"Russian" crying: "I have no money Let's return the Crimea" VIDEO

really? you are always together in Sweden , am i wrong?

 

so what your saying, is that when a rich person says they have no money, it means they have less then they use too

 

In ulus Juchi rich dont take credits in order to buy property .

 

Although we mostly disagree, this post of yours is the first in the whole thread, that declares the situation correct. Thanks ...

Russian people - mostly the optimistic new middle class who took loans in western currency did nothing but gamble. If the Ruble stayed stable they would have won the massie difference in interests between the Ruble and the $/€, now they lost a lot, as the ruble lost about half of ist foreign worth.
I remember some years ago, when german banks gave loans in swiss franks - with an interest rate some 2% lower than in €. Usually the offer was made for Germans who earn their money in Switzerland. But also used by Germans without swiss income. And the swiss Frank had had a fixed exchange rate with the € for years. And then in one week some years ago the swiss frank won 20% against the Euro (nowadays it has retired to 10%). Bad luck for the people but not dangerous for most. But in Russia we speak about 50%. That may be dangerous indeed. But again -people wanted it - now they got it.

On the other side - why did the ruble loose 50%? A part may be the low oil prices. But the main cause is the loose in trust to Russia, its economy and its currency - at the professional traders, at the market partners and not at least in the own population.
And the reasons were forced by russian government (not only but mainly) by occupation of crimea and starting hidden war in Donbas:

-> tensions with US and EU,
-> danger of getting in war with Ukraine,
-> sanctions and counter sanctions,
-> too big military spending in % of the budget,
-> spending for the difficult support of Crimea

So - although its mainly her fault - the crying of the woman is not complete wrong. Without Crimea maybe her gambling would have worked.

Its always the middle class, that looses in such situations - the upper class is good friends with Putin and Co. (correct spoken: only good friends with Putin have the possibility to stay in the upper class) - and the lower class can't be robbed anymore, they have nothing, but the power to start an unrest. So the Middle-Class pays ...

 

because its value had been underestimated while the dollar's inflated and Russian government was buying dollars and had interest in its growth so that buy more rubles to pay state workers on home market.

 

But you can give her shelter from itself. It is not worse of African refugees. Or are you afraid of rape?

 

I don't disagree in 100%, but I don't agree too. Economy mostly doesn't work on one effect.

All the years of happy high oil prices the ruble was overrated same as norwegian or SA-Money. "Ruble - earners" could afford all those goods from the west and the journeys to the west very cheap. Although russian economy was not able to satisfy the needs of the population there was low Inflation, because the imports kept it little. But that is over (at least temporarily). Why did the US have the same situation (being the biggest oil producent and having to deal with falling prices), and the $ didn't fall. Because people still believe in the $.
On the other side the Ukraine and Belarus have no oil, and their currencies go down too, only because they might be stroke by war (UA) or possible russian problems (BLR).

What's definitely wrong is that government lowered ruble by selling them. Russia indeed had comfortable resources in $/€ at the beginning of the crisis. Since then they sell $/€ to reduce the fall of the ruble (in the first crises last year in low quantities, now in bigger). But with selling foreign currnecy the ruble won't be rescued against the believe of the market members. This lesson the Fed and the European Central Bank also had to learn in former times.

What's right, is that in internal budget meanings the selling of (buyed at 1:40 rate) € at 1:80 makes lots of profit for the central bank, the government can spent for militaric or social or whateer meanings ...

But the main problem of the ruble is neither the internal budget deficit, the low oil price (at least not completely) or the debt situation of Russia.

It simply the lost trust in Russia, its government and its economy worldwide and in the country.

 

but what oil price has to do with the ruble's? Russia has always sold its oil & gas for dollars.

well, i don't know... which is best for Russia economy, a strong ruble or weak one, can only see later.

 

as for the folks in OP vid, they took mortgage with Raiffeisen Bank, a foreign bank, namely Austrian; it was in euros or dollars, not rubles; so they'd better go Austria and ask there government to sort them.

 

Thats right and not only for Russia - but a part of the earned money is always transformed to national currency - wages, profits to stay in the country and especially taxes. The other part - profits of foreign capital, foreign investment goods - do not matter because they are earned and sold in forein currency.

The first part gives a permanent market pressure to overrate the home currency. How much depends of the percentage, oil industry makes in the country. This pressure works against the effect of imports of industrial and other goods by the population.

In short words:
High and valuable exports in raw materials make currency high, governments rich and imports cheap.
Low and noneffective production in farmery, industry and service make currency low, governmets poor and imports expensive.

Not only but also for Russia:
Low but reliable currency supports national developement,
High currency supports welfare of high performing economy and makes countries rich,
Nonreliably currency is poison for economy.

 

It's out of topic. I do not agree with that but I'm not going to discuss it here.

We have not alternate history now. I would not predict what was happened if Ukrain stifled a rebellion in Crimea and start provocations against Russian NAVY bacause turnig Crimea into NATO naval base was the goal of the Turchinov's rebel administration.

Yes. And that woman is from upper middle class definetely.

 

So for the first we agree to disagree Thats o.k.. Maybe in a calm minute you separate these theses from Russia and the Ruble and think again over them. Maybe you find a corn of truth in them.


For the second: I didn't want to discuss the guilt and legitimy of the events arround Crimea here. I just wanted to paint a picture of the thoughts of the woman:

Occupation (Reunification as you call it) of the Crimea -> Ruble down -> Personal loss.

Very simple but not totaly wrong.


Third: Yes. And middle class in total is the less important group in the short time and the most important on the long run. Always and everywhere, f.e. see Germany ...

 

There are many reasons that were resulted in US dollar exchange rate soaring in Russia.

But the fact is that amount of US Dollars loans is very limited. That allows me to decide that 'Let's return the Crimea back' is just a personal opinion of peoples that are faced with financial problems but not a trend of citizen's opinon over the Russia.

 

Yes. Russia has problem because of Crimea and with it.

 

had real problems in 1998, unlike today, and there was no Crimea involved.

 

Oh, rubbish! Russia budget revenues are strongly associated with the price of oil. Provoked by the Russian government artificial devaluation of ruble is an attempt to maintain a balanced budget. No any relations between oil prices and the Crimea.

Do you really think that if would tomorrow Russia lost the Crimea then the price of Brent/WTI = $100?

 

It's a delusion. No any relations between Crimea and Ruble down. See my post above.

 

the story has been used by CNN for a fraudulent publication - http://money.cnn.com/2016/01/26/news/russia-protests-economy/index.html?iid=obnetwork - none of the footages anything to do with stated in the article which is brazen lies all over; this is how the Western media concocts stories to brainwash its audience.

 

Ok, so compare the Development of the Ruble with the Development of the currencies of Saudi-Arabia, Nigeria, Iran and the UAE, the other members in the club of top oil exporters in the Last two years ...

Oil may have an effect, but the driver is the worldwide loss in reliability ob Russia ...

 

world has changed , natural economics will never dictate to the west prices , terms , etc.
[video=youtube;LgDCRegyo7Q]https://www.youtube.com/watch?v=LgDCRegyo7Q[/video]

this is how the system works in muscovy, do you think they care about lives of ordinary people as long as state propaganda works? it will be 150-200 , at the end of this year for sure...

 

Different countries use different strategies. For example, Saudi Arabia has agreed to have a huge budget deficit, which is covered by accumulated reserves. Over the last year they sold US Treasury more than $ 200 billion. Russia retained reserves, but lowered Ruble rate. Opposite Kazakhstan and Azerbaijan spent almost all the reserves and then lowered own currency rates. The Saudis have enough reserves for stability currency rates at least for two years.

I'm not saying that the Russia strategy is most successful. But if you compare the graphs, you will see a 99% correlation between the ruble exchange rate and price of oil. And there is no correlation between the events in the Crimea in March-April 2014 and the fall of the ruble in December 2014.

 

Video is a classic example of propaganda. A complete set of fakes and a lack of facts.

 

you have the new Goebbels, - Kiselev, do we have a minister of propaganda too , name him? we dont need propaganda we have democracies

https://newrepublic.com/article/118...ins-favorite-tv-host-russias-top-propogandist