Why did Argentina's currency collapse in early 2000s?

Question

What are the reasons that caused this collapse? Relevant links will get the best answer vote and high ratings.

Answer 1

"The story begins back in 1991, when a crucial free-market reform--the stabilization of the Argentine peso under a currency board with strictly limited powers--tamed the country's runaway inflation, bringing it from a high of 3,000 percent down to a mere 2.2 percent, slightly less than in the United States.

A stable currency attracted more investment, which was good for the economy. But Argentina's government abused this advantage, launching a spending spree financed by massive borrowing. As the nation's debt mushroomed, private lenders grew nervous, fearing the government would default. That, says Salsman, is when the turning point came. In March of 2000, Argentina turned for help to the International Monetary Fund."

Answer 2

because we had a president Carlos Menem.
He lies us. He told us that uor money (Peso) it's the same than a Dollar. So in that moment the medium class and the high class lived very well while the poor people lived so bad.
When Carlos Menen finished his time to be president, Argentina was a mess, all the factories have been selling and there was no money in the country. Then came another president of course, Fernando de la Rua. He was an idiot. Apart of that the country was very bad, and we was tired of lies. It was obviously that $1 was not the same than u$s1.
so the banks was not the money that the people had there.

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Answer 3

I am surprised that Wikipedia actually has an article on this specific subject. Here is a link to it. I can't think of anything to add.

http://en.wikipedia.org/wiki/Argentine_economic_crisis_(1999-2002)

Here is an interesting article on how the crisis in Argentina had a ripple effect on the currencies of Uruguay and Brazil, causing sharp devaluations of both:

http://www.bankintroductions.com/uruguay.html

Answer 4

...And they left many people holding the bag. They should be forced to repay their debts.