The economic background of the fact that Russian manufacturing is so weak is called the “Netherland’s disease”. As the Netherlands started to exploit their oil and gas resources, they sold it abroad. As a consequence, their currency, Gulden, gained value and domestic commodity production became less competitive on the world market and even in the Netherlands itself, thus, labor in the manufacturing sector was lost.
The Netherlands stopped this by reducing their oil and gas exports and ultimatively, due to the currency union (€ instead of Gulden), it can not happen to them any more.
Now Russia’s “wealth” in oil, gas and other resources leads to the same phenomenon. It is just worst because of other factors (corruption, lower technological level then in the Netherlands etc.)
India, sitting on a subcontinent, a very crowded subcontinent, represents a complex and enduring civilization whose ways and accomplishments deserve notice, by any standard.
Russia, sitting astride two continents, containing vast resources, has always only been capable of imitation and theft.
littleitaly24 on
Its truth.
Mnguy58 on
I hope he is right but I fear he will fall from a balcony soon?
6 commenti
I like this guy.
The economic background of the fact that Russian manufacturing is so weak is called the “Netherland’s disease”. As the Netherlands started to exploit their oil and gas resources, they sold it abroad. As a consequence, their currency, Gulden, gained value and domestic commodity production became less competitive on the world market and even in the Netherlands itself, thus, labor in the manufacturing sector was lost.
The Netherlands stopped this by reducing their oil and gas exports and ultimatively, due to the currency union (€ instead of Gulden), it can not happen to them any more.
Now Russia’s “wealth” in oil, gas and other resources leads to the same phenomenon. It is just worst because of other factors (corruption, lower technological level then in the Netherlands etc.)
For anyone interested, [here’s the full interview. ](https://youtu.be/4-ULcA2nsC8?si=9jhy75ssVlXyXU11)
India, sitting on a subcontinent, a very crowded subcontinent, represents a complex and enduring civilization whose ways and accomplishments deserve notice, by any standard.
Russia, sitting astride two continents, containing vast resources, has always only been capable of imitation and theft.
Its truth.
I hope he is right but I fear he will fall from a balcony soon?