Putin declares US and EU have killed the monetary system

[UndercoverElephant]

The only place I can find this is a video posted to reddit:

https://www.reddit.com/r/collapse/comme ... dollar_is/

[kenneal - lagger]

It's now been removed from Reddit as well now.

[Default0ptions]

I think we’re in for a bit of a shake up. QE (money printing by any other name) may be coming back to bite us.

Believers in MMT seem likely to find the magic money tree is a fairy story.

Dr Tim Morgan has long been analysing the disparity between the financial and energy economy - and this distinction seems now to being forced upon us.

“Debts that can’t be repaid, WON’T be repaid “

This seems to me to sound as if a US dollar, worth ‘full faith etc’, is only actually worth the resources the US dollar can actually deliver.

Biden’s best offer to the EU to try to replace 155 billion units of Nat gas so far is 15 billion units.

Except OPEC + have so far refused his phone calls.

And the EU have nowhere near enough LNG terminals to handle it.

Russia seems to be staking a claim against the petrodollar, and setting a pegged price for gold to roubles (though only buy not sell - so far) but it looks very likely that roubles per unit of oil, gas and other tangible resources are going to be a cost to be paid in the future.

I have no idea how this all will play out but; currencies that are backed by ‘full faith’ etc are unlikely to compare well to those backed by tangible resources.

[Potemkin Villager]

It's now been removed from Reddit as well now.

"Sorry, this post has been removed by the moderators of r/collapse.
Moderators remove posts from feeds for a variety of reasons, including keeping communities safe, civil, and true to their purpose."




Yep real Orwellian Ministry of Truth stuff.

[UndercoverElephant]

Actually the reason that was removed is that the person who submitted it did not also make a submission statement. It is one of the rules of that subreddit that you can't just post an article without a personal comment on it. Also, it is not actually deleted - you should still be able to go to the URL - it's just invisible to users of the site who don't have a URL.

It's worth watching, just to see Putin's face. Seriously pissed off.

[Default0ptions]

The link still works for me.

[Default0ptions]

The link still works for me.

Do you think the monetary system is just fine then?

[UndercoverElephant]

The link still works for me.

Do you think the monetary system is just fine then?

Is that question addressed to me?

You're a Russian troll pretending to be a normal user. I am not interested in discussing this situation (or anything else) with you.

[BritDownUnder]

I think the words "though only buy not sell - so far" are rather telling. Presumably you can come along with some gold and buy some roubles from some Mafia type guy who says there is no war in Ukraine etc etc. I also have some roubles to sell you if you want.

Russia finances are really the envy of the developed world in that they are a commodity economy and can just sell more commodities for foreign cash. Their central banker, who tried to resign at the start of the war but was persuaded to serve another five year term at the point of a gun, has won plaudits from overseas peers for their performance.
I recall another central banker, Hjalmar Schacht, who won plaudits from his peers in his era. He was the German central banker until 1939 when he retired. He was acquitted at Nuremburg for this rather prescient decision.

[Catweazle]

Russia finances are really the envy of the developed world in that they are a commodity economy and can just sell more commodities for foreign cash.

I haven't searched for detailed info, but the common perception "online" seems to be that Russias economy is a basket case.

I remember reading that their GDP was the size of Spains.

Is it emerging that in fact they are stronger than I thought ?

[PS_RalphW]

I think the Russian manufacturing and service economies are basket cases, and although they have large reserves of most commodities they are production constrained by geology and their limited logistics and transport.

A very large factor in the history of Russia is Vodka. For 300 years the Tsars held the monopoly on production and sale, and kept the serfs from rebelling by keeping them permanently drunk. Lenin tried to dry the country out, but Stalin reinstated the vodka state monopoly, passed on to the oligarchs in the 1990s. A large part of Russia is permanently drunk, with devastating impact on health, life expectancy, productivity and innovation.

With that level of historic substance abuse, it is going to take generations to turn around, if ever.

[BritDownUnder]

Well I have heard that they have had consistent budget surpluses and increasing foreign currency reserves for the last 10 years at least. Their economy is different to most other developed countries. If they have spent the money on something other than military expenditure or simply sent it out the country and used it for developing their economy then things may have turned out better.

I don't buy this idea that they are permanently drunk all the time. More likely there is no innovation because there is no incentive to be innovative. All the innovative people, in Russia known as the thieves world, have stolen everything. Also lack of accountability in public life, no rule of law and arbitrary government actions, little freedoms and democracy in their history have stifled their economy.

[Default0ptions]

You're a Russian troll pretending to be a normal user. I am not interested in discussing this situation (or anything else) with you.

Or simply a normal user, some of whose questioning of current affairs seems to upset your umwelt sufficiently to provoke wild personal accusations and insults.

Perhaps we should define “Russian Troll” as “anyone suggesting that there are, at least, two sides in this situation; and who questions your preconceptions”.

As an argument, “you are a Russian Troll” is flawed in both of its premises, since you don’t actually know if I’m Russian, or a troll, though you do seem to be open to the possibility that I might also show some signs of being a “normal user”.

I’ll spare the rest of the forum’s readers any reciprocal disparagement, but do hope that you might, one day, manage to rise above your insecurities and feel confident enough in your position to play the ball rather than the man in your future contributions.

Having read this forum from near enough its beginning I’m aware that you find this difficult.

Your book on Edible Mushrooms is one of the best I’ve ever read, though, and I’m browsing through your recent one on Edible Plants.

Thank you. I’ll be recommending them both.

[PS_RalphW]

According to Wikipedia and other sites, average alcohol consumption in Russia is high, but in line with several other European countries.

However, according to the WHO, Russia has the highest level of male alcoholism in the world, at 36.9%, and 9 of 10 top countries are ex Soviet block.

Not sure how alcoholism is defined or measured in this report, or how much it is a symptom or a cause of economic stagnation. Does the propensity to drink vodka (high ethanol concentration) cause more enibriation than the same quanty of alcohol in more dilute wine or beer?

[adam2]

Yes, vodka or other spirits do produce a greater degree of intoxication than the same volume of alcohol in say beer.
Half a litre of vodka at 40% ABV contains exactly the same amount of alcohol as 5 litres of beer at 4% ABV. However the half litre of vodka could be consumed in minutes and so doing would render most people unfit for any kind of work, and possibly unfit to walk safely.

Consuming 5 litres of beer would take most people some hours, a full evening of heavy social drinking, or perhaps a full days work if drinking routinely during working hours. By the time the last litre was consumed, some of the beer earlier consumed would have been metabolised and the peak concentration of alcohol in the blood be much less than resulting from drinking the vodka.

A person consuming 5 litres of beer over many hours should be capable of most types of rough or non critical work, and almost certainly able to walk reasonably safely.

I also suspect that alcohol use in Russia is greater than is reported. Outside of urban areas, home brewing is common and home distilling not that rare.
In urban areas, industrial scale production of drink by the local mafia is said to be frequent. Such drink is not included in in government figures.