Bofferbrauer2 said:
Russia can't do that. You can't slow down a war economy without slowing down the production of weapons, something the Russian army can't afford. In other words, Russia is heading straight into an hyperinflation at this rate, as they don't have any foreign reserves anymore to prop up their currency (that's what they used over the last 2 years so they could claim "hey, see, the sanctions don't work, they make us even stronger, could as well remove them then." The only thing they can do is sell war bonds, but with an impoverished population there's not much to gain from those bonds in Russia... |
hmmm, a few things on this. You're giving me the ability to give some better context because I didn't mention the war part at all. But yeah, the upcoming slowdown won't affect the war production at all. The Russian govt is still going to be putting the orders in for the weapons, the slowdown won't mean jack and/or squat to the war factories like you're saying. They will also be raising interest rates shortly if that hasn't happened yet. And the economy is going to hell as it's more and more about war production as all of these tanks and artillery systems are going to get blown up. So, my point is that they aren't keeping the wealth in something that will stay in russia, it's going to be sent to ukraine to be blown up or just stationed somewhere. Even the soldeirs who are getting nice bonuses will spend a large part of their pay on vices-- drugs vodka ciggarettes as a way to deal with existential stress. So while it looks good because of the high govt spending, it really isn't good at all. Putin is getting worried, no doubt about it.
Last edited by shavenferret - on 27 July 2024
