Shock therapy (economics)

In economics, shock therapy is a group of policies intended to be implemented simultaneously in order to liberalize the economy, including liberalization of all prices, privatization, trade liberalization, and stabilization via tight monetary policies and fiscal policies. In the case of post-Communist states, it was implemented in order to transition from a command economy to a market economy. More recently, it has been implemented in Argentina by the administration of Javier Milei.


Shock therapy (economics)

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