Re: Russia Retreats To Autarky As Poverty Looms
I don't know. Don't have very good anecdotes. Just what the data says and what I can see through the tubes.
What was Russia's real per capita GDP in 1999? Something like $1,500? What was it last year? Something like $15,000? There's a reason why the strongmen come with a certain popularity. And when you get a 10-fold increase in 15 years, taking a hit back down to $8,000 isn't so bad. That's where you were 4 years ago.
I admit, some of the more bizarre of strongmen like Turkmenbashi were stone-cold nuts.
But I imagine this is why they want Moscow to police the the thing. Keeps everyone in line. Makes sure it works.
I mean, if they're really going forward with plowing through a huge new highway/passenger rail/freight system with all the trimmings and then some, it's not going to be worth a damn if the Central Asian Republics keep their borders so closed and their visas so nonsensically difficult etc.
I suppose that's another reason to get Moscow involved. If the EEU standards require you can travel overland from Beijing to Rotterdam through Almaty, Bishkek and Moscow relatively freely, at least without visas, that changes things up somewhat.
All I know is the People's Daily seems hell-bent on making it happen, which means the CCP is hell-bent on making it happen, and they have the cash and the industry and the state-owned enterprises to do it. Meanwhile, Moscow seems hell bent on putting Humpty Dumpty together again. They want a single-currency Eurasian Economic Union. This gives them some outside pressure to make it happen on a timetable. Beijing's pissed at Washington for the TPP. Moscow's pissed at Washington for the sanctions. And they finally decided to work together.
But let me be clearer about what I see China getting out of this. China gets to send it's giant construction machine off doing stuff in other places instead of letting it rot and letting so many go unemployed. Hopefully, in the long term, it gets expanded access to markets to dump overproduction. That's what it gets.
Moscow gets the legal/monetary integration with Central Asia. At least with Kazakhstan and Kyrgyzstan. The others may never join. They'll pull in Armenia from the caucuses and Belarus too while they're at it. Maybe they get their new free trade deal with Vietnam they've been working on. But you know, all the king's horses...
But, this doesn't mean that in a decade they won't have driven the infrastructure through and established a common super-ruble and travel and trade protocol. I'm not expecting this to be come kind of panacea. I don't think free trade is ever a panacea. And of course the billionaires will be making all the cash and GINI will keep getting worse. This is true of every nation on earth...
Originally posted by GRG55
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What was Russia's real per capita GDP in 1999? Something like $1,500? What was it last year? Something like $15,000? There's a reason why the strongmen come with a certain popularity. And when you get a 10-fold increase in 15 years, taking a hit back down to $8,000 isn't so bad. That's where you were 4 years ago.
I admit, some of the more bizarre of strongmen like Turkmenbashi were stone-cold nuts.
But I imagine this is why they want Moscow to police the the thing. Keeps everyone in line. Makes sure it works.
I mean, if they're really going forward with plowing through a huge new highway/passenger rail/freight system with all the trimmings and then some, it's not going to be worth a damn if the Central Asian Republics keep their borders so closed and their visas so nonsensically difficult etc.
I suppose that's another reason to get Moscow involved. If the EEU standards require you can travel overland from Beijing to Rotterdam through Almaty, Bishkek and Moscow relatively freely, at least without visas, that changes things up somewhat.
All I know is the People's Daily seems hell-bent on making it happen, which means the CCP is hell-bent on making it happen, and they have the cash and the industry and the state-owned enterprises to do it. Meanwhile, Moscow seems hell bent on putting Humpty Dumpty together again. They want a single-currency Eurasian Economic Union. This gives them some outside pressure to make it happen on a timetable. Beijing's pissed at Washington for the TPP. Moscow's pissed at Washington for the sanctions. And they finally decided to work together.
But let me be clearer about what I see China getting out of this. China gets to send it's giant construction machine off doing stuff in other places instead of letting it rot and letting so many go unemployed. Hopefully, in the long term, it gets expanded access to markets to dump overproduction. That's what it gets.
Moscow gets the legal/monetary integration with Central Asia. At least with Kazakhstan and Kyrgyzstan. The others may never join. They'll pull in Armenia from the caucuses and Belarus too while they're at it. Maybe they get their new free trade deal with Vietnam they've been working on. But you know, all the king's horses...
But, this doesn't mean that in a decade they won't have driven the infrastructure through and established a common super-ruble and travel and trade protocol. I'm not expecting this to be come kind of panacea. I don't think free trade is ever a panacea. And of course the billionaires will be making all the cash and GINI will keep getting worse. This is true of every nation on earth...
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