Is he allowed to do that? 
Posted on 03/24/2022 8:05:27 AM PDT by kiryandil
All the great globalist plans, and those of so-called "mavens" in America who have thought for years that putting labor and material supply overseas as a means to avoid paying market wages in the US, along with evading environmental laws by putting the pollution somewhere else, are now up against the law of unintended consequences.
Russia has announced that it will soon require payment for its natural gas (and, presumably, all other exports) in Rubles. This is of course quite reasonable, since the resource depleted is theirs, and thus payment should be in their currency.
I smelled this coming when the sanctions were announced. Russia's GDP is about 25% energy sales; this is not "small ball" by any means, and since they've been sanctioned acquiring the Rubles with which to pay will get quite interesting.
The first lessons in economics all deal with supply and demand, and how that impacts price. What do you think happens when you have to obtain Rubles and there aren't many available? Uh...... yeah, Russia not only evades the sanctions they make a monstrous profit as a direct consequence of the stupidity of Western Nations in implementing them and since you can't replace said Russian energy the only way to stop it is to drop the sanctions!
Now let's talk about the impact right here when it comes to monetary policy, because there is impact -- but its not, as so many people have howled about over the years, "de-dollarization" or any such tripe. It's much simpler and again, is a function of nothing more than basic economics.
Part of how we've managed to evade the consequence of our credit emission (called "money printing" but it isn't) is through the "regularization" of nearly all international trade being denominated in US dollars. People like to call it "petrodollar" but that's intentionally...
(Excerpt) Read more at market-ticker.org ...
Is he allowed to do that?
Energy is subject to the same free market forces as any other commodity. Artificially inflate your price and your customers, while suffering short term pain, can covert to other options.
A seller, like Russia, with only one commodity to sell, is at the mercy of the market. Right now, due to bad Western Energy policy, Russia is in a sellers market. That can change.
But I know, never bother Putin's fluffers around here with the inconvenient facts.
I'm sure your Big Economic Brain has figured out a way to get your gasoline costs back down to Trump-era levels.
Or perhaps not... 
I’m going to pass out! Finally somebody has a clue as to why the dollar is so widely used.
“Part of how we’ve managed to evade the consequence of our credit emission (called “money printing” but it isn’t) is through the “regularization” of nearly all international trade being denominated in US dollars. People like to call it “petrodollar” but that’s intentionally false; the dollarization of international trade is hardly limited to oil and its products, nor has it occurred due to some grand conspiracy.
In truth the reason for denominating international transactions in dollars over time has been simple: The United States has had a more-stable currency and a solid, operational exchange and clearing mechanism, both of which are very important when it comes to pricing out something that may be delivered a month — or six months — from now. Since international trade at industrial scale nearly always involves significant delays between the order and fulfilment (think the time to load and sail an oil tanker, or one full of grain) that stability is extremely valuable. The certainty of knowing you will get paid and being able to put boundaries on potential value changes in that price over time is why the dollar has become the standard for international trade. It is no more complicated than that
“your customers, while suffering short term pain, can covert to other options”
It may be a bit more than “short term pain” if you need to build a whole new pipeline to get your natural gas from somewhere else. Can’t just truck enough of that stuff in to heat half of Europe.
This short term stunt will blow up in their faces over time. They just cut themselves off from significant amounts of dollars and euros that they’ll need for other trade. They have to pay 20% interest rates for people to hold rubles. They are getting so screwed on that.
The complication comes when sociopathic TechnoClown International Bullies can shut off access to your dollar assets in the blink of an eye...
It's gonna be several years before the Euroweenies are able to dig themselves out from this stinking pile of rubles they just buried themselves under.
Meanwhile, Pootie's EuroGreenie climate puppets aren't going to quit their full-time jobs blocking pragmatic energy access in Europe and The West...
No kiddie emojis like a grammar schooler for my reply? My feelings are hurt. If you had to talk intelligently all by your lonesome on this topic for 5 minutes you’d stammering and stuttering worse than Obozo when his teleprompter went out.
We see this constantly in your FR postings.
Now, you're welcome to go debate The Man over at the Market Ticker yourself on this issue, being as how you're brilliant and all.
And pigs will fly...
You’re way too stupid to realize that you other brainless cut and pastings on the dollar contradict what Denniger is saying about the dollar here. You need to debate him you moron.
Par for the course from Free Republic's Economic kiddie table... 
Way too dumb to realize your brainless monkey cut and pastes contradict each other.
And on and on and on and on and on...
Denniger said that Trump knew about covid ahead of time and was in on it and should be the first to be tried in Nuremberg trials.
Denniger says that the Great Reset talk is all BS.
Denniger says that the depopulation talk is all BS.
... and many more
So many contradictions with the cut and paste monkey. So little time.
This is a good article by someone who understands the monetary economy
Also, he just joined Free Republic about 10 minutes ago [born on 2020-12-13].
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