Publication in Russian on the Zen blog
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Russia vs. the Netherlands: A Tale of Two Economies
Russia boasts a vast landmass and a sizable population, but its economic clout pales in comparison to smaller countries like the Netherlands. In this post, we delve into the economic differences between the two countries, questioning the impact of Russia’s reluctance to fully embrace free markets and democratic ideals. We examine how the Dutch economy has thrived on sustainable practices, innovation, and a robust free market system, comparing them to Russia’s approach. We uncover the factors that contribute to these striking economic differences, and what they reveal about the broader implications of governance and financial strategies.
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In this post, I will compare the Russian economy to the Dutch economy, I think it will be interesting. I argue that the Russian economy is tiny, it is minuscule, it is insignificant, and I wonder why anyone, whether it is magazines, newspapers or politicians, gives any credence to this rhetoric that Russia is big and strong. But if we compare Russia to the Dutch economy, I think you will see that the Netherlands will outperform Russia in every category.
A French philosopher of the Enlightenment said that the Dutch are a strange people, they can do business all over the world without controlling or occupying land. Foreign agent Garry Kasparov stated in his book "Winter is Coming" that Russia does not refer to Karl Marx or Adam Smith, but to the Godfather, because the Godfather demands loyalty, not friendship. Do you feel the difference? This is one of the premises about the opposite of the Russian state.
Russia is probably the largest country in the world, it is 17.1 million square kilometers, while the Netherlands is only 41.5 thousand square kilometers. Russia has 146 million people, and the Netherlands has only 17.5 million. It is an interesting comparison about the tiny Netherlands compared to the big Russia. There are people who may make the remark that it is better to compare not with the Netherlands, but with Italy, because the Russian economy is similar to the Italian one in size and comparability. But in fact, this is not true, because the same Northern Italy is like an industrial future with high technology. I do not understand semiconductors and so on, but Italy is like a sci-fi movie about the future. Russia is in a dystopian future, in which there are whole cities with factories from communist times, cities that are like one big factory. Cities from which a million people never left the city, where big clouds of smoke rose, and people dreamed of lying somewhere on a beach and eating oranges, this is such a dystopia from which no one can leave. So you can't compare Russia with Italy. Italy has a very different economy than Russia now - mechanical engineering, manufacturing, agriculture, and it has been surpassing Russia for many centuries. Therefore, let's compare with the Netherlands, although in terms of GDP there may be a dispute, because Russia's GDP is 2.1 trillion dollars, the Netherlands has 1.1 trillion dollars of GDP. But we know that in Russia any statement and any economic assertion that is made officially should be taken into account lower than they declare. Because in Russia, since the times of the USSR, there is a tradition of presenting false data and artificial indicators. With the most conservative assessment, you can safely subtract 20% from the indicators provided by Russian official sources, then it will look more like the truth. In the Netherlands, 1% is spent on defense, maybe two. If we talk about Russia, it is 7-8%, but indirectly it is 17.9% of defense-related spending. If we cover the defense industry as a whole by now in 2024, it will amount to 53% of the total GDP. The public sector in the economy in Russia is completely unproductive, since it is associated with destructive activities with consequences, the only productive aspects of the economy in Russia are investments in capital goods or consumer goods, and the unproductive area is actually excluded from the GDP (military industry, for example). Therefore, the tiny Netherlands is larger in productive terms than Russia and in real GDP calculations from this point of view actually surpasses Russia, despite the official figures for Russia's GDP. The Netherlands pays special attention to agriculture. Did you know that Holland is the second largest agricultural exporter in the world, behind only the United States, with all its vast lands, and they farm in a way that uses robots, hydroponics, unlike Russia, where they just spray pesticides and NPK fertilizers that destroy the soil? The Netherlands is known for its land improvement activities, they are the quintessence of conscious capitalists. There are two things in life - joy and sadness. When you go to Amsterdam, you have fun. When you go to Russia, you keep your head down, you keep your head down. Of course, there are bloggers who will tell you what a wonderful country Russia is, I could tell you about Russia differently if I was sure that I would not be arrested for it. As for vegetables and meat in Russia - it is all with nitrates, it is all smoked, all that is better not to feed even to your dog. It is a terrible life, where the average life expectancy is 67 years, and the Dutch have 80, and this says a lot. The Dutch are very progressive in technology, they are like think tanks that appear spontaneously, like tulips. This is not some huge government with a single think tank, it is a lot of smart people who realize themselves, having Freedom. For example, Yandex is registered in the Netherlands, because the local legislation is simpler and more correct, or Google's information technology is in the USA. There is no such life in Moscow, there is no freedom of expression, there are no opportunities, there is no scenario in which Russia could be a viable country. The best thing that can happen to Russia is to dismantle, to turn itself upside down, to reformat itself, when a new group of Russian people appears in Russia, a population that is not subjected to propaganda. And it will take 50, maybe 75 years before people understand that conscious capitalism is freedom, thanks to which the GDP per capita in the Netherlands is one of the highest in the world. The Netherlands has great benefits, great advantages, it is a clean country, it is a technologically advanced country, it is the country you want to visit if you want to visit the Future. I am not talking about the tourist business, although 90% of tourists hang out and visit the Dutch countryside, which is just amazing, and the people there are nice. But if you go to the Russian countryside, you will not always find even plumbing. So comparing these two countries in terms of quality of life, life expectancy, innovation, just an atmosphere of fun, there is no doubt in the common sense and moral qualities of people who want to get out of Russia. Russia is not a viable country. Think about it. Russia is 412 times larger than the Netherlands, where 8.3 more people live, and it is a useless piece of I don’t know what, it is a mafia state with a poor and suffering population. Souls that cannot get freedom and a country where you can meet the Mockingjay, a country that resembles the Hunger Games. And the best thing that can happen to this country is dismantling and reformatting. Because it looks like if you have a Russian passport, it is better to change it to a Ukrainian one. The Netherlands will gradually completely abandon natural gas and all types of non-ecological and irrational fuels by 2050, while Russia, for some reason, is increasing their use. The Netherlands is a small country, but very large and powerful. Russia is a seemingly very large, but very weak country. Thank you very much for your attention to the publication.
"Зима приближается" от иностранного агента Гарри Каспарова
Карл Генрих Маркс – немецкий писатель, философ, социолог и экономист. Один из уникальнейших философов своего времени, идеи которого продолжают и будут актуальны еще долгое время.
Адам Смит - шотландский экономист и философ-этик, один из основоположников экономической теории как науки. Считается основателем классической политэкономии.
Metaphors are useful for understanding the world. Comparing Russia to the Netherlands is like comparing flowers to dog shit under your shoe. Compare Russian export-quality, "premium" vodka to similarly priced Western vodka. One is perfectly drinkable, the other is only useful as paint stripper or weed killer. Russia's economy is smaller than the Lego corporation alone.
Russia, a large country that misses out on so many economic opportunities compared to the Netherlands, a small country that has been punching above its weight for centuries. Russians are just champions of suffering.
Most of the Warsaw Pact countries have surpassed Russia in GDP per capita, and they have done so with fewer people, less land, fewer resources, and no nuclear weapons.
Russia will break your heart if you are enchanted by the mosaic statues and art of the Soviet era, dream of strolling the snowy streets of St. Petersburg and eventually catching the Siberian Express to Vladivostok. When you actually visit Russia, you will find only decline, alcoholism, depression and repression.
In the Netherlands, people work hard, but they maintain a good work-life balance.
Russia has a large land area, but in terms of arable land, it is smaller than the US and India. In terms of the number of exclusive economic zones, it is smaller than France, the US and Australia. In terms of population and GDP, it is smaller than... well, you get the idea. In fact, Russia is not even close to being a major power.
The Netherlands has red, yellow and orange tulips, and Russia has black tulips. But Russia can't export them.
If you exclude the raw materials extracted and exported from Siberia, the size of the Russian economy would shrink to the level of Hungary. And that's if you take into account military production, which actually makes no sense to include in GDP, as an unproductive area of the economy, these tanks that burn in Ukraine a few weeks after production.
Russia is experiencing a severe case of Dutch disease.
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