The Mendoza model

摘要

WHEN GRAPES are ready for harvest, Mendoza, capital of the Argentine province that shares its name, throws a party. For three days this month revellers on vine-themed floats tossed grapes and melons into crowds. Gauchos paraded. Argentina's "harvest queen" took her crown at an open-air show. The bacchanal was a contrast to national gloom. Argentina's GDP contracted by 6.2% in the year to the fourth quarter of 2018 (see Finance section). The urban unemployment rate is 9% and inflation this year is expected to be 40%. Mendoza appears to be doing better. Income data for 2018 are not yet in but the provincial unemployment rate is only 5.9%. A devaluation of the peso has helped boost wine sales, tourism and trade with next-door Chile.