Serious question: How could ANY economy possibly grow when it is spending so much on something that only means death and destruction? The P in GDP stands for something that’s produced. Currently the main product of Russia is annihilation, something that should be pretty hard to sell at a profit. (And the rest would probably mostly be cheap oil and natural gas for those who still trade with Russia.)
By the logic of that graphic (and please bear with me here): If Russia wasn’t currently killing its (former) UA brothers it would be growing even more because all that bloodmoney could be spent on productive things. No? Am I missing something here? Point being that if that was the case, that growth could have been achieved before 2022 and 2014 when there were no external conflicts.
Yea I mean if we’re talking percentage then the (pre-2022) reference point is the size of Spain’s economy. And if it shrunk in 2022 then why shouldn’t it be able to grow by 3% while at war right?
As opposed to organizations like OECD who specialize in keeping an eye on world economies and put Russia in one of the worst slumps in the world…
Source: https://www.oecd.org/newsroom/global-economic-outlook-improving-albeit-to-a-low-growth-recovery.htm
Should check the date on that link of yours. These were copium projections that everybody now admits were way off base.
Serious question: How could ANY economy possibly grow when it is spending so much on something that only means death and destruction? The P in GDP stands for something that’s produced. Currently the main product of Russia is annihilation, something that should be pretty hard to sell at a profit. (And the rest would probably mostly be cheap oil and natural gas for those who still trade with Russia.)
By the logic of that graphic (and please bear with me here): If Russia wasn’t currently killing its (former) UA brothers it would be growing even more because all that bloodmoney could be spent on productive things. No? Am I missing something here? Point being that if that was the case, that growth could have been achieved before 2022 and 2014 when there were no external conflicts.
To make matters even worse, the GDP is usually a garbage neoclassical economics metric that doesn’t differentiate between the real economy and the FIRE economy.
Yea I mean if we’re talking percentage then the (pre-2022) reference point is the size of Spain’s economy. And if it shrunk in 2022 then why shouldn’t it be able to grow by 3% while at war right?