Uncertain Times for Argentina's Economy

SCRIPT: These are nervous times for Argentina. The peso dropped last week to a record 8.01 per US dollar, its lowest level since 2002. But on the black market, the difference was even bigger. On Thursday, the "blue dollar" - the name for the illegal exchange rate - was worth up to 13 pesos. The market finally stabilized on Friday, with the reported help of the Central Bank, and the government dropped the unpopular ban on buying dollars As a result, the blue dollar fell to 11,70 pesos, but not all "cambistas" saw it as a negative SOUNDBITE 1 Iganico Zabalia, (false name, man), "Cambista" black market currency dealer (Spanish, 22 sec) " Now that the exchange trap has been cancelled, the gap between the blue and the official dollar will shrink and they will be more similar. That's good for the money exchangers because it means they will no longer be persecuted as much, because now the government authorizes everyone to go buy dollars, especially when they have legal pesos." (IN SPANISH) "Bueno, el “blue” ahora que se ha eliminado el cepo cambiario va a tender a achicarse el ‘spread’ y a ser más parecido al dólar oficial. Eso es bueno para los “cueveros” ya que no van a ser tan perseguidos, porque justamente ahora el gobierno autoriza a todo el mundo a volver a comprar dólares, siempre y cuando tengan ‘pesos blancos’." As the peso plunged 14% in two days, it recalled traumatic memories of the crisis of more than a decade ago which saw the savings of millions wiped out. Though the current crisis is still far from the proportions of 2001, some economists feel the country is heading for more economic problems. SOUNDBITE 2 Miguel Angel Boggiano (man), Economist and CEO of Carta Financiera (Spanish, 8 sec) "There are very high chances that a deep crisis will suddenly happen which will impact the (economic) activity and take us into recession." (IN SPANISH)"Tenemos altissimas chances que sobrevenga una crisis profunda que impacta la actividad y que nos llegue a una recesión." Though Argentina is still growing at a five percent rate, many Argentines, like Paulo Orcorchotz who owns three restaurants in Buenos Aires, struggle to keep their business going. That's mainly due to the country's inflation, evaluated at about 28% by private reports. SOUNDBITE 3 Paulo Orcorchotz (man), Restaurateur, (Spanish, 27 sec) "If one month it was profitable and that I made 10, 10 whatever it may be, the next month, with the same amount of work, I will make 8. And so on until we get...