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[QUOTE=OzyWho;965079][URL="https://mishtalk.com/economics/the-ruble-regains-100-of-its-loss-after-russia-invaded-ukraine-why"]The ruble regained 100% of its losses and sanctions don't work[/URL]

I'm very very VERY much not a economy person. Can someone tell me if I understood this correctly? Russia's economy is back on track? Can we "check it for ourselves" somehow?

According to that article, everything I thought about Russia's economy is wrong.
What are the myths and what are the facts? I hope someone who understands this better than me can tell me what is what! :wondering:[/QUOTE]

while the ruble's exchange rate went back to normal, reports from russia are that the price of goods has increased by about 40%. That is what i read yesterday anyway when people were circulating this.

So the currency SHOULD be trading for much less since russians have to spend more to buy the same items. But the russian government and banks are manipulating the price by limiting supply and barring the average russian from converting their rubles to any other currency. I believe they closed the russian stock markets as well so people can't sell.

I believe i read they were offering 20% interest at banks to incentivize people to deposit all their money - [url]https://www.cnbc.com/2022/02/28/russia-central-bank-hikes-interest-rates-to-20percent-from-9point5percent-to-bolster-ruble.html[/url]

Basically - just like a government can force inflation by simply printing more money, they also have ways to force de-inflation. But in both cases it's essentially stealing wealth from the people actually holding rubles - the citizens.

Originally Posted by OzyWho

The ruble regained 100% of its losses and sanctions don't work

I'm very very VERY much not a economy person. Can someone tell me if I understood this correctly? Russia's economy is back on track? Can we "check it for ourselves" somehow?

According to that article, everything I thought about Russia's economy is wrong.
What are the myths and what are the facts? I hope someone who understands this better than me can tell me what is what!

while the ruble's exchange rate went back to normal, reports from russia are that the price of goods has increased by about 40%. That is what i read yesterday anyway when people were circulating this.

So the currency SHOULD be trading for much less since russians have to spend more to buy the same items. But the russian government and banks are manipulating the price by limiting supply and barring the average russian from converting their rubles to any other currency. I believe they closed the russian stock markets as well so people can't sell.

I believe i read they were offering 20% interest at banks to incentivize people to deposit all their money - https://www.cnbc.com/2022/02/28/russ...ter-ruble.html

Basically - just like a government can force inflation by simply printing more money, they also have ways to force de-inflation. But in both cases it's essentially stealing wealth from the people actually holding rubles - the citizens.