System “nipple”: the government took possession of the whole economy

Every day the state’s share in the Russian economy is becoming more, it comes already fully informed and in private industry

About this appalling process writes in the blog journalist Vasily Alenin.

“Costin with Gref in every shop!

In our time of total nationalization there are very few industries where there would be state-owned. However, it probably does not.

Was a new branch of cellular communication without state participation — but one of the four operators became a state. And now there is a consolidation with the aim to increase the influence of the state.

There were many developers because of the new law, the industry faces a wave of bankruptcies will survive those associated with banks. And large banks we now have? That’s right, state…

Was a private retail — but last year the state Bank VTB bought one of the leaders of the network “Magnet” and came to this area. And now the state Bank using “Magnet” ready to buy “Tape” for the private sector (makes more money). And Sberbank to buy “okay”. Says that is not in their interests, but in whose interest does the state Bank is anyone’s guess.

Any occasion, any crisis the state is using for their gain in the economy.

And usually the crisis itself and satisfied. As developers have a ban on the construction of equity. Or in retail, when a trading company is sandwiched between a purchaser (who has fallen sharply and is rising real income) and providers (in whose interest it is accepted superrigid regulate trade laws). As a result, many of the retail network losses, rising debts, almost all decreases shareholder value…

And by staging the crisis, the state then sees itself as the “Savior”, the “white knight”, who “reluctantly” comes in the private sector to “save”… And then anywhere from it does not go away, on the contrary, the “sets” in a businesslike way and picks up whatever you reach out your hands…

In the opposite direction it doesn’t work: the privatization process is stopped.

It turns out the “nipple system” – state participation in the economy from year to year is only growing.

Photo: Costin Gref: nationalizing two?”

© 2019, paradox. All rights reserved.