Continuing coverage: Read more on the 2012 Olympics here.
The U.S. will play Spain for the gold medal â" a rematch of the final at the Beijing Games won by the Americans four years ago.
With James doing a little of everything, the Americans finally pulled away in the third quarter from the Argentines, whose strong outside shooting had them within six points at halftime. But the defending bronze medalists eventually cooled off and the U.S. team moved into Sunday's final â" as expected.
Spain rallied from an 11-point halftime deficit to beat Russia 67-59 in the first semifinal.
James added seven rebounds and seven assists before taking a seat in the fourth quarter.
Manu Ginobili scored 18 to lead Argentina, which will play Russia on Sunday for the bronze medal.
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