Physics teaches us that each and every action has an equal and opposite reaction. The rule applies in international politics as well.
Russia stole Crimea. The United States and other nations sanctioned Russia. The thought was the sanctions would bring Russia to its knees. It did not happen. No one took into account Putin’s boldness.
Russia’s economic life depends on the sale of its oil and gas to other countries. Retaliation for Crimea included cutting off some of those lines. No problem for Putin. He turned in another direction. Asia. In six months, he has cut new oil deals with North Korea, South Korea,and China. He is presently negotiating a major gas deal comparable to the China one with Japan.
Another part of the United States’ retaliatory strategy was to freeze the bank accounts of Russian citizens in the United States. The big Russians.
No problem again for Putin It was announced this week that Russia was removing money it had in U.S. banks. Russia had $21.6 billion dollars sitting here. Russia thus far has pulled out 61 percent. Only $8.4 billion remains.
That is not all.
In the past several months, Putin has been negotiating mega contracts for Russian state owned oil companies with major oil companies. Exxon Mobile and BP recently signed such mega contracts with Russia’s Rosneft.
So much for major companies supporting Obama’s decisions arising out of Ukraine problems. The same oil companies that eat big time off the American people and benefit from favorable laws that Congress has passed to their benefit. To the benefit of the big oil companies and to the detriment of the American people.
Wars will continue to be waged in remote places like Afghanistan, Iraq, Libya and Ukraine with guns, bullets, tanks and other machines of war. Major countries such as the United States, Russia, England, France, and others, will fight each other with dollars. Each is fully aware of the devastation that a fighting war would bring. The major countries do not want blood and guts on their streets. Economics can be used to destroy a nation as effectively as war.
The issue/concept has been bothering me and so I burden you with my thoughts this morning.
The best of my yesterday was the Heat/Spurs game last night. Great basketball!
Enjoy your day!