Russian Economy General News: #10

kvs wrote:

Austin wrote:"Sanctions from hell" are back. Gold and missiles will save us

https://ria.ru/20190405/1552398560.html

The lunacy of the Congress chimps is apparent from the excuse for these sanctions:  Russian meddling the future 2020 elections.

These chimps really do believe that they can create reality through the force of their will.    They are Nazi lunatics.

"Triumf des Willens"

They are insane, senile or just both

Either way, Russians are holding their own and standing firm, which I give them credit for especially since the damage done to them in the 90's is enough to create trouble for decades more to come. Yet Russia overcame hurdles most others wouldn't.

Russian State and semi-State companies should sell their assets in US and withdraw any money in US banks any where in the world if they have any.

I expect the next sanction they will simply freeze assets of these companies , So these companies should not wait for this to happen.

It is much safer for them to bring back money home or save/invest these money in Russian Indian or Chinese bank rather than US or EU

and CBR should sell all the USD denominated assets what ever they hold

Russia should stop saying US as partners and call spade a spade

And they should refuse any payments for international trade in US dollars... whether it be for oil or gas or anything...

kvs wrote:And no, real income of the population is not falling.   It grew by 7% in inflation adjusted terms in 2018.

@kvs, where can this data be found online please?

Google search algorithms unrelentingly retrieves only the gloomiest news about anything Russia, including (sadly) from domestic Russia-bashing pro-Western liberal media like the Moscow Times.

The poorest Canadian poor are poorer than Russian poorest.

I wouldn't go that far...

the real income of the population is falling. The gap between the rich and the poor is growing.

In short, both of these are false. Russia's GINI-index has fallen and it's now lower than the US. Also, if I remember correctly, even according to the recent "anti-Russian" study on Russian inequality, it's not really higher than in the US AND it's not really getting worse anymore. But that report was quite obviously partially BS, as pointed out by Hellevig, among others.  

Russian real wage growth is slowing down because Russian inflation (CPI) has fallen dramatically.   Note how these anti-Russian clowns ignore 20 years (modulo recessions) wage growth in Russia and fixate on the transient decline in 2018. There were similar variations in the past.

Exactly. "Real wage growth" can be extremely variable, and even it should absolutely grow from this year onwards. As kvs mentioned, before 2014 income growth was massive (and clearly above GDP growth, at least I think so), but so was inflation.  

It is like judging climate change by daily weather variations at one's location.

This, good analogy.

Kimppis wrote:

The poorest Canadian poor are poorer than Russian poorest.

I wouldn't go that far...

I have already posted data on this.   I was a bit surprised since I had thought that the 1990s in Russia really left a lot of destitution.



It looks like you live in Europe.   Your MSM does not inform you of the reality of life of aboriginals in North America.   It is not
an exaggeration to compare life for a lot of subarctic aboriginal groups living on reservations to that of the 3rd world.    The
biggest past time among the youth is to sniff solvents and suicide.

In spite of all the hate propaganda aimed at Russia, aboriginals in Russia live vastly better lives.   They have not been ethnically
cleansed into ghettos and did not even suffer all the commie and nazi pain of the 1920s, 30s, 40s and 50s.   In Canada we
had the famines of Inuit during the 1940s and 1950s.

the real income of the population is falling. The gap between the rich and the poor is growing.

In short, both of these are false. Russia's GINI-index has fallen and it's now lower than the US. Also, if I remember correctly, even according to the recent "anti-Russian" study on Russian inequality, it's not really higher than in the US AND it's not really getting worse anymore. But that report was quite obviously partially BS, as pointed out by Hellevig, among others.  

Russian real wage growth is slowing down because Russian inflation (CPI) has fallen dramatically.   Note how these anti-Russian clowns ignore 20 years (modulo recessions) wage growth in Russia and fixate on the transient decline in 2018. There were similar variations in the past.

Exactly. "Real wage growth" can be extremely variable, and even it should absolutely grow from this year onwards. As kvs mentioned, before 2014 income growth was massive (and clearly above GDP growth, at least I think so), but so was inflation.  

It is like judging climate change by daily weather variations at one's location.

This, good analogy.

Regarding the wage growth crisis. Nobody would be talking about these wages if Russia followed some BS austerity plan from the IMF.
If Russia was selling itself down the river, then everything would be hunky dory as far as all the NATO and 5th column MSM and "activists"
was concerned.

It is rather interesting that Russia has undergone substantial structural reforms over the last 20 years and especially after 2014 which
have yielded the right results. Yeltsin's high ruble and high import policy almost destroyed Russia's economy and left it dependent,
like a banana republic, on key imports. Agriculture was one such import dependence. Now you see Russian being basically self
sufficient in meat and the biggest grain exporter on the planet. This is not some accident, it is long term policy and development
of Russian agri-business. Since 2014 we have seen a flowering of small businesses that have moved in to provide high value added
consumer products such as cheeses and other dairy products, etc. While monetarist scum was claiming that lack of small business
formation was all because of "lack of reforms" it was actually the legacy 1990s market entry barrier due to the import flood that
suppressed small business formation. Of course, bureaucracy is an issue in Russia (again thanks to Yeltsin and not the USSR),
but Putin has been curtailing gratuitous meddling by bureaucrats. This detail does not get much media attention, of course.

kvs wrote:Regarding the wage growth crisis.    Nobody would be talking about these wages if Russia followed some BS austerity plan from the IMF.
If Russia was selling itself down the river, then everything would be hunky dory as far as all the NATO and 5th column MSM and "activists"
was concerned.

It is rather interesting that Russia has undergone substantial structural reforms over the last 20 years and especially after 2014 which
have yielded the right results.   Yeltsin's high ruble and high import policy almost destroyed Russia's economy and left it dependent,
like a banana republic, on key imports.   Agriculture was one such import dependence.    Now you see Russian being basically self
sufficient in meat and the biggest grain exporter on the planet.    This is not some accident, it is long term policy and development
of Russian agri-business.   Since 2014 we have seen a flowering of small businesses that have moved in to provide high value added
consumer products such as cheeses and other dairy products, etc.    While monetarist scum was claiming that lack of small business
formation was all because of "lack of reforms" it was actually the legacy 1990s market entry barrier due to the import flood that
suppressed small business formation.     Of course, bureaucracy is an issue in Russia (again thanks to Yeltsin and not the USSR),
but Putin has been curtailing gratuitous meddling by bureaucrats.   This detail does not get much media attention, of course.

It was obvious to anyone with half a brain.  It was mentioned before that Russia couldn't compete with the imported crap from europe due to THEM getting subsidies in agriculture and thus flooding Russian market.  Once the subsidies no longer was sufficient thanks to sanctions from Russia (counter sanctions) and or tariffs, it was no longer cheaper to import and local production started to flourish.  This has been said for so long it is a surprise people are even....surprised by Russias current success.  Russia has still lot of room to grow so they will still have lots of industrial and agricultural growth in the next while till they are fully 100% self sufficient.

Apparently the import substitution in medicine for basic issues has grown so much, that many companies are actually failing because the local market is flooded with already local made medicines of same thing thus some pharmaceuticals will end up going bankrupt if they don't move onto other more complicated medicines or find export partners.

All About the U.S. Sanctions Aimed at Putin’s Russia

https://www.washingtonpost.com/business/all-about-the-us-sanctions-aimed-at-putins-russia/2019/04/07/89352cc0-5988-11e9-98d4-844088d135f2_story.html?utm_term=.1ffed44c6df6

GarryB wrote:And they should refuse any payments for international trade in US dollars... whether it be for oil or gas or anything...

Which will be completely USELESS response , because US dependence on Russia business is close
to 0%... the only thing they depend is taxi to the ISS and this will be over too in just one year ,when
Americans start delivering their own astronauts with their own technology...

So Americans declare full scale economic war and what will be Putin's Response ?
Complains and hopes for their western "parters" to get back to their senses..  

Why not counter American most popular companies instead?  As example like China is doing
with their IT business and smartphones truly damage US (Apple) economy?  Why Not fight
US leadership/influence in the world and offer an alternative System ?  

Is crazy how people believe somehow that by Ignoring the west War on Russia existence ,
by attempting to collapse Russia economy ,  could be countered by just Russia not using dollars..
how scared they are by that..   Putin's passiveness is the biggest threat to Russia existence..
and the idiots who defend him too. Russia needs to fight back is a war.. and building more hypersonic
weapons or more nukes will NOT STOP US aggression on Russia and will not make Russia safe..Putin's believed that by building Hypersonic weapons ,the americans elite will
change their minds and will cease their hostilities , Putin told.. "You did not listen ,now you will."
pointing proud at their new nukes.. well guess what? Americans still don't listen morons... like Putin.
and never will. . and why is that ?  Because as long Putin DO NOTHING to counter American system
,American leadership in the world.. American business popularity .. as long Russia don't offer a BETTER alternative to US business world.. then Russia will continue being called a backwards nation
by the west.. and this is why Russia have problems in influencing any developed nation to its orbit..
US sanctions will NOT work if Europe ,and Asian most developed countries high tech nations move towards Russia orbit.... So US depends on its influence and leadership to damage Russia.. So Putin
needs to break that alliance ,  not starting a world war3.. but by developing Russia as a real alternative To American Popular and most respected business..  Countering US it Industry , US semiconductor and software industry , and NASA , out matching them big time in space.. is how you do that..  Countering US entertainment industry and their Internet will not be bad either...

But saying.. that just don't use American dollars...  
This is ridiculous silly.. this is pure weakness if that is all that Russia will do..
US leadership needs to be countered.. the King needs to be removed from his throne ,
and this will not happen with Putin the weak , with Putin the polite as President.. This will not
be countered by winning Olympic medals..or promoting judo or a "healthy life" ,neither will happen
with Putin's lectures of good behavior . But instead by winning high tech & space medals..
by promoting and creating a new System , so that Europeans can move away from the US one..
and so that we all can go back to our normal peaceful lives , not having to talk at all of sanctions
or US new attacks on Russia ... All that things Americans can do.. are only possible because of LEADERSHIP they have and Russia don't.. Leadership they gained ,because of their Leading/influential  role their Business have in the development in the world..  Without American
high tech companies ,you can't have a modern developed country today..not even internet or computers, but without Russia anyone can live.. perhaps with more expensive energy prices and nothing else.  Putin short sight vision of how to develop Russia in the 20 years he have been in power, is the reason ,Russia have been struggling so much to counter the US ,when it should be
something very easy , had he understood how to Counter US leadership in the world.

All Russian problems , the solution to ABSOLUTELY ALL problems Russia face..
can only be FIXED when Russia get a REAL TRUE LEADER. that develops Russia for nothing
less that a TRUE INDEPENDENCE... not only in military and energy as always Russia had,,
But also ON TECHNOLOGY too.. That a day could come and Russia will absolutely will NOT
face any single problem ,from not having business relations with US or Europe. Because they will
have a SUPERIOR alternative to the things they produce.. Only when Russia becomes a Truly
independent nation , is when they will have peace ,and the leadership of US over the world will disappear as soon Russia becomes a more advanced nation than US and offers a superior alternative
to US business . then the entire world will follow Russia and not US.. So a major education revolution is what Russia needs.. to promote Science and technology and NOT silly meaningless medals sports..

Austin wrote:All About the U.S. Sanctions Aimed at Putin’s Russia

https://www.washingtonpost.com/business/all-about-the-us-sanctions-aimed-at-putins-russia/2019/04/07/89352cc0-5988-11e9-98d4-844088d135f2_story.html?utm_term=.1ffed44c6df6

Why do you post this hate propaganda here? It adds less than nothing to this thread. There is simply no value in
analyzing Washington's lies. They can be dismissed outright.

kvs wrote:

Austin wrote:All About the U.S. Sanctions Aimed at Putin’s Russia

https://www.washingtonpost.com/business/all-about-the-us-sanctions-aimed-at-putins-russia/2019/04/07/89352cc0-5988-11e9-98d4-844088d135f2_story.html?utm_term=.1ffed44c6df6

Why do you post this hate propaganda here?   It adds less than nothing to this thread.   There is simply no value in
analyzing Washington's lies.   They can be dismissed outright.  

Especially from Washington post which was also at the forefront of the Russiagate nonsense. So yeah, cheap propaganda.

Which will be completely USELESS response , because US dependence on Russia business is close
to 0%... the only thing they depend is taxi to the ISS and this will be over too in just one year ,when
Americans start delivering their own astronauts with their own technology...

It has nothing to do with hurting the US directly, it is about demanding other currencies other than US dollars for any transactions... every time the US dollar is used in international transactions they get a cut. The demand for their dollar is good for their economy and the value of the dollar.

Making the US pay for Russian rocket engines in Euros or Rubles...

Getting other countries to trade in other currencies including their own... WTF is the point in trading with China in US dollars... as you say trade between the US and Russia is now tiny... it was never big in the first place... what are the Russians supposed to do with all those US dollars?

Trading with China in Chinese currency or Russian currency is useful because it means they can use Chinese currency to buy Chinese products, or it adds demand for their own currency.

http://tass.com/economy/1052690

Erdogan pledges to introduce exemptions for Russian entrepreneurs

MOSCOW, April 8. /TASS/. Turkish President Recep Tayyip Erdogan has pledged to introduce various exemptions for Russian businessmen willing to invest funds in the country’s economy.

"Turkey and Russia are looking for new opportunities to bring trade turnover to $100 bln," he said at a meeting with Russian counterpart Vladimir Putin and representatives of Russian and Turkish business circles on Monday. "We do not view your firms as foreign or Russian, we view them as our own," President said, adding that "Russian entrepreneurs willing to invest in Turkey will be provided with various exemptions."

Erdogan noted that he "had tasked all departments of the country with making every effort to ease trade ties with Russia."

President also said that he hopes that "Russia and Turkey would shift to settlements in national currencies" soon.

https://sdelanounas.ru/blogs/118896/

Trade surplus Russia in January-February increased by 3.8%

Almost 40% of Russians are dissatisfied with life

Citizens do not have enough resources to actively adapt to low incomes

https://www.kommersant.ru/doc/3938152?from=main_2


Government needs to do something to improve the incomes , Cant have 40 % of Russian dissatisfied with their state.

No point keeping Budget Surplus or Low Debt . Spend it in a way that improves the salary for average Russians to improve their life

Austin wrote:Almost 40% of Russians are dissatisfied with life

Citizens do not have enough resources to actively adapt to low incomes

https://www.kommersant.ru/doc/3938152?from=main_2


Government needs to do something to improve the incomes , Cant have 40 % of Russian dissatisfied with their state.

No point keeping Budget Surplus or Low Debt . Spend it in a way that improves the salary for average Russians to improve their life

but what if outside forces are actually responsible for this kind of behavior? Either by supplying false information to the publisher (kommersant) or deliberately waging a mass influence campaign to make Russians feel dissatisfied with what they have to demand the government more up to the point of draining all the country’s resources? Such a possibility cannot be discarded and i highly recommend that the FSB and other state intelligence agencies look deeper into all the clandestine influence operations by NATO and their 5th column minions in Russia.

PhSt wrote:

Austin wrote:Almost 40% of Russians are dissatisfied with life

Citizens do not have enough resources to actively adapt to low incomes

https://www.kommersant.ru/doc/3938152?from=main_2


Government needs to do something to improve the incomes , Cant have 40 % of Russian dissatisfied with their state.

No point keeping Budget Surplus or Low Debt . Spend it in a way that improves the salary for average Russians to improve their life

but what if outside forces are actually responsible for this kind of behavior? Either by supplying false information to the publisher (kommersant) or deliberately waging a mass influence campaign to make Russians feel dissatisfied with what they have to demand the government more up to the point of draining all the country’s resources? Such a possibility cannot be discarded and i highly recommend that the FSB and other state intelligence agencies look deeper into all the clandestine influence operations by NATO and their 5th column minions in Russia.

Well, let's be real here. It's been proven that Kommersant is bullshit foreign funded press for libtards. No matter how much Austin is told this, he still posts it as if gosipal and demands Russian authorities act upon false information.

Other issue too is that it's not specific enough and their "findings" are vague.  To top it off, it's unnoficial and what is the total amount of people who responded?  Thing about statistics like these, is that they can be bended to any kind of narrative.

One I find interesting which throws the debate from the article is that it states they can't afford education. Kicker is, education in Russia is subsidized where it's free for citizens. Unless you go to private school.  Which then gives me indication they specifically asked certain individuals for their opinions.

Here is something people like Austin can't figure out. Giving handouts doesn't actually help. It does what you say, drains a system. Instead, create jobs (unemployment is low thus it proves that is the case).  Other thing is, average wage increase yoy dictates the people are wrong and thus as you said, is being fed false information.  And lastly, they only asked what, 1,000 people? Out of a nation of 146M, it's just nonsense.

Here are facts of info:

https://tradingeconomics.com/russia/disposable-personal-income

Hole wrote:Ah, statistics!

You can read even this statistic quite differently. 40% are "dissatisfied" means that 60% are OK with how their life is going. Or you can say that these 40% are not satisfied and want a better life = they will work harder, improve themselfs and get richer.

It actually said in the article too that many either went to find a new job or are going back to school in the article.

But Austin wants Russia to just hand out free money like Saudi Arabia does.

I rather give tax refunds instead

Yeah, I don't think (less than) 40% is actually that high at all. Of course, it doesn't mean that the results are "fake" either. Don't shoot the messenger, so the speak.

In fact more than anything else, such results suggest that Russia is not the "totalitarian Putlerreich" of the Western imagination.

As well, according to surveys, there's one thing that 90% of Russians can agree on, even after Putin's popularity is back to the standard 60%. That one thing is Russia's foreign policy direction (i.e. many Russians and most of his opponents think Putin is too soft and "pro-Western liberal," not the other way around).