Yesterday, as part of our portrait of powerful, anti-capitalist economist Joe Stiglitz, we took a look at his outspoken support for Greece in its current budget crisis – and his close friendship with Greek leaders, who’ve paid him scads of (other people’s) money either for his advice or (could it be?) for his public advocacy on their behalf.
Then there’s Argentina. Stiglitz’s relationship with the corrupt Kirchner regime goes back a long way. He was a paid advisor to the late President Néstor Kirchner, who was in office from 2003 to 2007, and has played the same role for Kirchner’s wife and successor, Cristina Fernández de Kirchner. He’s traveled frequently to Buenos Aires to advise the Kirchners and been paid handsome sums to deliver lectures there. Argentina defaulted on its sovereign debt in 2001, and Stiglitz took its side, filing an amicus curiae brief when Argentina appealed a U.S. court ruling ordering it to pay creditors $1.3 billion.
In 2012, he served as a paid consultant for the Kirchner regime in a case before the World Bank’s International Centre for Settlement of Investment Disputes. In the same year, he held a speech at the Casa Rosada in which he bashed the free market and praised Cristina Kirchner, head of a grotesquely kleptocratic government, for the wisdom of her economic policies; Cristina, for her part, sat there applauding Stiglitz.
It’s worth asking: is Stiglitz being paid by the Kirchners for his advice – or for allowing them to use his name and reputation to whitewash their inept and criminal economic activities?
Then, last year, after being ordered by New York judge Thomas P. Griesa to pay off not just some but all of its creditors, Argentina defaulted again. It was the country’s second default in 13 years. Stiglitz again stood up for Argentina, publicly giving Cristina Kirchner a thumbs-up and calling for – what else? – “an international convention for sovereign debt restructuring to resolve these issues.”
In an August 2014 article written with Martin Guzman, Stiglitz ardently defended Cristina Kirchner – who, in collusion with her rapacious army of cronies, comrades, and confidantes, has stolen her nation blind – and instead viciously slammed everyone else in the picture. He slammed Griesa, whose only offense was to make a ruling that strictly adhered to the law. (Stiglitz and Guzman even promoted a Twitter hashtag, “#Griesafault,” as a way of deflecting responsibility for Argentina’s economic chaos from the crooked Kircherites to the U.S. judge.)
He also slammed Argentina’s holdout creditors, whom, directly echoing Kirchner’s own rhetoric, he smeared as “vultures,” their only crime being that they expected to be paid in full for the debts they were owed. “Repayment on Griesa’s terms,” pronounced Stiglitz, “would devastate Argentina’s economy.” No, what has devastated Argentina’s economy has been years of governance by the unscrupulous, thieving Kirchner regime – including economy minister Axel Kicillof, who on October 9 tweeted a picture of himself and Stiglitz, writing: “Great dialogue with @JosephEStiglitz about the debt-restructuring process and the fight against the vulture funds.”
As with Greece, then, how can Stiglitz expect anyone to take his pronouncements on Argentina seriously?
We’re not done yet. Tune in again on Monday.