ARGENTINA: Under the Snow

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When Juan Perón is at his bluffing best, he has few peers among the world's rulers at giving visiting notables a snow job. Last week 16 junketing U.S. Congressmen listened to the President talk for an hour, and were nearly buried in the drifts.

Said Perón: "From the economic point of view I can assure you gentlemen that Argentina has absolutely no problems." Actually, Argentina's vital exports have slumped disastrously, her overall trade balance is unfavorable, her gold and foreign-exchange assets have plunged below $500 million, her credit is poor, her currency has slumped to 28 pesos to the dollar on the free market (legal rate: 14), her people are feeling the pinch of inflation and are threatened with shortages of fuel, farm and industrial machinery, washing machines, electric stoves, rolling stock and newsprint.

Perón said that although a 12-billion-peso debt existed when he took over, Argentina "does not owe a cent to anyone" now. Fact is that Argentina owes $125 million borrowed last year from the U.S. Export-Import Bank.

Perón said expansively that in his second term he expects to double farm output. If so, that would put him right back where he started; Argentina's farm output fell by about half in his first term.