Russia is the world’s biggest loser from oil’s crash, and that’s reason to worry, writes George_Friedman
Karl Marx wrote that “history repeats itself twice, the first time as tragedy and the second time as farce.” The collapse of the Soviet Union was not a tragedy, nor is what is happening in Russia now a farce. Still, the collapse of the Soviet Union was a defining moment in human history. Russia’s current struggle with itself doesn’t begin to rise to that level.
The price of oil already was declining, but now the price has collapsed because of the coronavirus pandemic. The contraction of the global economy inevitably decreased the need for energy. Attempts by OPEC, an organization that in truth is irrelevant to today’s realities, to raise prices have failed. In the 1970s, demand surged and OPEC could manage the supply.
Instead, investment capital was diverted for profit and safety outside of Russia, and Putin, who depended on the oligarchs for his power, could not do what he knew had to be done. Over time, his power surged and investment was possible, but as the process began to accelerate, the price of energy declined and with it the foundation for investment. In the past few days, it has totally evaporated.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Gary Rhodes' son George pays emotional tribute to the late chef on his 60th birthdayCelebrity chef Gary Rhodes' son George has remembered the late TV star on what would have been his 60th birthday. Take a look here...
Read more »
How a Surprise Punk Rock Gig Prepared George MacKay for 'True History of the Kelly Gang'The '1917' breakout also reflects on the World War I film’s most arresting moment and his brief flirtation with 'Dunkirk.'
Read more »
Jenna Bush Hager Reveals How Savannah Guthrie Helped Her Following Grandfather George H.W.'s DeathJenna Bush Hager Reveals How Savannah Guthrie Helped Her Following Grandfather George H.W. Death
Read more »
George MacKay and Nicholas Hoult talk dresses, punk, and 'True History of the Kelly Gang'George MacKay and Nicholas Hoult talk with EW about their new film True History of the Kelly Gang.
Read more »
Opinion: Note to Democrats: Don’t make too much of the latest Trump-Russia newsOpinion: Note to Democrats: Don’t make too much of the latest Trump-Russia news (via latimesopinion)
Read more »