Putinomics is Poison for Russia
The latest stunning bad news on the Russian economy is that the nation’s budget deficit increased a whopping 37% in August, Russia’s month of doom. In the first seven months of the year the budget deficit was 4.3% of GDP, but in August it increased a gut-wrenching 1.6 points to reach 5.9% of GDP. The budget deficit could get close to double digits by year’s end.
The Kremlin is printing money at a furious rate to close the gap without massive foreign borrowing, and Russians are growing more and more concerned about the value of their currency. This has led economists to predict that the ruble could see a breathtaking 15% devaluation before the end of the year.
Economic disaster for Russia was predictable when Russians, whose economy is one-dimensional and enslaved by world crude oil markets, chose to allow a totally unqualified KGB spy to run it. But few could have predicted that the economy would collapse so dramatically or that Putin would so maniacally recreate a Soviet-style state in Russia, just as heedless of the public welfare as the USSR ever was.
Like mindless sheep, the people of Russia simply watch Putin empty their pockets and poison their children’s future in the name of cold war with Russia’s “enemies” abroad. Today we carry a report from the Times of London as our lead story, a report which indicates Russia is secretly sending dangerous weapons to the fanatical Islamic dictatorship in Iran. Putin has chosen to undertake such acts rather than to rebuild Russia’s infrastructure, leading to calamities like the recent explosion at a Siberian hydroelectic plant, ignoring horrific statistics such as the shocking fact that Russia does not rank in the top 130 nations of the world for adult lifespan.
In other words, the people of Russia are not victims but perpetrators in this crime against their children.