Monday, August 1, 2016

Putin's Not Enough Economics And Too Much Politics



A good discussion in Bloomberg by Evgenia Pismennaya and Ilya Arkhipov of Russia's economic challenges, especially competing interests and Putin's likely approach dominated by domestic political and geopolitical priorities--which will only prolong Russia's economic agony.

The article does not get into what appears to be Putin's seeming intent to wait out the economic decline until circumstances turn in his favor (through weakening his perceived adversaries), but it does touch on the difference between having a strategy and Putin's approach to "cherry pick" short term fixes that will not achieve Russia's objective of 4% growth considered necessary to maintain Russia's broader national interests.  This is one time when a clever sleight of hand isn't going to be enough.