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https://www.cnn.com/2024/11/18/economy/russia-inflation-new-heights-intl-analysis/index.html

Inflation is being driven by the rapid rise in wages as the Kremlin pours billions into military industries and sends millions of men to fight in Ukraine. In the middle of a war, companies outside the defense sector can’t compete for workers without paying much higher wages. In turn, they charge higher prices. So the spiral continues.

“Prices are rising because of the war,” Alexandra Prokopenko at the Carnegie Russia Eurasia Center in Berlin told CNN. “Demand in the economy is distorted in favor of unproductive spending. Wages rise because employers have to compete for labor.

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[-] FuckyWucky@hexbear.net 44 points 5 days ago* (last edited 5 days ago)

In turn, they charge higher prices. So the spiral continues.

wtyp time to reduce profit share

And when the war ends, Russia will have to adapt to a post-war economy, curbing state spending, reintegrating huge numbers of demobilized soldiers and reorientating companies away from feeding military industries.

or they could not do that, implement a jobs program so that all the demobilized soldiers can get a job in the public sector instead of being unemployed.

I mean it is clear that even the CNN knows there won't be a Zimbabwe style scenario in Russia in part thanks to the economic policies of the Soviet era.

[-] Infamousblt@hexbear.net 32 points 5 days ago

No see Putler and Ruzzzia are all totally dumb irrational actors and they can't possibly think of a complicated solution such as "put all those soldiers to work on public things". They'll surely just let all those soldiers go instantly unemployed and let them be disgruntled and that will lead to a western friendly revolution! Putin cooked himself here and can't possibly think of ways to prevent it!

[-] Des@hexbear.net 32 points 5 days ago* (last edited 5 days ago)

cool and good scenario: Putin does big government FDR style programs post-war to keep vets productive, people begin to trust the state's capacity again, Putin dies naturally, United Russia breaks up into it's constituent parties without a solid successor, Russian Communist Party gains a slim majority and leverages this state power, we get a reborn but significantly more lib Soviet Russia closely aligned to China

Sino-Soviet split finally vindicated

[-] supafuzz@hexbear.net 25 points 5 days ago

just let all those soldiers go instantly unemployed

this is exactly what all western governments would do though

[-] Collatz_problem@hexbear.net 8 points 4 days ago

They can, because Putin is a LIB

[-] spectre@hexbear.net 27 points 5 days ago

Just keep them in the army and assign them to build shit?

this post was submitted on 18 Nov 2024
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