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Paraguay has annual inflation at 8%, a country with far less resources that Argentina which has a monthly inflation rate of 5%.
You are right, Splinter and I think there are at least two things here: the fewer resouces and opportunities - which lead so many Paraguagos to leave the country to look for work elsewhere - and the much higher rural population (over 35% compared with fewer than 10% in Argentina) who live at a subsistence level in the countryside. Not recently, but I have been to Paraguay several times, living for short periods amongst the rural poor in their Misiones province and although I have never tried to live in an Argentine Villa Miseria my perception is that rural Paraguagos are subsisting at a much lower level. In my opinion, the almost complete lack of money that I've noticed in rural communities (I've seen a lot of barter and people generally helping each other out) helps to drag inflation down
