> So according to the World Bank (not a Russian source!), Russia just flipped Japan to become the fourth largest global economy in GDP-by-PPP:
After reading this line you can easily identify that author is either propagandist or moron.
This is how Russia "increased GDP":
1 - Paid to restore tons of USSR weaponry garbage to just burn it yesterday.
2 - Funded building of new weaponry that will be burned today.
3 - Moved 5-10% of population to "military economy" building some military crap that have no other use other than get burned tomorrow.
4 - Took 300,000 random people out of real economy via forced mobilization and thrown them on frontlines.
5 - Hired 500,000+ poor or destitute people who had annual salary of $3600. Hired them for $2000 / month and paid them out $40,000 sign up bonus to go die on frontlines.
6 - Killed at least 100,000 of them and paid out $50,000 for each dead body to a family.
7 - Made like another 200,000+ of cripples that wont be able to work like until they die. So more spending.
And in process doubled mass of local currency in economy from 2022 from 65 trillion rubles to 117 trillions.
I could be wrong, but my impression is that GDP is usually thought of (by non-economists) as a trailing index that has some sustainability baked in, by inertia if nothing else. Military spending would normally track reasonably well with that. What Russia is doing... doesn't sound sustainable.
This is a very late reply, but whatever. My point is what Mr. Bloody Dictator is doing is just plain dumb. Even for some super fans of Putin who completely ignore tens of thousands civillians Russia killed in Ukraine, millions of refugees, etc.
Russia demography was abysmal long before COVID due to pre-WW2 and WW2 ripple effects. And during this invasion country lost like ~500,000 man dead or severely crippled and probably twice that amount to migration.
Basically in a few years country efficiently lost like 3-5% of it's working populaton with another 5-10% moved to produce "munitions" or something that will rot till next big war. Anyone who try to sell this as economy growth is a moron.
And btw it's exactly Japan scenario except for different reasons:
> 8) Less sanction efficiency than ever
> So according to the World Bank (not a Russian source!), Russia just flipped Japan to become the fourth largest global economy in GDP-by-PPP:
After reading this line you can easily identify that author is either propagandist or moron.
This is how Russia "increased GDP":
And in process doubled mass of local currency in economy from 2022 from 65 trillion rubles to 117 trillions.
Economy is booming!
Your post is more a criticism of including military spending in GDP, not anything particular to Russia's GDP-PPP calculation.
I could be wrong, but my impression is that GDP is usually thought of (by non-economists) as a trailing index that has some sustainability baked in, by inertia if nothing else. Military spending would normally track reasonably well with that. What Russia is doing... doesn't sound sustainable.
1 reply →
This is a very late reply, but whatever. My point is what Mr. Bloody Dictator is doing is just plain dumb. Even for some super fans of Putin who completely ignore tens of thousands civillians Russia killed in Ukraine, millions of refugees, etc.
Russia demography was abysmal long before COVID due to pre-WW2 and WW2 ripple effects. And during this invasion country lost like ~500,000 man dead or severely crippled and probably twice that amount to migration.
Basically in a few years country efficiently lost like 3-5% of it's working populaton with another 5-10% moved to produce "munitions" or something that will rot till next big war. Anyone who try to sell this as economy growth is a moron.
And btw it's exactly Japan scenario except for different reasons:
https://en.wikipedia.org/wiki/Demographics_of_Russia
https://en.wikipedia.org/wiki/Demographics_of_Japan
1 reply →