1. Consider a hypothetical country in Latin America or the Caribbean thet currently is experiending hyperinflation It is also on the brink of defaulting on its sovereign debt, most of which is idollar denominated. It is not in default with the IMF, from which it can still borrow. 2. Its imports have both high tariffs and import licensing tht restricts quantities of certain coods. Currency control set a low ask and bid price for foreign exchange and there is a premium of 50% on the dollar in the parallel market. 3. Drug and criminal gangs are extorting successful restaurants in tourist areas which are also infested by pickpockets. Tourism as a source of dollars is drying up. 4. The armed forces traditionally support the democracy and are not corrupt. The police are underpaid round up they wages by friendly shake downs of citizens and foreigners. 5. The country has many in dire poverty. 6. The government has a rising deficit because of increasing expentitures but falling revenues, 7. Much domestic trade is now taking place in barter or in dollars in informal markets. 8. The country's creditworthiness is in serious doubt, as the deficit has been financed by the printing press, the fundamenta cause of the hyperinflation and a weakened currency. The good news is that you have just been elected president by a comfortable margin. You will send your minister of economics to negotiate your omnibus plan for stabilization and economic reform with the congress which must approve your plan for its implementation. My economic plan is detailed on the following pages. The newly appointed minister of finance will present it to congress in the next days: