Tuesday, November 11, 2014

Is The West About To Use The Oil Weapon Against Russia?



Cheap Oil Will Win New Cold War With Putin - Just Ask Reagan -- Yahoo News/The Telegraph

The son of President Ronald Reagan says the world should learn from his father's secret deal with Saudi Arabia to drive down oil to end the Cold War and stop Vladimir Putin in his tracks.

Mikhail Gorbachev believes the world is on the brink of a new Cold War. If so, this new clash between East and West will be settled in the same way as the last one, which ended with the collapse of the Berlin Wall 25 years ago.

However, it wasn’t political ideology, the failure of Mr Gorbachev’s so called “Perestroika” reforms, or the desire of most people behind the iron curtain to own a pair of Levi’s jeans and listen to pop music that saw the Kremlin’s power crumble.

It was the collapse in oil prices engineered by Saudi Arabia, which literally bankrupted the old Soviet Union and ripped up the post-war map of Eastern Europe that had been brutally created in the aftermath of Adolf Hitler’s downfall by the equally ruthless Joseoption.ph Stalin.

Read more ....

My Comment: Being dependent on a resource economy is always a nightmare when commodity prices collapse.  For Russia .... this dependency is now coming home with a vengeance .... and for Russia's "adversaries", the urge to put the Russian economy into a recession as well as humiliating Putin is becoming a very tempting option.

1 comment:

James said...

What this article posits could end up being true, but I would caution that the Russia of the 1970's 80's was a very different country than the the Russia today and these predictions are merely semi- informed guesses.