Not entirely self-inflicted. A) Argentina "populist" leaders didn't have to go to the IMF and they provided a good climate for small to large enterprises with the obvious limitations that country's market has. When the current administration (conservative, neo-liberal) got in, Argentina didn't have debts but was negotiating with foreigner speculators who took advantage during last crisis at the end of 90's. So the current administration (those administration you guys love) worsened all the conditions for enterprises and made impossible to invest in any industry. They also let financial and venture capital to take the country's destiny in their hands. Four years ago, defaulting was unthinkable. USA Foreign Policy has much to do with it when they disturbed the local political process. B) Social programs benefits a small part of population, and they really need it. Actually, the actual administration is spending even more than before on social programs, and they're not the "elected populist leaders" you refer. While we can discuss if the incentives are effective for producing a labor force (I think they fail miserably), we can't discuss the basic rights of people to have something to eat until better economic conditions are met. C) Taxes are the weakest part of the system, but alone didn't hamper Argentina's capabilities to made business locally and internationally. And you forget that their nature are not different from any other places taxes in the world. US provided political and ideological support for this complete mess and you should feel ashamed before talking about other countries.