This week's New Yorker sports a Financial Page piece by James Surowiecki on Argentina's much-lamented coin shortage. It's a interesting take (albeit six months behind and far less amusing than this Slate piece), in which Surowiecki blames the hoarding on psychological reasons to do with Argentina's constant economic problems. But while this may be partially true, Surowiecki misses or plays down some basic reasons for the shortage. As the Slate article notes, bus companies were hoarding coins to the extent that one was caught with 13 million monedas in October. And, as we pointed out, Argentine simply doesn't have enough coins in circulation. Since that bus company was busted for its hoarding, the shortage has eased (though not entirely disappeared). Once again, Occam's razor--that the simplest explanation is usually correct--seems to be right.

(Image: The New Yorker)