IESET.
Hypotheses·monetary·milei_dollarisation_inflation_collapse_2024_2026

Argentina under Milei (December 2023 inauguration) executed a fiscal-surplus + monetary-contraction + de-facto-dollarisation programme that collapsed monthly CPI inflation from ~25% (Dec 2023) toward sub-3% by 2025-2026, eliminated the primary fiscal deficit within a single fiscal year, and compressed the parallel-market peso-USD gap (blue-dolar / official) from over 100% to near zero.

The pre-registered claim is that across four monetary/fiscal metrics — monthly inflation, primary fiscal balance, peso-USD parallel-market gap, and BCRA real monetary base — the Milei programme produces extreme outcomes that diverge from prior Argentine stabilisation attempts (Convertibilidad 1991, Macri 2015-2019) and from Latin American disinflation comparators. The headline test is whether the inflation collapse holds without a recession of comparable magnitude to the disinflation gain (output decline less than 4% peak-to-trough).

INCONCLUSIVEengine/runs/milei_dollarisation_inflation_collapse_2024_2026

INCONCLUSIVE_PENDING_DATA

confidence cueResult card produced; verdict unclassified.

policy briefCoverage too thin

In ordinary language

In plain terms, this asks whether milei era indicator is actually linked to better or worse monthly cpi inflation from 2020 to 2026.

plain answer

This test cannot make a firm call yet. INCONCLUSIVE_PENDING_DATA

why it matters

This matters because monetary claims should change belief only when they survive a pre-declared empirical test.

how the test works

It compares 1 country or place units from 2020 to 2026, using a multi metric checklist design.

what was measured
What changed
  • Milei era indicator
What we checked
  • Monthly cpi inflation
  • Primary fiscal balance pct income
  • Parallel fx gap
what this does not prove

A single test is not the whole truth. It narrows the claim under a specific sample, time period, and method. Strong policy conclusions need the pattern to survive nearby tests, alternative data, and serious objections.

verification

No evidence packet has been generated yet.

Results

engine/runs/milei_dollarisation_inflation_collapse_2024_2026
1007550250202020232026ARG
illustrative sketch · run pending
No coefficients yet. When the model fires, this chart will show monthly_cpi_inflation across 1 sampled countries over 20202026.
The shapes above are stylised — none of the lines are real data.
Placeholder for milei_dollarisation_inflation_collapse_2024_2026. Published chart will be generated from engine/runs/milei_dollarisation_inflation_collapse_2024_2026/chart_data.json.

Pre-registration

pre-registered
first-spec commit 098ce96 · 2026-04-30T12:57:33Z
run generated · 2026-05-01T08:48:29Z

Argentina under Milei (December 2023 inauguration) executed a fiscal-surplus + monetary-contraction + de-facto-dollarisation programme that collapsed monthly CPI inflation from ~25% (Dec 2023) toward sub-3% by 2025-2026, eliminated the primary fiscal deficit within a single fiscal year, and compressed the parallel-market peso-USD gap (blue-dolar / official) from over 100% to near zero. The pre-registered claim is that across four monetary/fiscal metrics — monthly inflation, primary fiscal balance, peso-USD parallel-market gap, and BCRA real monetary base — the Milei programme produces extreme outcomes that diverge from prior Argentine stabilisation attempts (Convertibilidad 1991, Macri 2015-2019) and from Latin American disinflation comparators. The headline test is whether the inflation collapse holds without a recession of comparable magnitude to the disinflation gain (output decline less than 4% peak-to-trough).

Falsification criterion — what would disprove this

set before the run · honoured after

This hypothesis is considered falsified if:

Supported if 4 of 5 canonical metrics meet thresholds. Refuted if 2 or fewer metrics meet thresholds. Mixed verdict otherwise. The headline single-shot version: refuted if monthly inflation does NOT fall below 5% by end-2025, OR if real GDP peak-to-trough decline exceeds 6% (i.e., the disinflation costs more output than the Tequila-style stabilisation benchmark).

formal test & threshold
test:      multi_metric_canonical_milei_stabilisation
threshold: metrics_met >= 4 of 5

Method

Template
multi_metric_checklist
Clustering
none
Sample
1 countries · 20202026
Evidence type
canonical_case_multi_metric

Single-country canonical case; no comparator panel. The 5-metric checklist substitutes for a single causal estimator. Comparison to historical Argentine stabilisations (Convertibilidad, Macri) is descriptive context, not gating.

Data

VariableSourceTransform
monthly_cpi_inflation
outcome
bcra:inflation_monthlytier 1
indec:ipc_monthlytier 2
monthly_pct_change
primary_fiscal_balance_pct_gdp
outcome
imf:GGXCNL_NGDPtier 2
indec:resultado_primariotier 2
annual_pct_gdp
parallel_fx_gap
outcome
bcra:fx_officialtier 1
dolartoday:blue_ratetier 3
ratio_minus_one
real_gdp_index
outcome
indec:emaetier 2
log_level
poverty_rate_official
outcome
indec:eph_pobrezatier 2
world_bank_wdi:SI.POV.DDAYtier 2
level
milei_era_indicator
treatment
constructed:binary = 1 for ARG from 2023-12-10 onwardtier 5
binary

ready  ·  pending  ·  reconstruct-needed

Detailed result card

Result card — milei_dollarisation_inflation_collapse_2024_2026

Verdict: inconclusive (data gaps)

Reason: 0 metrics met, 5 pending; 4 more need resolution

Pre-registered rule: SUPPORT if >= 4 of 5 metrics met; REFUTE if <= 2 met (impossible to hit support).

Counts: 0 MET · 0 NOT_MET · 4 PENDING_DATA · 1 PENDING_EVAL

Primary country: ARG

Metric-by-metric

| # | Metric | Status | Observed | Threshold | Notes | |---|---|:---:|---:|---|---| | 1 | monthly_inflation_collapse | PENDING_DATA | | monthly inflation < 3% by Dec 2025; sustained < 4% for 6+ months | No usable vintage for: indec:ipc_monthly; Non-tidy (needs custom parser): bcra:inflation_monthly | | 2 | primary_fiscal_surplus_achieved | PENDING_EVAL | 0.5 (2024) [max_in_window_fallback] | primary balance > 0% of GDP in 2024 AND 2025 | threshold expression unparseable by regex | | 3 | parallel_fx_gap_compression | PENDING_DATA | | parallel_fx_gap < 0.20 by Dec 2025 | No usable vintage for: dolartoday:blue_rate; Non-tidy (needs custom parser): bcra:fx_official | | 4 | output_recession_bounded | PENDING_DATA | | max peak_to_trough log_real_gdp decline < 0.04 | No usable vintage for: indec:emae | | 5 | poverty_rate_recovery | PENDING_DATA | | INDEC poverty headcount < 42% by 2026-S1 | No usable vintage for: indec:eph_pobreza |

Claim

Argentina under Milei (December 2023 inauguration) executed a fiscal-surplus + monetary-contraction + de-facto-dollarisation programme that collapsed monthly CPI inflation from ~25% (Dec 2023) toward sub-3% by 2025-2026, eliminated the primary fiscal deficit within a single fiscal year, and compressed the parallel-market peso-USD gap (blue-dolar / official) from over 100% to near zero. The pre-registered claim is that across four monetary/fiscal metrics — monthly inflation, primary fiscal balance, peso-USD parallel-market gap, and BCRA real monetary base — the Milei programme produces extreme outcomes that diverge from prior Argentine stabilisation attempts (Convertibilidad 1991, Macri 2015-2019) and from Latin American disinflation comparators. The headline test is whether the inflation collapse holds without a recession of comparable magnitude to the disinflation gain (output decline less than 4% peak-to-trough).

Interpretation

Verdict is inconclusive (data gaps) — 4 metric(s) cannot be evaluated because the underlying data source is not yet in the vintages pipeline, and 1 metric(s) have data but a threshold expression the auto-evaluator does not recognise (complex conditions, discrete event counts, cross-country gaps). Close these gaps then re-run.

Steelman live concerns

See hypotheses/steelman/milei_dollarisation_inflation_collapse_2024_2026.md for the strongest opposing arguments. Canonical-case multi-metric evidence is a pattern match, not a causal identification — the result card should be read as 'outcome trajectory matches the predicted pattern to degree X' rather than 'policy P caused the outcome'.

Provenance

Vintages pinned in manifest.yaml. Full per-metric diagnostics in diagnostics.json. Machine-readable results in metric_results.parquet.

Strongest opposing argument

Every hypothesis ships with its charitable opposing argument. The framework earns credibility by handling objections at their strongest, not weakest.

Notes

Multi-metric canonical-case design. Argentina's 2023-2026 stabilisation is a once-in-a-generation natural experiment combining a fiscal-shock-therapy package, central-bank-balance-sheet sterilisation, and incremental dollarisation steps (cepo relaxation, USD legal-tender expansion, BCRA reserve recomposition). The hypothesis treats it as a multi-metric pattern-match rather than a single estimator because the pre-period (2007-2023 INDEC falsification, 2018-2023 cepo regime) makes conventional panel/synth-control identification noisy. Output-trajectory and poverty-rate metrics are included to surface the social cost of the disinflation, not just the disinflation itself.

Authored framework. Read the transparency note.