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This document intends to analyze the functioning of the “economic model” in the provinces, reflecting on the political impact which the current economic crisis could have there. The leading argument is that, since the country overtook the 2002 crisis, the provincial governments adopted a pro-cyclic model that is based upon a constant increase of public spending and public sector employment, which will enforce a cutback on expenditures, starting on June 28th. There are several reasons to expect that, at first, this cutback will be less drastic than the one needed on the national level; however, if the crisis gets worse and forces the government to apply broad saving measures, its impact on provincial politics can be very tough.
Adrián Lucardi is Associated Researcher of the Center for Opening and Development of Latin America (CADAL). He contributed to the elaboration of the “First Inquiry of Experts in Provincial Politics” (Argentina) and was elected for a scholarship by the Fulbright Commission and the Foundation of the University of Río de la Plata to participate in the “International Seminar for Young Leaders” held in Río Cuarto, Argentina, 2006, as well as in the “Fulbright Argentina Institute on Leadership and American Studies”, Delaware, United States, 2007. He graduated summa cum laude in Political Science from the University of San Andrés.