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Russian Economic Meltdown?

Over on the massive Pajamas Media megablog, Kim Zigfeld reviews recent economic data from Russia which shows the country on the verge of a major financial meltdown.   Who can be surprised by this, when Russians blithely hand unlimited power for life to a proud KGB spy with no hint of business or economics training or acumen, who plagiarized his way to a university degree and spent his career being a thief and a thug?

Putin earns $120,000 per year, while the average Russian earns $8,000.  So Putin’s salary is fifteen times the Russian average.  Barack Obama earns $400,000 while the average American earns $46,000.  So the disparity between presidential and popular income in Russia is nearly double what it is in the U.S. Americans earn nearly six times more than Russians, yet they bear half the burden Russians do in compensating their chief executive.  And that’s to say nothing of Russia’s infamous corruption, of course, which makes Putin and his administration far more expensive still.

13 responses to “Russian Economic Meltdown?

  1. Auriga ⋅

    Russia has enough foreign currency and gold reserves to pay out both government and private foreign debts.
    Total reserves – $529.893 Billion at the moment,
    Total foreign debt – $549 Billion. Some of this debt is very far from maturity. So situation is very stable. Central Bank has enough to fend of virtually any attack on the currency. On the other hand, it allows free floating of exchange rate. In case of big drop of oil prices ruble will no doubt devaluate to dollar. This effectively controls imports, supports export, makes budget easier to met.
    By the way, if current Brent oil price (above $100) stays till the end of year, budget is in proficit. Very few countries in the world can boast proficit budget now.
    Last, but not least, Europe is already in recession. Look at industrial PMI for half a year it is below 50% for most of European countries. Even China is getting below 50% in last two moth.
    Russian industrial PMI is steadily above 50% which means expansion.
    See HSBC and Markit.
    As to US, you guys have a fiscal cliff and debt ceiling. Not to mention election, so political struggle will complicate immediate economic and financial challenges.

  2. Auriga ⋅

    By the way, Congress passes this on 28 september

    This Act may be cited as the ‘Mass Fatality Planning and Religious Considerations Act’.

    FEMA should be ready to mass fatalities. Do you prepare?

    • larussophobe ⋅

      Sure, that’s for when Russia’s crazed KGB maniac leader tries to nuke us. Best to be prepared. Meanwhile, you have tried to change the subject when faced with your incredibly stupid “comment” instead of apologizing for your error. That makes you a coward.

      • Auriga ⋅

        I gave you links.

        So. My statements;
        – financial system of Russia can survive short term drop in the oil prices (total foreign debt covered by reserves, proficit of trade + proficit of budget so far)
        – Economy will suffer but unlikely to meltdown. Fossil fuels are majority of exports, but less then 15% of GDP. Basicaly Russia can survive on its own food, metal, energy and can greately reduce imports without risk – only vital part of imports is pharmaceutics. In this area Russia has very few chances to catch up quickly. So will depend on import from Germany, Austria, et.c. core European countries that are likely to keep their economy intact in times of major crisis.
        – Shale gas is yet another financial bubble, just like solar energy. Low prices are maintained by inflow of investment that allows deficit.
        See my link about Chesapeak Energy.

        Meltdown is unlikely but a new Stalinization is very possible. It has already started. Good strategy to survive in the times of hardships when others shatter.

        • Bogdan from Australia ⋅

          A typical reaction of a SLAVISH, DEGENERATE mind, infatuated with totalitarianism.

          This is not only about oil you creep. America has to her disposal thrilions of cubic mteres of natural gas and deposits of coal sufficeient to power her energy industry for the next three-four hundred years. There is also the nuclear industry that will be freed from the shackles imposed by the traitorous Democrats.

          The Yanks are still a leader in a high tech industry and innovation. What they need is to rebuild their middle tech and low tech industry. They can do the things very fast if necessary and no other nation can match them on that field.

          It is now increasingly possible, although by no menas assured that Romney, as inept as he is, will win in November. He has already signalled that it is his strategic aim to push America towards the energy independence (after having stolen this idea from Sarah palin). Ha has already set up the team of energy specialists who are preparing a long term strategy of rebuilding America’s energy and other industries.

          If he wins, the long term strategy of Putin and his cohorts of making Russia leader of the oil/gas mega-cartel will collapse and the artificially inflated prices of those materials will tumble down.

          Tha datas you are providing are worthless as is your pseudo analysis…

        • Bogdan from Australia ⋅

          Appart from that, NOBODY wishes the long suffering Russian people ill. It is all about the genocidal neo-Soviet regime, unfortunatelly elected by the dumb sovoks, and not about the Russians themselves. Even Kim’s anti-Russian rants are more an expression of her frustration and exasperation with the fatalistic stupidity of Russians that her contempt for them.

          She certainly would see them as free and succesful as anyone.

          It is exactly like here in Australia. While I hate the present regime of Julia Gillard and her cohorts from Labor Party adn feel the highest possible contempt for those KANGAROOS and FOOTY APES who vote for her, I certainly love Australia and her people as a whole.

          One can hate PUTVEDEV’s regime and love the Russian people even if they are dumb and blind.

  3. Thanks for the arguments in favor of Stalinism…Fact is, Unk Joe had a growth rate of about 25% a year for a while, enabling him to grow from the zero of WW II economic ruins to a major competitor, for a while…

    However this was unsustainable due to the fact that it was based on the gulags’ slave labor…labor organized by Naphtali Frenkel on CAPITALIST PRINCIPLES!!!(Competition…You work, you eat in proportion)

    The minute Krushchev’s politburo let Stalin choke on his own vomit, disbanded the gulags’ workforce and transferred all productions to lazy good for nothing bureaucrats, the Soviet where on their way to the garbage can of history…

    As you said yourself in the end, Vlad the Empaler is most likely getting ready to reopen the gulags…will he find his own Frenkel to run them or will he keep floundering in his own incompetency?

    As for Russia’s reserves…that’s a good joke…it all most likely sit in private accounts in the Bahamas…you really think Russia’s KGB-FSB’s oligarchy is crazy enough to leave their ill gotten gains in the grubby hands of a stupid little rat faced faggoty pedophile like Pooty Poot Poutine?

    • Bogdan from Australia ⋅

      Dear Ming, in fact there are Gulags in the neo-Soviet Russia well and functioning. They house North Korean slaves who are slaving in them and cutting tajga in order to pay North Korea’s debt her monstrous regime owes Russia.

      The basic infrastructure and its administration is already in place.

      And as PUTVEDEV is certainly finding an orgasmic pleasure in pushing Russia towards neo-Stalinism, in a few years or even months her regime will start transport political dissenters into the Gulags again.

      Then, perhaps there shall be an opportunity to exchange the Western mental slaves of totalitarianism like Auriga or Cockroachpiss for new Solzhenitzsyn.

      • MCC ⋅

        Bodgan, Of course, the gulag system is THE ONLY INFRASTRUCTRE that works in russia. It is simply a matter of opening the gates and let those mongolian/russian hordes in. To run the medieval mental institution called russia, the russian government has the ingredience that is vital – 100 millions born rusian slaves that will NEVER object to be slaughtered, starved to death worked to death, and deprived of any humanity – they got used to it – it is a ‘winning combination’ russian style…

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