Upbeat Talk From Argentina's Moneyman

Economy Minister Domingo Cavallo, chief architect of Argentina's revival in the early 1990s, has reined in its economy this year with austerity measures to bolster the Argentine peso against the "tequila effect"--the shocks from Mexico's currency debacle. Cavallo's actions are embroiling him in political battles. Recently, he refused to extend a $70 million bailout loan to near-bankrupt Crdoba unless the province agreed to privatize state-run companies. Cavallo won the showdown: The governor resigned this month to make way for a successor who is expected to sell off the companies.

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