Yet, support for Putin is undiminished, according to anecdotal reports.
Posted on 12/17/2014 12:35:04 AM PST by elhombrelibre
Russians are watching their country suffer another avoidable economic calamity. The blame for this rests largely with the disastrous policies of President Vladimir Putin, who has consistently put his ego, his territorial ambitions and the financial interests of his cronies ahead of the needs of his country. ........................................................
Long before he annexed the Crimean peninsula and began backing pro-Russian forces in eastern Ukraine, Mr. Putin created an economic system that allowed a coterie of insiders to grow wealthy on Russia’s vast oil and gas reserves. He did little to diversify the economy or to make it more resilient.
Now Russian officials have to make difficult choices, none of which are good. As the ruble has collapsed, many individuals and businesses have been trying to take money out of the country or spend it; the International Monetary Fund estimated in October that about $100 billion could leave Russia by the end of the year.
(Excerpt) Read more at nytimes.com ...
“Russia has large financial reserves — about $420.5 billion at the end of November — but some of that money is tied up in gold and sovereign wealth funds that cannot be tapped easily to defend the ruble, says Anders Aslund of the Peterson Institute. While the government does not have a large external debt, many Russian banks and corporations, including large oil and gas businesses, were on the hook for about $614 billion in foreign currency borrowing at the end of September. Some of those firms will struggle to repay their loans if Russia’s economy deteriorates further and oil prices stay at current levels or decline further.”
few steps
The difference is, the Soviet Union was a closed system. We couldn't see what was going on until the whole rotten edifice collapsed live on CNN. This time we can actually see the thrashing about as Putin et al try to keep things functioning in what is starting to look a little like Weimar Russia.
The other difference is that this time there is a lot of Western money, especially European money, invested in Russia. I anticipate a number of institutional investors lobbying to ease sanctions and in effect rescue the Putin.
that’s what I have been thinking.. we are playing with fire here.. this could trigger a world wide economic meltdown, things are too financially intertwined now.
Yes, the cheering section for the Soviets then was all on the left too.
There's an old saying in business that when you borrow a little money from a bank, and then get behind, they won't hesitate to foreclose. But if you owe them a LOT, then the bank becomes a "business partner" and tries to "work things out."
“The other difference is that this time there is a lot of Western money, especially European money, invested in Russia. I anticipate a number of institutional investors lobbying to ease sanctions and in effect rescue the Putin.”
No worry, we have their backs, if not piped through Extortion-Care, then through another bailout scam. Just though it doesn’t effect The Exempt Ones, and The Lobby.
Yet, support for Putin is undiminished, according to anecdotal reports.
They’ve not seen all of the consequences yet, nor has Putin seen the impacts. I especially think that he’ll either have to give up his dream of a modernized military with a new empire, or he’ll have to go back to the days when he was a secret policeman with the KGB. Here comes the Gulag if he chooses Rusian chauvinism.
Small wonder the libs hate Fracking, it is killing their ideological base. Keep in mind the price of gasoline was below $2.00/gallon when Soetoro's first term started and rose sharply thereafter (another connection the MSM either failed to make or purposely ignored in order to protect the Useful Idiot in the White House).
The last NATO President stated that Russia is behind the green movement and the anti-Frackers for the obvious reason that it harms the Russian economy which is based on oil, cheap vodka sales and prostitution.
They’ve not seen all of the consequences yet, nor has Putin seen the impacts. I especially think that he’ll either have to give up his dream of a modernized military with a new empire, or he’ll have to go back to the days when he was a secret policeman with the KGB. Here comes the Gulag if he chooses Rusian chauvinism.
My interlocutor in Moscow reports patriotism is running high, a rally round the flag effect. Inflation is beginning to affect goods already but the famous Russian long-suffering seems to be the resort until the suffering deepens and spreads.
The situation becomes dangerous because we have Obama on the one hand whose ideology and character make him an extremely dangerous player and on the other hand we have Putin whose KGB background make him an extremely dangerous character because he is a thug but he is playing to a centuries-old strain of paranoia in the Russian character, which makes not just Putin but the whole nation dangerous.
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