Vlad Putin the homo clown Tsar
Posted on 07/03/2024 8:19:28 AM PDT by dennisw
Russia's economy can't afford to win or lose the war in Ukraine, one economist says. That's because Russia can't afford the cost of rebuilding and securing Ukraine.
Russia's economy is completely dominated by its war in Ukraine, so much that Moscow cannot afford either to win or lose the war, according to one European economist.
Inflation is high at 7.4% — nearly double the 4% target of its central bank. Meanwhile, direct investment in the country has collapsed, falling around $8.7 billion in the first three quarters of 2023, per data from Russia's central bank.
That all puts the Kremlin in a tough position, no matter the outcome of the war in Ukraine. Even if Russia wins, the nation can't afford to rebuild and secure Ukraine, due to the financial costs as well as the impact of remaining isolated from the rest of the global market.
Western nations have shunned trade with Russia since it invaded Ukraine in 2022, which economists have said could severely crimp Russia's long-term economic growth.
As long as it remains isolated, Russia's "best hope" is to become "entirely dependent" on China, one of its few remaining strategic allies, Foucart said.
Meanwhile, the costs of rebuilding its own nation are already "massive," he added, pointing to problems like broken infrastructure and social unrest in Russia.
"A protracted stalemate might be the only solution for Russia to avoid total economic collapse," Foucart wrote. "The Russian regime has no incentive to end the war and deal with that kind of economic reality. So it cannot afford to win the war, nor can it afford to lose it. Its economy is now entirely geared towards continuing a long and ever deadlier conflict."
(Excerpt) Read more at msn.com ...
Russia’s GDP grew 5.5% year-over-year over the third quarter of 2023, according to data from the Russian government. But most of that growth is being fueled by the nation’s monster military spending, Foucart said, with plans for the Kremlin to spend a record 36.6 trillion rubles, or $386 billion on defense this year.
“Military pay, ammunition, tanks, planes, and compensation for dead and wounded soldiers, all contribute to the GDP figures. Put simply, the war against Ukraine is now the main driver of Russia’s economic growth” Foucart said in an op-ed for The Conversation this week.
Other areas of Russia’s economy are hurting as the war drags on. Moscow is slammed with a severe labor shortage, thanks to young professionals fleeing the country or being pulled into the conflict. The nation is now short around 5 million workers, according to one estimate, which is causing wages to soar.
Vlad Putin the homo clown Tsar
I told you Zelensky was a fraud and that the Ukraine would collapse, and here it is. Nice work.
LOL! Read the article.
Sounds like the USA.
I did.
Stupidest comment, in an overall ridiculous article
You seem desperate to post something, anything, no matter how childish.
Remember when “the Uke war will break the Russkie economy.”
Didn’t happen. Now the fall back is, “Oh, they need the war to keep the economy going.” Nope. Russia is just fine. It’s OUR economy the Uke war is breaking.
By March 2025 Trump will have dropped the world prices for gas and oil by 25%, and Putin’s main revenue stream will crash. China will not come to his rescue. Why would they bother? I hear there will be a fire sale on large portions of Siberia.
Denny’s back, posting propaganda!
Despite sanctions by Western countries against Russia due to the Ukraine war, the country has become a high-income economy from an upper-middle income economy. In its latest rankings, the World Bank has promoted the Russian economy to the top income category.
Dear Putin rump swab Preston. Read the article.
Russia does not have the economy, the money and the men to secure and rebuild any Ukraine that it conquers. So worst case scenario for Ukraine, is that they will be sniping at and sabotaging Russian assets in the Ukraine for years n decades.
Same as Ukrainian elite troops are blowing up and sabotaging (with drones etc.) Russian oil facilities and refineries right now.
The most noticeable thing about this war now is how little anyone talks about what’s actually happening on the ground. What can it mean?
ZEEPER FOLLIES PINGLIST!(((PING!)))
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