[lbo-talk] One or two flawed historical analogies (was Re: Stratfor: Western Misconceptions Meet Iranian Reality)

dredmond at efn.org dredmond at efn.org
Tue Jun 16 12:35:58 PDT 2009


On Tue, June 16, 2009 8:58 am, Eric Beck wrote:


> Banking on a dying brand in a dying industry, and becoming more
> dependent on oil and gas to sustain your economy (which when Saudi Arabia
> is involved is called being "petrostate") even as prices and your
> production and reserves fall.

1. Opel's German plants have top-tier productivity, and will provide leading-edge tech to Russian auto firms. 2. Russia has become much less dependent on energy exports, which make up less than 20% of the economy these days. 3. Oil prices are back up to $70/barrel, and there they will stay. Reason: state-owned companies own the oil, and will put a floor under the price. 4. Production and reserves aren't an issue -- Russia's Far North has vast reserves, though of course it would be ecological madness to burn them.

-- DRR



More information about the lbo-talk mailing list