Comment on How is Russia not Financially Crippled?
JohnDClay@sh.itjust.works 1 year agoThe central bank has been surprisingly competent. But it seems like they’re often trading short term problems for long term ones, so we’ll see how they deal with them.
What do you think of this assessment? You agree, or is William Spaniel missing some stuff? youtu.be/ecdxs8Al424
Mistic@lemmy.world 1 year ago
They guy did his research, and he did it right. Even mentioning the “social contract”, that’s not something you hear from an average youtuber.
There’s only a few points I’ve noted
Although the monthly rate can be calculated as yearly÷12, it is inaccurate. Doesn’t change much, but still. ( (1+monthly rate)^12 = 1+yearly rate <= this is the accurate conversion)
Next is “failed pension reform.” It’s failed in political sense. The intent of it was to lessen the depletion of pension fund, which it technically did do. But, yeah, it was absolutely not popular. Not to mention that it didn’t solve the root of the problem, which was obvious from the start. Back during his first or second presidency period, he promised not to raise the age for retirement, yet in 2018, he did exactly that. Needless to say that his ratings have been falling ever since then and up till February of 2022.
The one thing I would’ve liked him to mention is “quality of foreign exchange earnings,” which is a relatively new term. Essentially, companies now need to pay attention to wether or not they can exchange earned currency for something that they can trade with other countries or within Russia. Previously, they traded in dollars, so it was never an issue.