Can the State be more efficient than the private sector in the management of the Argentine workers retirement savings? This is clearly a question that almost without thinking, has an answer for the refusal. But in the way that was yesterday presented the decision of elimination of the private retirement and pension system, gave the impression that the Government would be clearly more efficient in the management of the savings of the population. At the signing ceremony of the project that provides for changes in the system of pensions, the Argentine President, Cristina Fernandez de Kirchner, said: today we are deciding on the heritage of the senior citizens of our country, which added: we come to terminate the failed experiment of the capitalization scheme. After the signature of the President of the project, the owner of Anses (national administration of Social Security), Amado Boudou, argentina responded to some criticism: we have heard that the Government comes to make a sack. The only motivation is to rescue our retired future uncertainty and those who today are in the regime of capitalization. This project of reform envisages the Elimination of the system of capitalization, the absorption of the status of funds provided by workers to the AFJP (retirement and pension funds managers), and recognition by the State of the years of contributions of workers to the AFJP. The idea of greater efficiency with the new system, which aims to implement the Government inevitably collides with the following question: how you might expect that the Argentine Government is effective in the management of the retirement system if it has clearly demonstrated in the past, its total ineffectiveness in the matter? Before this project have already been observed the first views against, among which the market is located. Did you think the market in this respect? Drop the bag in a 10.99% drop in bonds that closed country in some cases by more than 11% down and increased risk in more than 15% until reaching the 1.679 basis points during the day yesterday. To know more about this subject visit Adam Portnoy.