Vladimir Putin has Russia headed for economic ruin. The West can't lose its nerve now

[canetoad]

Russia is running a ‘hot’ war economy.
Defence spending in all forms has tripled since the invasion of Ukraine and is approaching 8 per cent of national output, roughly what it was under the Soviet Union.

Military Keynesianism flatters GDP figures, never reliable anywhere, but particularly useless in Russia where data is manipulated.
An estimated 800,000 of the young and the brightest have left the country. Another 300,000 have been slaughtered or maimed in the meat grinder. The mobilisation net keeps widening, in a society already facing a demographic crisis.

Yet the alchemy of statistics has turned Russia into the macro-superstar of Europe. The International Monetary Fund has pencilled in growth of 3 per cent in 2023 and 2.6 per cent in 2024. “Our economy, unlike the others, is growing and has become the largest in Europe,” said Vladimir Putin at the ‘Everything For Victory’ forum in Tula.

This apparent resilience has confused many, leading to a pervasive sense of despair at the Munich Security Conference over the weekend.

https://www.theage.com.au/business/the-economy/vladimir-putin-has-russia-headed-for-economic-ruin-the-west-can-t-lose-its-nerve-now-20240221-p5f6jd.html

No Paywall: https://archive.md/ivR3i

[NJCher]

1. The West isn't losing its nerve

It has a House sanity problem. And JD Vance does not speak for the US government.

On another note, the article states: Surging supply from US shale keeps overwhelming OPEC cuts.

[speak easy]

2. "Military Keynesianism?"

Military Keynesianism didn't do a bad job at getting the U.S. out of the Great Depression.

[DFW]

3. Russia manipulating its statistics, how shocking.

All anyone has to do is visit Russia and see how “great” their economy is. The 76 year old girlfriend of one of our best German friends is holding down two jobs just to be able to pay her rent and eat. Due to sanctions, they haven’t been able to see each other for two years. Unless you’re Tucker Carlson, Russia isn’t quite the envy of the Eastern Hemisphere that Putin says it is, and I’m pretty sure even he knows it. I would bet that Putin has more to fear from his inner circle right now than he has to fear from any missiles from the West.