Mario Blejer
Encyclopedia
Mario Blejer is an Argentine economist and Central Bank official.
, in 1948. He enrolled at the Hebrew University of Jerusalem
, and graduated cum laude with degrees in Economics
and Jewish History
in 1970, as well as with a Master's Degree in Economics from the same institution, in 1972. He went on to earn a Ph.D. in the latter discipline at the University of Chicago
(1975), and joined the Boston University
Department of Economics as an Assistant Professor, where he remained until 1980.
He joined the International Monetary Fund
as an adviser on monetary
, exchange rate, and fiscal policy
in 1980, and briefly taught at George Washington University
and the New York University
Graduate School of Business. He lectured at the Johns Hopkins University
School of Advanced International Studies between 1986 and 1991, and was appointed the World Bank
's Senior European and Central Asian Policy adviser in 1992, serving in that capacity during one of the most challenging years of the collapse of the Soviet Union. He them served as a member of the IMF Staff Papers Editorial Board until 1996, and of the European Journal of Political Economy, from 1997 to 2001.
Blejer also taught at the Central European University
in Budapest
, from 1996 to 2000, and contributed to an array to economic policy publications, notably the American Economic Review
, Journal of Political Economy
, International Economic Review
, The Economic Journal, Journal of Development Economics
, Review of Economics and Statistics
, Canadian Journal of Economics
, Economic Development and Cultural Change
.
A rapidly-deteriorating Argentine economic crisis in March 2001 led Blejer to accept President Fernando de la Rúa
's offer of a post as Vice President of the Central Bank of Argentina, whereby he left the IMF as Senior Adviser, and after a 21-year career. Following de la Rúa's resignation in December, and that of Central Bank President Roque Maccarone in January, Blejer was named as the latter's replacement by President Eduardo Duhalde
, on January 21. Blejer, who took office at the depth of the worst local crisis since the Panic of 1890
, was appointed not only for the good rapport he enjoyed with international figures such as United States Federal Reserve Chairman Alan Greenspan
, Treasury Secretary Paul O'Neill
and his Deputy, John B. Taylor
, but also because he remained among the few prominent economists to be in good terms with a wide variety of Argentine political figures: he was recommended by Economy Minister Domingo Cavallo
during the free market
advocate's brief last turn at the post, and was close to diverse leaders such as center-left Congresswoman Elisa Carrió
, and center-right economist Ricardo López Murphy
(both these latter would be candidates in the April 2003 presidential elections
).
Blejer's appointment on January 21, 2002, was partly a result of Maccarone's link to the unpopular account withdrawal limits instituted the previous December, as well as to the latter's support for a more liberal bankruptcy
law, which the nation's banks opposed. A supporter of lifting the withdrawal limits (corralito
), Blejer prepared a plan to achieve this though treasury bills, whereby depositors would be allowed to withdraw larger amounts only by accepting these as payment, in lieu of cash. Seeking to guarantee their future value, he also revived a plan for the dollarization
of the Argentine economy (a policy first suggested by former Central Bank President Pedro Pou in 1999). These policies met with the opposition of Duhalde's new Economy Minister, Roberto Lavagna
, however, and in June, Blejer resigned.
He was subsequently offered a post as adviser to the Bank of England
, and by September, actively called for the full lifting of the corralito, which ultimately took place in stages from December 2002, to the following March. In London
, Blejer also served as an adviser to the International Economics Program at Chatham House
, from 2004 to 2007, and was named Director of the Bank of England's Centre for Central Banking Studies.
Fallout from the international, 2008 financial crisis later forced the left-wing Argentine government of President Cristina Kirchner to seek domestic financing for growing public spending, as well as for foreign debt service obligations. The president ordered a US$6.7 billion account opened at the Central Bank for the latter purpose in December 2009, implying the use of the Central Bank's foreign exchange reserves, and drawing direct opposition from the institution's President, Martín Redrado
. Following an impasse, Redrado was dismissed by President Kirchner on January 7, 2010, prior to which Economy Minister Amado Boudou
had announced that Mario Blejer (who had expressed support for the measure) would be appointed in his stead. Redrado, however, refused to step down, and President Kirchner's decree removing him was overruled by Judge María José Sarmiento
, temporarily reinstating Redrado as president of the central bank; Redrado was ultimately replaced by Mercedes Marcó del Pont
.
Blejer, who remained in Argentina, contributed a number of op ed columns for Clarín
, the leading Argentine news daily; he expressed support for the Wall Street Reform and Consumer Protection Act signed in the United States
by President Barack Obama
, while citing the need for further regulation of the world's fitful financial markets.
Life and times
Blejer was born in Córdoba, ArgentinaCórdoba, Argentina
Córdoba is a city located near the geographical center of Argentina, in the foothills of the Sierras Chicas on the Suquía River, about northwest of Buenos Aires. It is the capital of Córdoba Province. Córdoba is the second-largest city in Argentina after the federal capital Buenos Aires, with...
, in 1948. He enrolled at the Hebrew University of Jerusalem
Hebrew University of Jerusalem
The Hebrew University of Jerusalem ; ; abbreviated HUJI) is Israel's second-oldest university, after the Technion – Israel Institute of Technology. The Hebrew University has three campuses in Jerusalem and one in Rehovot. The world's largest Jewish studies library is located on its Edmond J...
, and graduated cum laude with degrees in Economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
and Jewish History
Jewish history
Jewish history is the history of the Jews, their religion and culture, as it developed and interacted with other peoples, religions and cultures. Since Jewish history is over 4000 years long and includes hundreds of different populations, any treatment can only be provided in broad strokes...
in 1970, as well as with a Master's Degree in Economics from the same institution, in 1972. He went on to earn a Ph.D. in the latter discipline at the University of Chicago
University of Chicago
The University of Chicago is a private research university in Chicago, Illinois, USA. It was founded by the American Baptist Education Society with a donation from oil magnate and philanthropist John D. Rockefeller and incorporated in 1890...
(1975), and joined the Boston University
Boston University
Boston University is a private research university located in Boston, Massachusetts. With more than 4,000 faculty members and more than 31,000 students, Boston University is one of the largest private universities in the United States and one of Boston's largest employers...
Department of Economics as an Assistant Professor, where he remained until 1980.
He joined the International Monetary Fund
International Monetary Fund
The International Monetary Fund is an organization of 187 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world...
as an adviser on monetary
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting a rate of interest for the purpose of promoting economic growth and stability. The official goals usually include relatively stable prices and low unemployment...
, exchange rate, and fiscal policy
Fiscal policy
In economics and political science, fiscal policy is the use of government expenditure and revenue collection to influence the economy....
in 1980, and briefly taught at George Washington University
George Washington University
The George Washington University is a private, coeducational comprehensive university located in Washington, D.C. in the United States...
and the New York University
New York University
New York University is a private, nonsectarian research university based in New York City. NYU's main campus is situated in the Greenwich Village section of Manhattan...
Graduate School of Business. He lectured at the Johns Hopkins University
Johns Hopkins University
The Johns Hopkins University, commonly referred to as Johns Hopkins, JHU, or simply Hopkins, is a private research university based in Baltimore, Maryland, United States...
School of Advanced International Studies between 1986 and 1991, and was appointed the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...
's Senior European and Central Asian Policy adviser in 1992, serving in that capacity during one of the most challenging years of the collapse of the Soviet Union. He them served as a member of the IMF Staff Papers Editorial Board until 1996, and of the European Journal of Political Economy, from 1997 to 2001.
Blejer also taught at the Central European University
Central European University
For other uses, see European University Central European University is a graduate-level, English-language university offering degrees in the social sciences, humanities, law, public policy, business management, environmental science, and mathematics...
in Budapest
Budapest
Budapest is the capital of Hungary. As the largest city of Hungary, it is the country's principal political, cultural, commercial, industrial, and transportation centre. In 2011, Budapest had 1,733,685 inhabitants, down from its 1989 peak of 2,113,645 due to suburbanization. The Budapest Commuter...
, from 1996 to 2000, and contributed to an array to economic policy publications, notably the American Economic Review
American Economic Review
The American Economic Review is a peer-reviewed academic journal of economics publishing seven issues annually by the American Economic Association. First published in 1911, it is considered one of the most prestigious journals in the field. The current editor-in-chief is Penny Goldberg . The...
, Journal of Political Economy
Journal of Political Economy
The Journal of Political Economy is an academic journal run by economists at the University of Chicago and published every two months by the University of Chicago Press. The journal publishes articles in both theoretical economics and empirical economics...
, International Economic Review
International Economic Review
The International Economic Review, is a quarterly peer-reviewed scientific journal in economics published by the Economics Department of the University of Pennsylvania and Osaka University...
, The Economic Journal, Journal of Development Economics
Journal of Development Economics
The Journal of Development Economics is a peer-reviewed academic journal published by Elsevier. It was established in 1974 and is considered the top field journal in development economics....
, Review of Economics and Statistics
Review of Economics and Statistics
The Review of Economics and Statistics is a peer-reviewed scientific journal specializing in applied quantitative economics, now called econometrics. It was founded in 1917 and first published as The Review of Economic Statistics in 1919...
, Canadian Journal of Economics
Canadian Journal of Economics
The Canadian Journal of Economics/Revue canadienne d'économique is a peer-reviewed academic journal of economics published quarterly by Wiley-Blackwell on behalf of the Canadian Economics Association. In 1967 the journal was established from a split of The Canadian Journal of Economics and...
, Economic Development and Cultural Change
Economic Development and Cultural Change
Economic Development and Cultural Change is a peer-reviewed academic journal published by the University of Chicago Press. It covers all aspects of the economics of developing countries, including education reform, immigration, debt bondage, ethnicity, land redistribution, and economic development...
.
A rapidly-deteriorating Argentine economic crisis in March 2001 led Blejer to accept President Fernando de la Rúa
Fernando de la Rúa
Fernando de la Rúa is an Argentine politician. He was president of the country from December 10, 1999 to December 21, 2001 for the Alliance for Work, Justice and Education ....
's offer of a post as Vice President of the Central Bank of Argentina, whereby he left the IMF as Senior Adviser, and after a 21-year career. Following de la Rúa's resignation in December, and that of Central Bank President Roque Maccarone in January, Blejer was named as the latter's replacement by President Eduardo Duhalde
Eduardo Duhalde
-External links:...
, on January 21. Blejer, who took office at the depth of the worst local crisis since the Panic of 1890
Panic of 1890
The Panic of 1890 was an acute depression, although less serious than other panics of the era. It was precipitated by the near insolvency of Barings Bank in London. Barings, led by Edward Baring, 1st Baron Revelstoke, faced bankruptcy in November 1890 due mainly to excessive risk-taking on poor...
, was appointed not only for the good rapport he enjoyed with international figures such as United States Federal Reserve Chairman Alan Greenspan
Alan Greenspan
Alan Greenspan is an American economist who served as Chairman of the Federal Reserve of the United States from 1987 to 2006. He currently works as a private advisor and provides consulting for firms through his company, Greenspan Associates LLC...
, Treasury Secretary Paul O'Neill
Paul O'Neill
Paul Henry O'Neill served as the 72nd United States Secretary of the Treasury for part of President George W. Bush's first term. He was fired in December 2002 for his public disagreement with the administration and became a harsh critic...
and his Deputy, John B. Taylor
John B. Taylor
John Brian Taylor is the Mary and Robert Raymond Professor of Economics at Stanford University, and the George P. Shultz Senior Fellow in Economics at Stanford University's Hoover Institution....
, but also because he remained among the few prominent economists to be in good terms with a wide variety of Argentine political figures: he was recommended by Economy Minister Domingo Cavallo
Domingo Cavallo
Domingo Felipe "Mingo" Cavallo is an Argentine economist and politician. He has a long history of public service and is known for implementing the Convertibilidad plan, which fixed the dollar-peso exchange rate at 1:1 between 1991 and 2001, which brought the Argentine inflation rate down from over...
during the free market
Free market
A free market is a competitive market where prices are determined by supply and demand. However, the term is also commonly used for markets in which economic intervention and regulation by the state is limited to tax collection, and enforcement of private ownership and contracts...
advocate's brief last turn at the post, and was close to diverse leaders such as center-left Congresswoman Elisa Carrió
Elisa Carrió
Elisa María Avelina Carrió is an Argentine politician, founder of the party initially known as Alternative for a Republic of Equals , now Civic Coalition ARI ....
, and center-right economist Ricardo López Murphy
Ricardo López Murphy
Ricardo Hipólito López Murphy is an Argentine economist and politician.-Career:López Murphy was born in Adrogué, Buenos Aires Province. He attended the National University of La Plata, where he was awarded the title of "Licenciado en Economía" in 1975...
(both these latter would be candidates in the April 2003 presidential elections
Argentine general election, 2003
Argentina held presidential and parliamentary elections on Sunday, April 27, 2003. Turnout was 78.2% and the results were as follows:-Argentine Congress:-Background:...
).
Blejer's appointment on January 21, 2002, was partly a result of Maccarone's link to the unpopular account withdrawal limits instituted the previous December, as well as to the latter's support for a more liberal bankruptcy
Bankruptcy
Bankruptcy is a legal status of an insolvent person or an organisation, that is, one that cannot repay the debts owed to creditors. In most jurisdictions bankruptcy is imposed by a court order, often initiated by the debtor....
law, which the nation's banks opposed. A supporter of lifting the withdrawal limits (corralito
Corralito
Corralito was the informal name for the economic measures taken in Argentina at the end of 2001 by Minister of Economy Domingo Cavallo in order to stop a bank run, and which were fully in force for one year. The corralito almost completely froze bank accounts and forbade withdrawals from U.S...
), Blejer prepared a plan to achieve this though treasury bills, whereby depositors would be allowed to withdraw larger amounts only by accepting these as payment, in lieu of cash. Seeking to guarantee their future value, he also revived a plan for the dollarization
Dollarization
Dollarization occurs when the inhabitants of a country use foreign currency in parallel to or instead of the domestic currency. The term is not only applied to usage of the United States dollar, but generally to the use of any foreign currency as the national currency.The biggest economies to have...
of the Argentine economy (a policy first suggested by former Central Bank President Pedro Pou in 1999). These policies met with the opposition of Duhalde's new Economy Minister, Roberto Lavagna
Roberto Lavagna
Roberto Lavagna is an Argentine economist and politician, and was the former Minister of Economy and Production of Argentina from April 27, 2002, to November 28, 2005.-Career:...
, however, and in June, Blejer resigned.
He was subsequently offered a post as adviser to the Bank of England
Bank of England
The Bank of England is the central bank of the United Kingdom and the model on which most modern central banks have been based. Established in 1694, it is the second oldest central bank in the world...
, and by September, actively called for the full lifting of the corralito, which ultimately took place in stages from December 2002, to the following March. In London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, Blejer also served as an adviser to the International Economics Program at Chatham House
Chatham House
Chatham House, formally known as The Royal Institute of International Affairs, is a non-profit, non-governmental organization based in London whose mission is to analyse and promote the understanding of major international issues and current affairs. It is regarded as one of the world's leading...
, from 2004 to 2007, and was named Director of the Bank of England's Centre for Central Banking Studies.
Fallout from the international, 2008 financial crisis later forced the left-wing Argentine government of President Cristina Kirchner to seek domestic financing for growing public spending, as well as for foreign debt service obligations. The president ordered a US$6.7 billion account opened at the Central Bank for the latter purpose in December 2009, implying the use of the Central Bank's foreign exchange reserves, and drawing direct opposition from the institution's President, Martín Redrado
Martín Redrado
Hernán Martín Pérez Redrado is an Argentine economist and policy-maker. He served as President of the Central Bank of Argentina between September 2004 and January 2010.-Early life and career:...
. Following an impasse, Redrado was dismissed by President Kirchner on January 7, 2010, prior to which Economy Minister Amado Boudou
Amado Boudou
Amado Boudou is an Argentine businessman and government policy maker who serves as Minister of the Economy since 2009. He was elected Vice President of Argentina as running mate of Cristina Fernández de Kirchner in the 2011 general election.-Early life and career:Amado Boudou was born in Mar del...
had announced that Mario Blejer (who had expressed support for the measure) would be appointed in his stead. Redrado, however, refused to step down, and President Kirchner's decree removing him was overruled by Judge María José Sarmiento
María José Sarmiento
María José Sarmiento is an Argentine judge, with a record of taking part in many known trials.In 1997, during the government of Carlos Menem, she ruled against a raise of taxes for telephones. Other judges made similar rulings, which were ratified afterwards....
, temporarily reinstating Redrado as president of the central bank; Redrado was ultimately replaced by Mercedes Marcó del Pont
Mercedes Marcó del Pont
Mercedes Marcó del Pont is an Argentine economist and lawmaker appointed President of the Central Bank of Argentina on February 3, 2010.-Life and times:...
.
Blejer, who remained in Argentina, contributed a number of op ed columns for Clarín
Clarín (newspaper)
Clarín is the largest newspaper in Argentina, published by the Grupo Clarín media group. It was founded by Roberto Noble on 28 August 1945. It is politically centrist but popularly understood to oppose the Kirchner government...
, the leading Argentine news daily; he expressed support for the Wall Street Reform and Consumer Protection Act signed in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
by President Barack Obama
Barack Obama
Barack Hussein Obama II is the 44th and current President of the United States. He is the first African American to hold the office. Obama previously served as a United States Senator from Illinois, from January 2005 until he resigned following his victory in the 2008 presidential election.Born in...
, while citing the need for further regulation of the world's fitful financial markets.