by Denny » Sat 12 May 2007, 10:08:39
$this->bbcode_second_pass_quote('pea-jay', '
')I do think there will be competition between the US and China and the US and Russia, but it will not be over ideology. Resource control and economic control will be far more important. Given china's huge population, there is a better chance both the US and China will compete for Russia's remaining resources.
Don't count Russia out in the control sweepstakes. They likely have some of the most concentrated wealth in the world right now, a capital pool that is ready to buy what it wants and where it wants. Russia seems to have replaced a socialist elite with what may be along the lines of an old time feudal elite, and they are buying. Russia (in total) is enjoying some huge revenue flows of cash the past few years. Not so much is getting down to the regular Ivan in the street, but that means a whole lot of it is like a concentrated economic weapon. I have to say, I have never seen or heard anything of Mr. Putin that warmed me to the guy, though apparently George Bush thinks highly of him. I think Putin is scary.
Check this article published today in the
Globe and Mail:
"Russia Inc.'s murky lineage hardly matters any more. The Russians aren't just coming any more. They're here.
Enter stage left: 39-year-old oligarch Oleg Deripaska, who this week bought a $1.54-billion (U.S.) piece of car parts giant Magna International Inc. and its dream of acquiring DaimlerChrysler's U.S. operations. ...
But the deal is equally important to Mr. Putin, who has made no secret of his desire to see his champion companies step confidently out on to the world stage.
The Magna investment is part of a multibillion-dollar buying binge by Russia Inc. in Canada, the United States and Europe. Russian companies have bought steel makers, alumina and platinum mines, construction companies and gas pipelines. OAO Lukoil operates more than 2,000 gas stations, from Maine to Virginia. And OAO Gazprom wants to invest in liquefied natural gas projects in Canada and the U.S. to help create export markets for trapped resources.
To some analysts, the increasing global reach of Russian companies is the next stage of the Cold War, fought with rhetoric and petro-dollars, instead of missiles. “This process has been going on since the mid-nineties,” explained Steven Rosefielde, professor of economics at the University of North Carolina and an expert on the Russian economy. “At that point, it was about capital flight. Now, with Putin pulling all strings behind the scenes, it has become an intriguing dimension of the second phase of the Cold War.”