In any case, even more than the words of Putin himself yesterday, when he said, 《...рост носиления.》is/was the key, I was delighted to hear the immediate, spontaneous applause in reply.
It would seem Russia's economy perhaps wasn't in tatters and terminal decline when the world's first winner of a Nobel Prize by virtue of mixed ethnic background declared it was (20/01/15). Perhaps by similar extrapolation, therefore, there may be grounds to believe it is, in fact, not ALL about the economy (, stupid)?
I've said before, perhaps too many times, 'the difference between Russia and the West is that they have good politicians in Russia.' Here's a good illustration: good politicians don't limit themselves to narrow definitions of success, like the economy (alone, stupid!).
China's "cooling" toward Russia is rooted in its dependency on foreign reserves to import raw materials from worldwide. Until a new supply chain is set up to import significantly more from Russia, China needs large amount of USD on hand. And don't forget most of CCP party officials have children and mistresses in USA. You know, being a CCP party official or senior government employee takes a lot (use your imaginations here, they will all be right). The sign had been clear since the beginning of the year. By the time Putin did his tornado visit, I think some agreements had been reached between Russia and China. Siberia railroad is too expensive to transport vast amount of raw materials from Russia. The Arctic shipping lane is critical to China for import from Russia. Due to Russia's autarky national policies, Russia is unlikely to buy enough from China to balance the purchase from China. It has been rumored that Russia has been dumping RMB since at least last year, if not earlier. China seems to want to keep the RMD<->USD exchange rate sticky, but China's economy suggests RMB has to devalue (at least w.r.t. USD) and that would put further pressure on China's ability to import. The one-baby policy was right, but it needs another 30 years to succeed. Yet China had foolishly given up this policy. Only a dwindling population on par with China's economy and natural resources can sustain China.
Excellent article. The BRICS ball is in motion and the most important fact is that this ball will keep rolling. Going back to the unipolar model is not an option and as you point out, there will be many bumps on the road.
"All of this is shocking for the average BRICS enthusiast who’s been influenced by wishful thinking articles since the start of the special operation into imagining that this group is an anti-Western bloc. They’ve also heard countless times that “the dollar is dead” or is “about to die any day now,” that Russia and China are “allies” who are jointly resisting the West in all respects, and that a new world order has already emerged to replace the previously American-led unipolar one. None of that is true though."
I have said it before - these people live in a fantasy world.
I agree with Johnston's words at the end of this article. Just as Western sanctions in 2014 pushed Russia into domestic economic reforms (Michael Hudson calls these sanctions a 'favor' as it forced Russia into economic autarky so that Russia now produces its own cheeses, etc, and is a major grain exporter), these US financial sanctions on Chinese banks will accelerate a new financial payment system, first between China and Russia, then between all the BRICS nations.
The current system was tried in europe first and now extended to whole world after 1945 .
Same thing should be done with BRICS ,ASEAN and other countries willing to trade with national currencies with their neighbours or china ,russia and india currencies should function as dollar equivalent
It's nice to see a blogger who didn't drink the Kool-Aid. The Roman Empire lasted at least two centuries after Rome fell. The value of money is ultimately based on belief. Whether Bitcoin, gold, or Beanie Babies, people speak of it with respect to how many dollars it will bring. Until there's something else to believe in, people will believe in dollars, they will use them, and the US retains its blunt instrument.
The BRICS will definitely be tackling this thorn in their side caused by the Empire of Lies when they meet in Kazan next month. They will find a solution as the dollar turns to dust.
[bored yawn] Yeah, unless I'm sorely mistaken, I do believe I've heard this somewhere before, e.g. "...Russia is isolated with its economy in tatters." (https://obamawhitehouse.archives.gov/the-press-office/2015/01/20/remarks-president-state-union-address-january-20-2015)
Or maybe, "...hang a sign in campaign headquarters reading, in part, “the economy, stupid.”" (https://politicaldictionary.com/words/its-the-economy-stupid/)
In any case, even more than the words of Putin himself yesterday, when he said, 《...рост носиления.》is/was the key, I was delighted to hear the immediate, spontaneous applause in reply.
It would seem Russia's economy perhaps wasn't in tatters and terminal decline when the world's first winner of a Nobel Prize by virtue of mixed ethnic background declared it was (20/01/15). Perhaps by similar extrapolation, therefore, there may be grounds to believe it is, in fact, not ALL about the economy (, stupid)?
I've said before, perhaps too many times, 'the difference between Russia and the West is that they have good politicians in Russia.' Here's a good illustration: good politicians don't limit themselves to narrow definitions of success, like the economy (alone, stupid!).
China's "cooling" toward Russia is rooted in its dependency on foreign reserves to import raw materials from worldwide. Until a new supply chain is set up to import significantly more from Russia, China needs large amount of USD on hand. And don't forget most of CCP party officials have children and mistresses in USA. You know, being a CCP party official or senior government employee takes a lot (use your imaginations here, they will all be right). The sign had been clear since the beginning of the year. By the time Putin did his tornado visit, I think some agreements had been reached between Russia and China. Siberia railroad is too expensive to transport vast amount of raw materials from Russia. The Arctic shipping lane is critical to China for import from Russia. Due to Russia's autarky national policies, Russia is unlikely to buy enough from China to balance the purchase from China. It has been rumored that Russia has been dumping RMB since at least last year, if not earlier. China seems to want to keep the RMD<->USD exchange rate sticky, but China's economy suggests RMB has to devalue (at least w.r.t. USD) and that would put further pressure on China's ability to import. The one-baby policy was right, but it needs another 30 years to succeed. Yet China had foolishly given up this policy. Only a dwindling population on par with China's economy and natural resources can sustain China.
Excellent article. The BRICS ball is in motion and the most important fact is that this ball will keep rolling. Going back to the unipolar model is not an option and as you point out, there will be many bumps on the road.
"All of this is shocking for the average BRICS enthusiast who’s been influenced by wishful thinking articles since the start of the special operation into imagining that this group is an anti-Western bloc. They’ve also heard countless times that “the dollar is dead” or is “about to die any day now,” that Russia and China are “allies” who are jointly resisting the West in all respects, and that a new world order has already emerged to replace the previously American-led unipolar one. None of that is true though."
I have said it before - these people live in a fantasy world.
I agree with Johnston's words at the end of this article. Just as Western sanctions in 2014 pushed Russia into domestic economic reforms (Michael Hudson calls these sanctions a 'favor' as it forced Russia into economic autarky so that Russia now produces its own cheeses, etc, and is a major grain exporter), these US financial sanctions on Chinese banks will accelerate a new financial payment system, first between China and Russia, then between all the BRICS nations.
Good piece Andrew.
Also, Henry Johnston is my favorite correspondent at RT. Very well researched and balanced articles.
The current system was tried in europe first and now extended to whole world after 1945 .
Same thing should be done with BRICS ,ASEAN and other countries willing to trade with national currencies with their neighbours or china ,russia and india currencies should function as dollar equivalent
Sure china can find a bank not doing business internationally. That is what india did.
Whatever may be dollar, nobody wants these high exchange rates ratio of 10,100 and even 1000 with dollar
It's nice to see a blogger who didn't drink the Kool-Aid. The Roman Empire lasted at least two centuries after Rome fell. The value of money is ultimately based on belief. Whether Bitcoin, gold, or Beanie Babies, people speak of it with respect to how many dollars it will bring. Until there's something else to believe in, people will believe in dollars, they will use them, and the US retains its blunt instrument.
The BRICS will definitely be tackling this thorn in their side caused by the Empire of Lies when they meet in Kazan next month. They will find a solution as the dollar turns to dust.