Russias reserve fund has run completely dry.

Who gives a rats ass? I'm taking about America and in America tax cuts produce more tax revenue. Works every time it's tried.

 

Here's a guy not taking an overseas vacation



Here's a guy not digging through trash heaps

 

That's not poverty it's homeless people that have alcohol and or mental problems. They still eat well if they want at shelters. They beg for money to by liquor or drugs. Not much you can do about these sad people except what we do which is have shelters open to them.

 

You don't help your country by being uninformed and misinformed or by diluting the reality.

I posted a link from another member here a couple of days that showed the state of poverty in the USA in response to his post that poverty in America meant you still has a tv in each room and two cars in the garage. That was you wan't it?

 

I believe so. Poverty in America is middle class in Europe

 

How familiar with Europe are you? Have you been in the poorest quaters of Toulouse for example? Or the mean streets outside Paris where immigrants live and congregate in squalor - because inner Paris has been gentrified?

In the UK we have growing charity funded food banks and now more and more living on the streets.

How could it be otherwise when four decades of neoliberal policies mean that 8 men have the combined wealth of half the world's population?

I think you're living in a dream. Enjoy.

 

I'm not sure how you think telling me how poor Europe is takes away from my comment that poor in America is middle class in Europe.

 

If a lower tax RATE increases economic activity and that increase is subject to taxation, an increase in total tax revenues can result.

Note the "if"

 

That's what I told. In US I would expect an increase of tax revenue in case of a tax cut. But it doesn't happen everywhere.

 

And special buying the staff for discounts in supermarkets, when you buy not what you want but what you can afford. It's the same everywhere. The US homeless people are the same as everywhere else. They look the same, they stink the same, they feel the same. The most complaining people in Russia are driving soviet cars, have a job etc. And according to state statistics they are considered poor.

 

So now the Russian government is in debt just like every other government? Maybe I'm missing something.

 

I mentioned above the story around the fund. In brief. The fund was made because of extra money coming from oil sales. It was increasing during the high price period. Later it was divided into 2 funds. One for the 'national welfare' the other for government projects. Then (a year ago) there was a decision to make one fund out of the two. Recently the money in one of the funds were spent and it was cancelled as planned. The money in the second is decreasing, but not that dramatically. Even if the oil price drops to the same level where it used to be it will last for several decades.
The fund is not connected directly to the budget and golden reserves. So even if the money is depleted it won't make Russia bankrupt.

 

You have to know both ends of your equation for it to have validity (otherwise it's just opinion), so I sought to find out what you know about the European end of your equation?

Your non-reply to the question leads me to assume that you know little or nothing of Europe?

 

USA will have a 1.5 trillion budget deficit in 2018. Read what investment bankers and others of the market people think about the tax reform. +1 trillion Trump wants to invest in infrastructure(fiscal incentives strongly increase inflation). And listen to what the FED says about inflation now. Inflation began to accelerate after 10 years of soft monetary policy. High inflation = high interest rates of the FED.

 

Just out of curiosity what percentage of Russians would you say live this way?

 

What I've seen of Europe is that what we consider poor is middle class there.

 

Which way?
I would say that about 15% of Russians are somewhat struggling. They would get around 200 USD a month (prices in Russia are much lower). The average is 600-700 USD (and prices are still much lower).

 

This way.

"The most complaining people in Russia are driving soviet cars, have a job etc. And according to state statistics they are considered poor."

 

The most wining guys are getting around 300-400 USD for some uninteresting job, driving a bucket with bearings inherited from their grandfathers and living in their old soviet flats. The really poor pensioners have a tough time getting just minimum which is barely enough for food and medicines. But they are not that many. I wish they could afford more.