To understand a country‘s economic situation, one must understand its political situation. Argentina is rich in natural resources and human resources; it has everything to become a major country in the world. However, its long period of unrest prevented progress. De Hoz is implementing the economic program of the new government of Argentina, a government of the armed forces that made an institutional decision to intervene in 1976. He describes the new economic program and its results. Inflation is down from 920 percent to 160 percent per year. Argentina is showing its potential, but it must also modernize its democratic and political institutions.