urbanotter said:Comparisons like this don't even really warrant a response, but some people find them to be a very "appealing" indicator of the supposed decline in Russian standards. In reality, the Ruble has strengthened immensely due to measures taken by the Russian CB, so they are actually working to weaken the currency now because a strong Ruble hurts their exports.
The only fair comparison would be seeing how much one can actually buy with an average salary in the US,
but then the picture wouldn't look quite so "appealing."
When you look at which companies left Russia due to sanctions, the drop in living standards is far less significant than suggested; instead of the expected 10% drop, the economy fell by 5%, which is similar to the contraction seen in the European economy.
But let them keep writing their panegyrics about sanctions so that the local Anglophiles don't get too unsettled or excited. ☕
If the official exchange rate were truly favorable, there would be no reason for a "black market" to exist, especially if you could buy more Euros with your Rubles at a bank than you could on the street.
Russia maintains a surplus in its foreign trade, so there is simply no necessity for black-market currency trading.
Many people who might have been spending Euros on the Atlantic coast this summer were actually spending Rubles at Russian resorts, or using their local currencies in countries that didn't implement any sanctions.
The projections show the US economy growing by 2.6% this year.
Where on earth are you getting this nonsense about a 4% drop from?
https://www.businesseurope.eu/public...fficult-period
urbanotter said:Comparisons like this don't even really warrant a response, but some people find them to be a very "appealing" indicator of the supposed decline in Russian standards. In reality, the Ruble has strengthened immensely due to measures taken by the Russian CB, so they are actually working to weaken the currency now because a strong Ruble hurts their exports.
The only fair comparison would be seeing how much one can actually buy with an average salary in the US,
but then the picture wouldn't look quite so "appealing."
When you look at which companies left Russia due to sanctions, the drop in living standards is far less significant than suggested; instead of the expected 10% drop, the economy fell by 5%, which is similar to the contraction seen in the European economy.
But let them keep writing their panegyrics about sanctions so that the local Anglophiles don't get too unsettled or excited. ☕
If the official exchange rate were truly favorable, there would be no reason for a "black market" to exist, especially if you could buy more Euros with your Rubles at a bank than you could on the street.
Russia maintains a surplus in its foreign trade, so there is simply no necessity for black-market currency trading.
Many people who might have been spending Euros on the Atlantic coast this summer were actually spending Rubles at Russian resorts, or using their local currencies in countries that didn't implement any sanctions.
I was chatting with the director of the tourism board for one of our major vacation spots recently, and she told me everything is basically booked solid.
Where exactly are you supposed to put those Russians?
She said there are maybe a handful of apartments or hotel rooms empty out of thousands.