
connecting the surrounding suburbs with the capital.

Near the Casa Rosada, the Argentine White House, protesters
pounded drums and chanted, political fliers floated through
the air like confetti and the crowd waved banners to
underscore their demands for jobs, an end to austerity and the
release of several jailed protest leaders. Several dozen
lightly-armed police watched the crowds, keeping them from
entering government buildings but otherwise taking no action.

Buenos Aires looked like it was a holiday instead of the
middle of the week because so many students and employees
could not reach the city. But most offices, shops and
restaurants remained open.

Facing a financial crunch, an economic recession and political
troubles, the protest could hardly have come at a worse time
for the administration of President Fernando de la Rua.
Government leaders ranging from Labor Minister Patricia
Bullrich to Cabinet Chief Chrystian Colombo, a rising star in
the country, had warned that the government would arrest
protesters for breaking the law.

But the hours of protests were marred by only a few isolated
incidents when marchers occupied state-run banks in the
province of Buenos Aires.

``This situation today was a tie,'' said Ricardo Rouvier, a
political analyst who carries out public opinion polls.
``There were no winners or losers. The government was not
forced to repress the protests, and the protesters were quite
moderate in their activities.''

While Argentina has witnessed at least six general strikes in
the first 19 months of de la Rua's administration, this
protest was the first of its kind. It was not called by
organized labor and instead was the first to be coordinated by
a loose coalition of social groups, whose members call
themselves ``piqueteros,'' which sounds like picketers in
Spanish but also is used to include the unemployed.

``We are all piqueteros,'' said a banner across the Avenida
del Mayo at a small street blockage organized by the Mothers
of Plaza de Mayo, a group of mothers whose children were
disappeared under the military dictatorship that ended in 1983.

``Today's protest was generated and carried out by unemployed
people,'' said Gustavo Koenig, a 24-year-old sociology student
at the University of Buenos Aires and a member of a social
movement called Polo Social. ``The most important thing was
we were able to coordinate this. There is a new actor in play,
the people excluded from the system who don't exist as
consumers and don't exist as producers.''

Official statistics show that unemployment is more than 16
percent, one of the highest rates in Latin America. Some 14
million out of 36 million Argentines are now classified as
poor because of three years of recession. Three out of every
10 small businesses may have to close their doors if the
economic situation does not improve.

In a country used to bad news, financial players shrugged off
the protests, and the benchmark Merval index barely moved
higher during the trading, rising form 319.85 to 320.79. The
country's risk, a measure of how risky it is to hold Argentine
bonds compared with bonds from other emerging markets, rose
from 1571 to 1606. Just four months ago, the country risk
measure was as low as 700.

Some opinion polls show that the majority of Argentines still
hold out hope that the budget cutting measures approved by the
Senate early Monday morning will restore investor confidence
and avoid default on the country's $130 billion debt.
Economists say such a move would also spark a devaluation of
the Argentine peso -- which has been pegged one peso to $1 for
a decade, and freezing bank accounts.


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