August 3, 2022. In short: The furrow of corruption is too deep for Russian truck go off the road Absolute economic incompetence Russian financial regulators. A) When there is an obvious wrong financial solution, then there is always a correct way to resolve it by intervention of the government: Classic example: 1. grain "overproduction": capitalist solution is to raise the price to trush "excess of grain" into the sea, correct solution: if price decrease a) really hurts production of grain, then goverment can emit money proportionally to produced grain and subcidize the grain productor. Simple like that. This not create inflation, because money are covered with produced goods. But, if price decrease b) does not really hurts producer of grain, simply ignore that caprice of producer. Let producer to solve problems by its own. Recent Russian example: 2. due ruble become strnger, exporters "are hurt" and Russian gov. trashes "excess of dollars" into a garbage bin: namely allows dollars outflow to abroad (offshores). correct solution: emit rubles proportionally dollar income from export and a) subsidize exporters. Simple like that. This won't raise inflation because money are covered by produced and sold abroad goods. However, if b) demand of exporter is unreasonable, then let exporter to solve own problems own self by restructuring production or simply die or let competitor to raise. Russian problem: So, in case of Russia, the Rus. gov. does not intervene because it is too much interwoven with oligarchs and cannot stop them outflowing money abroad. On surface, the matter looks like Rus. gov. listens to charlatans/ignorants like Nabiulina or Siluanov. B) Another example: Glaziev: [4] "... I can mathematically prove that 80% of the losses of the Russian economy, which, on the basis of natural resources, could grow by 8% GDP per year, is explained by the policies of the Bank of Russia and by 20% by negative sanctions. I think that this proportion will stay if the monetary policy will not change to meet the best world practice ..." C) Explanations. Perhaps the explanation is that Rus. gov. knows that "rational correct" solution is not possible in Russian financial environment. Because "rational correct" solution assumes calcualtion of economic balances and gov. taking a power to invervene info finances. But because the system is too corrupt to not abuse this power and to create even worse situation. So, Segei Glaziev is right what should be done. Done by responsible policies. But "Vladimir Putin knows" there cannot be "responsible policies" because the system is too corrupt and bureaucratic. Perhaps a "cultural" thing. In other words, all will be stolen. So, let's go "old fasioned" medieval way. Raise %-ratio, trush excess of money into a garbage, issue Eurobonds with thievery interest for Russia, don't print money, starve economy from credit, This way it will be less stolen. Oligaches cannot steal more than that. Which has own benefit: the furrow of theft is too deep for Russian truck to go out of the road. So, all "analysts", who praise Russian "creativity", "patriotism", "productivity", "hard working", "turning point to multipolar World" and predict further success, rely on rational behaviour. But it is not rational. By the reasons sketched above. So don't be hurray-analysts. Like for example (really great by the way) Andrey Martyanov who sees strengs, who sees great PPP, but does not take into account wealth outflow, who sees great STEM people production, but does not even try to correct numbers with hudred of thousands of the best educated people left for USA and Europe, who sees great PPP but does not speak about a deep stagnation compare to China. Who sees great STEM people production, but does not analyse effects of destroyed educational system which will impact economy for coming decade. February 24. 1852. Russia was a great country even 170 years ago. But this did not prevent Nikolai Gogol` from tragically burning his "Dead Souls" possibly being not able to find a solution from corruption. [1]. He died 9 days later. But if he would raise today, he may burn them again. Because he was not "hurray-analyst". He was a truth teller. [1] "...Creating a few beautiful characters who reveal the generosity of spirit of our breed will lead nowhere. It will only arouse hollow pride and boasting ..." And finally from survived Gogol's draft [2]: "... I know that by no manner of means, by no preventive measures, and by no penalties will dishonesty ever be completely extirpated from our midst, for the reason that its roots have struck too deep, and that the dishonourable traffic in bribes has become a necessity to, even the mainstay of, some whose nature is not innately venal ... ... The important point is, that before us all lies the duty of rescuing our fatherland. Our fatherland is suffering, not from the incursion of a score of alien tongues, but from our own acts, in that, in addition to the lawful administration, there has grown up a second administration possessed of infinitely greater powers than the system established by law ..." "... No, until each of us shall come to feel that, just as arms were taken up during the period of the upheaval of nations, so now each of us must make a stand against dishonesty, all remedies will end in failure. As a Russian, therefore—as one bound to you by consanguinity and identity of blood—I make to you my appeal ..." References: [1] https://www.rbth.com/arts/334677-gogol-burned-2nd-volume-dead-souls [2] https://www.gutenberg.org/files/1081/1081-h/1081-h.htm#link2HCH0015 Glaziev is too good for Russia to be accepted. Like Gogol. Or Isaac Newton who fixed Britain monetary system and survived life and death battle with counterfeiters lobby. [3] https://glazev.ru [4] https://glazev.ru/articles/165-interv-ju/100822-ob-ukraine-merakh-reagirovanija-na-sanktsii-i-formirovanii-jeffektivnoy-sistemy-upravlenija-rossiyskoy-jekonomikoy [5] https://commons.wikimedia.org/wiki/File:Gogol_by_Repin.jpg More. Silicon Valley cannot be bought or invested. It is like a live "solovey" from Andersen's tale. But the imperor, bought the one out of gold. The same ignorance typical for Russian gov. Silicon Valley is a vibrant, creative, dynamic phenomena in the USA because of small and middle business environment: the laws and social culture. Sometimes ago in state of Washington, I came to the office, paid $15 or $10, got license, went to the bank, got business account and all the effective banking machinery at my thingers. I don't have to give bribes. If I wanted have a corporation, I pay a bit more, but got additional bankcrapcy protection. Perhaps, if my business will be successful, I will not fear someone taking over my busines or in increasing rackteering "services". If the same would be the case in Russia, why would Silickon Valleys grow there like mushrooms? I don't diminish the value of "official" Silikon Valley (in suburbs of Moscow), but this is a gold "solovey". It may create great things, but don't change the country. This is "Dmitriy Medvedev's" incompetent phantasy. "...Cultural innovation happens at the level of the individual artist, this argument goes. Steven Speilbergs cannot be produced on demand ... " https://scholars-stage.org/why-chinese-culture-has-not-conquered-us-all/ WHY CHINESE CULTURE HAS NOT CONQUERED US ALL 26 April, 2022 Where is Petrushev? https://www.youtube.com/watch?v=quBjrzNPG8A Арман Ергазиев 10 days ago С нашими эффективными менеджерами и бизнесменами и врагов не нужно Разворованные миллиарды и тайная недвижимость бывшего куратора Rutube 197,763 viewsAug 6, 2022 Путин. Миллер. Газпром https://www.youtube.com/watch?v=YSbHR1Z_mZ8 10,014,797 viewsJun 16, 2022 Corruption https://t.me//bazabazon